Toast Payroll: Get Help With Washington L&I

Last updated: Nov 5, 2026, 5:11 PM

Find Toast Payroll answers to common Washington L&I questions including filing, class codes, rates, PAC, pay stubs, and payroll errors.

In this Article:

 

Frequently Asked Questions About Washington L&I

Does Toast Payroll file and pay Washington L&I?

Toast Payroll files and pays your Washington Labor & Industries (L&I) premiums for you. Each payroll, Toast Payroll calculates the employer and employee premiums and withholds the employee portion. Toast Payroll then files your quarterly report and pays the state.

 

To keep your filings accurate, keep your class codes, rates, and Participation Activation Code (PAC) up to date in Toast Payroll. Visit Toast Payroll: Manage Washington L&I Class Codes and Rates.

 

Also asked as:

  • Do you file my L&I workers' comp?
  • Does Toast pay my quarterly L&I report?

 

Why does Washington L&I appear as WA SDI on pay stubs?

Washington L&I can appear on employee pay stubs as WA SDI or a similar title. In Toast Payroll, Washington L&I, Washington workers' compensation (workers comp) insurance, and State Disability Insurance (SDI) are the same deduction under different names.

 

How is Washington L&I calculated?

Washington L&I is calculated from the hours employees work, not from their wages. Toast Payroll multiplies each employee's hours worked by the rate for the class code assigned to their job.

  • Regular, salary, and overtime hours count toward L&I.
  • Paid time off and sick hours do not count toward L&I.

 

Because L&I is based on hours, make sure hours are recorded on every payroll, including for salaried employees.

 

Are Washington L&I class codes the same as workers' compensation codes?

Washington L&I class codes are not the same as the workers' compensation codes in Toast Payroll. The workers' compensation codes in Toast Payroll are for your own reporting and don't affect any calculations. Washington L&I class codes are assigned to your jobs and determine how your L&I premiums are calculated.

 

To add or change your L&I class codes, visit Toast Payroll: Manage Washington L&I Class Codes and Rates.

 

Also asked as:

  • Where do I put my L&I class code?
  • Why won't Toast accept my class code?

 

Why can't I add earnings when I run payroll?

You can't add earnings when one or more of your jobs doesn't have a Washington L&I class code or isn't marked exempt. To fix this:

  1. Open the Review your Washington L&I class codes and rates task in the Tax Center and select Manage class codes.
    1. If you don't have an open task in the Tax Center, you can navigate to Settings > Payroll > Tax Accounts. Select the three-dot menu on the Washington Industrial Insurance - Employer tile. Scroll to the Washington Labor & Industries (Washington L&I) section.
  2. Assign a class code to every job, or select Exempt for jobs that don't need coverage, then select Save.
  3. Select Looks good to complete the task.
  4. Reset your payroll and start it again.

 

If you still can't add earnings, contact Toast Customer Care.

 

Can I mark a job as exempt from Washington L&I?

You can mark a job as exempt from Washington L&I when the job doesn't need workers' compensation coverage. On the Washington L&I page, select the Exempt checkbox for that job instead of entering a class code. Confirm with the Washington Department of Labor & Industries if you're not sure whether a job is exempt.

 

Do class code or rate changes apply to past payrolls?

Class code and rate changes apply only to future payrolls. If you need to correct L&I on a payroll that was already processed, contact Toast Customer Care.

 

Where do I find my class codes, rates, and PAC?

Your class codes, rates, and PAC are on notices from the Washington Department of Labor & Industries:

  • Annual Rate Notice: class codes and rates, with your PAC above the risk class and rate information
  • New Account Letter: your PAC, under the UBI number in the Account Info section
  • Employer's Quarterly Worksheet: your PAC

 

You can also log in to your My L&I account or call the Department of Labor & Industries at (360) 902-4817.

 

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This content is for informational purposes and is not intended as legal, tax, HR, or any other professional advice. Please contact an attorney or other professional for advice.