CSLB Law & Business ExamEmployment RequirementsEasy
A new employer pays wages to an employee for the first time on March 3. Under California law, by when must the employer register with the Employment Development Department (EDD)?
- AWithin 30 days of the end of the quarter
- BWithin 60 days of hiring the employee
- CBy the end of the calendar year
- DWithin 15 days of paying wages
Show answer & explanationAnswer & explanation
Correct answer: D. Within 15 days of paying wages
California employers must register with the EDD within 15 days after paying more than $100 in wages in a calendar quarter, so that payroll tax withholding and reporting can begin promptly.
Why the other options are wrong
- A. There is no 30-day-after-quarter registration rule; registration must occur much sooner.
- B. 60 days is too long and not the legal standard.
- C. Waiting until year-end would violate the registration requirement.
EDD Employer Registration
New employers must register with the EDD within 15 days of paying wages exceeding $100 in a quarter.
- Registration obtains an EDD employer account number
- Required for reporting SDI, PIT, UI, and ETT
- Late registration can trigger penalties
Memory trick: Fifteen days, no delays.