An encoder includes: memory; and circuitry coupled to the memory and configured to generate an encoded bitstream. In the encoder, when a multi-layer structure is to be included in the encoded bitstream to be generated, the circuitry generates the encoded bitstream by including in the encoded bitstream (i) a sequence parameter set that refers to a video parameter set and (ii) a network abstraction layer (NAL) unit having a layer identification (ID) greater than zero in the multi-layer structure, and when the multi-layer structure is not to be included in the encoded bitstream to be generated, the circuitry generates the encoded bitstream by including in the encoded bitstream a sequence parameter set that does not refer to the video parameter set.