Wage laws in California
Wages in California are subject to various state laws. We've compiled the most important requirements to know below.
Minimum wage laws
California has a state minimum wage that exceeds the federal minimum wage.
| Date in effect | Minimum wage for all employees in the state |
| January 1, 2024 | $16/hour |
In 2017, California started to increase its minimum wage annually. During this transition, businesses with 25 employees or less had a separate minimum wage until the state minimum wage topped out at $15.50 in 2023.
Tips can't be counted as part of minimum wage in California, as they can in some other states.
Additionally, some employees, such as outside salespeople, family members, and camp counselors, are exempt from being paid minimum wage.
Exempt employees must earn at least two times the state minimum wage for full-time employment for their monthly salary. For 2024, this is a $66,560 annual salary.
Local minimum wages
In addition to the state minimum wage, you may be subject to paying a higher minimum wage if you have employees working in various cities. That's because some cities and counties in the state have a higher wage requirement.
| Place | 2024 minimum wages | Applies to |
$16.52/hour | All employers | |
| Belmont | $17.35/hour | All employers |
| Berkeley | $18.07/hour | All employers |
| Burlingame | $17.03/hour | All employers |
| Cupertino | $17.75/hour | All employers |
| Daly City | $16.62/hour | All employers |
| East Palo Alto | $17.10/hour | All employers |
| El Cerrito | $17.92/hour | All employers |
| Emeryville | $18.67/hour | All employers |
| Foster City | $17/hour | All employers |
| Fremont | $16.80/hour | All employers |
| Half Moon Bay | $17.01/hour | All employers |
| Hayward | $16.90/hour | Organizations with 26 or more employees |
| Long Beach | $16.73/hour | For hotel workers |
| $16.55/hour | For concessionaire workers | |
| Los Altos | $17.75/hour | All employers |
| Los Angeles | $16.78/hour | All employers |
| Unincorporated Los Angeles County | $16.90/hour | All employers |
| Malibu | $16.90/hour | All employers |
| Menlo Park | $16.70/hour | All employers |
| Milpitas | $17.20/hour | All employers |
| Mountain View | $18.75/hour | All employers |
| Novato | $16.68/hour | Organizations with 100 or more employees |
| $16.60/hour | Organizations with 26-99 employees | |
| $16/hour | Organizations with less than 26 employees | |
| Oakland | $15.97/hour | All employers |
| Palo Alto | $17.80/hour | All employers |
| Pasadena | $16.93/hour | All employers |
| Petaluma | $17.45/hour | All employers |
| Redwood City | $17.70/hour | All employers |
| Richmond | $16.17/hour | All employers |
| San Carlos | $16.87/hour | All employers |
| San Diego | $16.85/hour | All employers |
| San Francisco | $18.07/hour | All employers |
| San Jose | $17.55/hour | All employers |
| San Mateo | $17.35/hour | All employers |
| Santa Clara | $17.75/hour | All employers |
| Santa Monica | $16.90/hour | All employers |
| Santa Rosa | $17.45/hour | All employers |
| Sonoma | $17.60/hour | Organizations with 26 or more employees |
| $16.00/hour | Organizations with fewer than 26 employees | |
| South San Francisco | $17.25/hour | All employers |
| Sunnyvale | $18.55/hour | All employers |
| West Hollywood | $19.08/hour | All employees |
Overtime pay
You must pay employees 1.5 times their regular rate of pay for any overtime worked. In California, this means any hours over eight in one day or over 40 in a week for most occupations.
You must also pay employees double-time for all hours over 12 in one day or eight hours on a seventh work day.
The table below shows how this works in practice for someone who makes $15.50/hour and works for 13 hours.
| Hours worked | Total wages |
| Initial eight-hour shift at $15.50 per hour | $124 |
| Four overtime hours up to the maximum of 12 at 1.5 times their wage, or $23.25 per hour | $93 |
| One hour in excess of 12 hours, which must be paid doubletime, or $31 per hour | $31 |
| Total for a 13-hour workday | $248 |
Pay statements
California requires organizations to provide accurate, itemized pay statements with each paycheck, or at least semimonthly.
Pay statements must include the following:
- Gross wages earned
- Total hours worked for nonexempt employees
- The number of piece-rate units earned for piece-rate employees
- All state and federal deductions
- Net wages earned
- Dates of the payroll period
- Employee's first and last name, and last four digits of their Social Security Number or employee ID number
- Employer's name and address
- Hourly rates and the number of hours worked
- Overtime
Final pay
When an employee leaves, you must provide their unpaid wages immediately upon their final work day if they gave advance notice of at least 72 hours. You can mail final wages within 72 hours if your employee provided no notice to you.
You must also pay out unused vacation time, as California considers paid vacation time as wages.
Warehouse quota laws
Assembly Bill 701, which went into effect in 2022, protects warehouse workers from quotas that violate state and federal labor laws. Employers must provide information on their employees’ quotas.
