California State and Local Minimum Wage 2026

California Minimum Wage 2026 - Pacific Payroll Group

Updated Feb 4, 2026

The California Minimum Wage increased to $16.90 per hour on January 1, 2026 and the minimum wage rate in many Cities and Counties also increased on Jan 1.

Here is everything you need to know about the new minimum wage rates in 2026.

California Minimum Wage 2026

The California minimum wage, effective January 1, 2026, is $16.90 per hour, regardless of the size of the employer [source].

Effective DateLarge Employers
(26+ Employees)
Small Employers
(25 or fewer Employees)
January 1, 2025$16.50$16.50
January 1, 2026$16.90$16.90

[Note: see the exception for Employees of Fast-Food Restaurants in the next section]

The minimum annual salary for white-collar exempt employees from Jan 1, 2026 is $70,304 per year, or $5,858.67 per month.

It is essential to conduct an audit of employees falling under these exemptions to determine if both their job duties and salary meet the requirements for exemption.

[Note: the Minimum Wage rate for all California employers from January 1, 2026 has been set by the Department of Finance at $16.90 per hour, an increase of 2.49%]

It is important to note that there are Minimum Salary Exemptions for California, such as computer software professionals. To learn about any of these exemptions in California, or any state, please message us.

Who has to Pay $20 an Hour in California?

Per legislation AB 1228, the California Minimum Wage for Employees of Fast-Food Restaurants in national chains is $20 per hour, beginning from April 1, 2024.

Who are “Employees of Fast Food Restaurants” under this Minimum Wage Law?

The law applies only to employees of “fast food restaurants.” The FAQs from the Department of Industrial Relations state that, to be considered a fast food restaurant, the restaurant must meet ALL of these criteria:

  1. The restaurant must be a “limited-service restaurant” in California. A limited service restaurant is one that offers limited or no table service, where the customers order food or beverage items and pay for those items before the items are consumed.
  2. The restaurant must be part of a restaurant chain of at least 60 establishments nationwide. An establishment is a single restaurant location offering food or beverages to customers. Business locations performing only administrative, warehouse, or food preparation work are not counted as “establishments” toward the 60 establishment minimum.
  3. The restaurant must be primarily engaged in selling food and beverages for immediate consumption.

California Local Minimum Wage 2026

Many local jurisdictions – Cities or Counties – have their own minimum wage that is greater than the State minimum wage. Employers must pay the rate that benefits the employee.

Please check the table below for minimum wage rates in 2026 for all local jurisdictions.

California City and County Minimum Wage Effective Jan 1, 2026

JurisdictionLarge Employers
(26+ Employees)
Small Employers
(25 or fewer Employees)
Alameda [source] *$17.46$17.46
Belmont [source]$18.95$18.95
Berkeley [source] *$19.18$19.18
Burlingame [source]$17.86$17.86
Cupertino [source]$18.70$18.70
Daly City [source]$17.50$17.50
East Palo Alto [source]$17.90$17.90
El Cerrito [source]$18.82$18.82
Emeryville [source] *$19.90$19.90
Foster City [source]$17.85$17.85
Fremont [source] *$17.75$17.75
Glendale [source] *$16.90
or
$22.50/hour for hotels with 60 or more rooms
$16.90
or
$22.50/hour for hotels with 60 or more rooms
Half Moon Bay [source]$17.91$17.91
Hayward [source]$17.79$16.90
Long Beach *
[source1
source2
source3]
$16.90
or
$25.00
for Hotel Workers
$18.58
for Concessionaire
workers
$16.90
or
$25.00
for Hotel Workers
$18.58
for Concessionaire
workers
Los Altos [source]$18.70$18.70
Los Angeles (City) [source] *$17.87
or
$22.50/hour for hotels with 60 or more rooms
$17.87
or
$22.50/hour for hotels with 60 or more rooms
Los Angeles (Unincorporated Areas of County) [source] *$17.81$17.81
Malibu [source] *$17.27$17.27
Menlo Park [source]$17.55$17.55
Milpitas [source] *$18.20$18.20
Mountain View [source]$19.70$19.70
Novato [source]$17.46
($17.73 for Very Large Employers
with 100+ Employees)
$16.90
Oakland [source]$17.34
or
$18.85 for hotel workers with Health Benefits
$25.14 for hotel workers without Health Benefits
$17.34
or
$18.85 for hotel workers with Health Benefits
$25.14 for hotel workers without Health Benefits
Palo Alto [source]$18.70$18.70
Pasadena [source] *$18.04$18.04
Petaluma [source]$18.31$18.31
Redwood City [source]$18.65$18.65
Richmond [source]$19.18$19.18
Sacramento$16.90$16.90
San Carlos [source]$17.75$17.75
San Diego [source]$17.75$17.75
San Francisco [source] *$19.18$19.18
San Jose [source]$18.45$18.45
San Leandro [source]$16.90$16.90
San Mateo [source]$18.60$18.60
San Mateo County (Unincorporated) [source]$17.95$17.95
Santa Clara [source]$18.70$18.70
Santa Monica [source] *$17.81
or
$22.50
for hotels and businesses operating on hotel property
$17.81
or
$22.50
for hotels and businesses operating on hotel property
Santa Rosa [source]$18.21$18.21
Sonoma [source]$18.47$17.38
South San Francisco [source]$18.15$18.15
Sunnyvale [source]$19.50$19.50
West Hollywood [source] *$20.25
or
$20.22 for hotel employees
$20.25
or
$20.22 for hotel employees
* Due to increase on Jul 1, 2026 by CPI (Consumer Price Index)

What City in California has the Highest Minimum Wage?

The city in California with the general highest minimum wage is West Hollywood, with a rate of $20.25 per hour as of January 1, 2026.
For hotel workers, the general highest minimum wage is in the city of Long Beach, with a rate of $25.00 per hour as of July 1, 2025. However, for hotel workers without Health Benefits, the highest minimum wage is in the city of Oakland, with a rate of $25.14 per hour as of January 1, 2026.

To keep your business up to date with the current Minimum Wage in your local jurisdiction or state, why not use our Labor Law Poster Service – you’ll be updated automatically with new Labor Law Posters based on your state, industry, and employee size.

Minimum Wage in Other States

We service small businesses, CPAs and accountants in most states and are constantly expanding. Please contact us to learn more about how we can help you navigate minimum wage requirements and ensure compliance for your business.

Please be aware that other states may change their minimum wage rates in months other than January. For example, on July 1, 2024, the minimum wage in Nevada increased to $12.00 for all employers – there was no longer a tiered rate system. The official notice can be found here: Nevada Wage Notice

Always double-check the minimum wage in your area, as governed by the Fair Labor Standards Act (FLSA), to verify this article has the most current information.

We are here to help you through these changing regulations.

Share This:
Sign-up for our Newsletter
Payroll News You Can Use -
Don't miss out on important deadlines!
Get notified of:

Usually 1 email per month.
We will never share your personal information.
View our privacy policy.

What our clients say about us

Gordon and his team run this first class operation. Why go with the big box ADP when you can have professional, personalized services at a lower cost? It’s a no brainer.

They take care of my payroll needs for multiple locations so I can focus on growing my business. Gordon promptly responds to all my questions and concerns. He also helps me take care of additional issues like workers’ comp audits and taxes.

Julie L. via Yelp

I wish I would have known about them years ago. You call you get to talk to Gordon, you email your data into him and it gets done… like a smooth-running machine. I strongly suggest you call Gordon and start having him handle your payroll needs today.

We as business owners have enough to do without having to deal with Federal and State agencies. Put your efforts into your business that you know best, that is what makes you money.

Sharon D. via Google

We’ve been with this company for almost a year and could not be more pleased. Gordon keeps us in compliance with all of the complex employment and tax rules. He is extremely patient, committed and giving of his time and knowledge without reservation. If we need help understanding something he is always there for us.

If you’re thinking about getting someone to take over your payroll, give Gordon a call. He is more than affordable and worth every penny.

Kathleen M. via Yelp

I had stayed with a large payroll company because I thought it was difficult to change. Once my friend recommended Gordon, it was so fast and easy to switch! And my fees were cut in HALF!

And I pay nothing when they file quarterlies. And he’s a million times more responsive.

Arlene M. via Email
Contact Us
Content copyright 2026. Pacific Payroll Group. All rights reserved.
Call Us For a Quick Quote!