Minimum Wage in California
California (CA) · Minimum wage · Last reviewed July 2026
California minimum
$16.90 / hr
Federal floor
$7.25 / hour
As of
July 2026
Federal vs. State Minimum Wage
The federal minimum wage is $7.25 per hour and has been since July 2009. When a state (or city) sets a higher minimum, the higher rate is what employers must pay. When the state rate is lower or nonexistent, the federal $7.25 applies to employees covered by the FLSA.
As of July 2026, the California (CA) minimum wage is about $16.90 per hour, above the federal $7.25. Rates are revisited regularly (often each January), so confirm the current figure with the official source below before you run payroll.
Some California cities set a higher local minimum wage than the state — including Los Angeles and San Francisco. Always check the rate for the specific city where your employees work.
Tipped Employees
Tipped workers can be paid a lower cash wage as long as tips bring them up to at least the full applicable minimum wage. The federal tipped cash wage is $2.13 per hour, but many states require a higher tipped wage — and a few require the full minimum with no tip credit. California employers should verify the tipped rules that apply locally.
Staying Compliant
Because minimum-wage rates change and can differ by city, the safest approach is to check the official rate at the start of each year and whenever you hire in a new locality. Keep accurate time records so you can always show that pay met or exceeded the minimum for every hour worked.
California Labor-Law Snapshot
California's minimum wage is $16.90/hour (about $9.65 above the federal $7.25); Los Angeles and San Francisco set a higher local minimum. At that rate, overtime runs about $25.35/hour, and California does not allow a tip credit, so tipped staff earn the full $16.90 before tips.
For California employers these rules interact with timekeeping: accurate, audit-logged hours drive overtime, sick-leave accrual, final pay, and break records. California requires meal breaks on longer shifts and requires paid rest breaks; a final paycheck is due within 72 hours — or immediately if the employee gave at least 72 hours' notice when an employee resigns. Confirm current California figures with the state labor office before relying on any single number.
Official Sources
More California Guides
Minimum Wage in Other States
California Minimum Wage: Frequently Asked Questions
What is the minimum wage in California?
As of July 2026, the minimum wage in California is about $16.90 per hour, above the federal $7.25. Confirm the current figure before running payroll, as rates change.
Can California employers pay tipped workers a lower wage?
Yes — a lower cash wage is allowed as long as tips bring the employee up to the full applicable minimum wage. Some states require a higher tipped cash wage.
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