Just to add some clarification - a TT/Calif resident return doesn't use W-2 Box 16 state wages for anything. It basically just adds them all up and enters the total on Form 540 line 12. That's it.
When PFL is administered by an employer's voluntary plan disability insurance (VPDI) it is sometimes reported to you on a separate W-2 and is included in your federal wages. On the federal W-2 entry screen there is a question where you can indicate this is a PFL W-2. TT/Calif will then subtract that federal wage amount from your Calif income but you can enter a different amount if only some of it is qualified PFL from the VPDI provider.
Be sure you have corrected the wages in TT/Calif when you are shown that PFL screen and change the total federal wage amount (it defaults to all of the federal wages are PFL) and enter the PFL portion yourself - that's apparently W-2 Box 1 minus Box 16 in your case. You should see the PFL income subtraction on Schedule CA, line 7, column B.
