What Oregon's Temporary Disability Program Covers

Oregon's temporary disability program, officially called the Temporary Disability Insurance (TDI) program, pays part of your wages if you cannot work because of a non-work injury or illness. The program is run by the state and funded through payroll deductions from your paycheck — you do not pay a separate premium.

The program covers disabilities that last between one and 35 weeks. If your condition lasts longer, you may need to look at other programs like Social Security Disability Insurance (SSDI) or Oregon's long-term disability options. TDI is meant to bridge the gap when you are temporarily unable to work but expect to recover.

You receive a portion of your regular wages — typically 60 percent of your average weekly wage, up to a maximum amount that changes each year. The exact amount depends on what you earned before the disability began and how long you have been unable to work.

Key Takeaways

  • Oregon's Temporary Disability Insurance replaces part of your wages if you cannot work due to illness or non-work injury, and the state deducts the cost from your paycheck automatically.
  • You must have worked in Oregon and paid into the program for at least 90 days before you can receive benefits.
  • The program pays up to 60 percent of your average weekly wage for disabilities lasting between one and 35 weeks.
  • You report your disability to your employer or the state, and a doctor's statement confirming you cannot work is required to start the process.
  • If your disability lasts longer than 35 weeks, you will need to explore other disability programs rather than continuing with TDI.

Who Can Receive Oregon Temporary Disability Benefits

To receive TDI benefits, you must have worked in Oregon and paid into the program for at least 90 days before your disability began. This 90-day waiting period is a firm requirement — there are no exceptions. If you have worked in Oregon for less than 90 days, you are not yet covered by the program.

You must also be unable to work because of a medical condition that is not work-related. Work injuries are covered under Oregon's workers' compensation system instead, not TDI. Your disability must be confirmed by a licensed healthcare provider who states in writing that you cannot perform your job.

Self-employed people and certain agricultural workers are not covered by Oregon's TDI program. If you fall into one of these categories, you would need to explore other options for income support during a disability.

How to Report Your Disability and Start the Process

When you become unable to work, tell your employer as soon as possible. Your employer is required to give you a claim form — this is the official document you use to report your disability to the state. Some employers handle TDI claims internally; others direct you to file with the state directly.

You will need to provide a statement from your doctor or healthcare provider confirming that you cannot work and describing your condition. The state does not require a specific form for this, but the provider's letter must include the date your disability began and an estimate of how long you will be unable to work.

Submit the completed claim form and your medical statement to your employer or directly to the Oregon Employment Department, depending on your employer's process. The state then reviews your claim and notifies you of approval or denial. Processing typically takes two to three weeks, though this can vary depending on how quickly you submit all required documents.

How Much You Receive and When Payments Start

Oregon TDI pays 60 percent of your average weekly wage, calculated based on the 13 weeks of earnings before your disability began. There is a maximum weekly benefit amount that the state sets each year — this amount increases annually to account for wage changes. You can contact the Oregon Employment Department to learn the current maximum.

There is a seven-day waiting period before your first payment arrives. This means if your disability begins on a Monday, your benefits do not start until the following Monday. If your disability lasts fewer than seven days, you receive no TDI payment.

Payments are issued weekly by direct deposit or check, depending on what you choose when you file your claim. You continue to receive payments as long as you remain unable to work and your claim remains active, up to the 35-week maximum.

What Happens When Your Disability Ends or Lasts Longer Than 35 Weeks

If you recover and return to work before your 35 weeks of benefits are exhausted, your TDI payments stop. You do not receive a lump sum for unused weeks. If you return to work part-time or at reduced wages, you may be able to receive partial TDI benefits while you gradually increase your hours — contact the Oregon Employment Department to discuss your specific situation.

If your disability lasts longer than 35 weeks, TDI ends and you must look at other programs. At this point, you may be able to file for Social Security Disability Insurance (SSDI) if your condition is expected to last at least 12 months or result in death. You may also explore Oregon's long-term disability programs or workers' compensation if your condition is work-related.

The Oregon Employment Department can provide information about these other programs, but you will need to file separate applications. There is no automatic transition from TDI to another program.

Taxes and Other Considerations

TDI benefits are considered taxable income by the federal government. The state does not automatically withhold taxes from your TDI payments, so you may owe taxes when you file your return. Keep records of all TDI payments you receive so you can report them accurately.

If you receive other income during the weeks you are on TDI — such as vacation pay, sick leave, or severance — this may affect your TDI payment. The state reduces your benefit by the amount of other income you receive in the same week. Report any other income to the Oregon Employment Department when you file your claim.

If you are also receiving workers' compensation for a work-related injury, you cannot receive TDI at the same time. Workers' compensation takes priority, and TDI is only for non-work disabilities.

Frequently Asked Questions

What if my employer says I do not have to file a claim?

You have the right to file a TDI claim even if your employer discourages it. If your employer does not provide you with a claim form, you can request one directly from the Oregon Employment Department or read it from their website. Your employer cannot prevent you from filing.

Can I receive TDI if I am on unpaid leave?

Yes, as long as you meet the other requirements. Unpaid leave does not disqualify you. You must still have worked and paid into the program for 90 days before your disability began, and your doctor must confirm you cannot work.

What if my doctor says I can work part-time but not full-time?

You may be able to receive partial TDI benefits. The state calculates a reduced payment based on the portion of your wages you are unable to earn. You will need to report your part-time earnings to the Oregon Employment Department so they can adjust your payment correctly.

Do I need to reapply if my disability lasts longer than expected?

No, you do not reapply. As long as your claim is active and your doctor continues to confirm you cannot work, your payments continue up to the 35-week limit. You may need to submit updated medical statements if the state requests them, but this is not a new process.

What happens if the state denies my claim?

The state will send you a written notice explaining why your claim was denied. You have the right to appeal this decision. The appeal process involves submitting additional information or requesting a hearing before an administrative judge. Contact the Oregon Employment Department for details on how to appeal.