US California Minimum Wage 2026
Last updated: · Source: California Department of Labor
California · Minimum Wage 2026
Effective 2026-01-01
Data last verified: 2026-07-09
Tipped Rate
$16.50/hr
Tip Credit
None
Exempt Salary
$1320.00/wk
Effective Date
2026-01-01
California Wage Calculator
US California Minimum Wage
The minimum wage in California is $16.50 per hour in 2026, effective 2026-01-01. This is above the federal minimum wage of $7.25/hr set by the Fair Labor Standards Act (FLSA). Employers must pay the higher of the two rates, so the California rate applies. Also searched as US California minimum wage. See the federal minimum wage page for how the FLSA floor applies nationwide.
Under the Fair Labor Standards Act, employers must pay the highest minimum wage that legally applies to a work location, whether set federally, by the state, or by a city or county ordinance.
California Tipped Minimum Wage
California does not allow employers to take a tip credit. All employees, including servers, bartenders, and other tipped workers, must be paid the full minimum wage of $16.50/hr in cash wages, regardless of tips received.
California Exempt Employee Salary Threshold (2026)
An "exempt" employee is a salaried worker who, by law, isn't entitled to overtime pay (time-and-a-half) for hours worked beyond 40 in a week. Whether a salaried employee actually qualifies as exempt depends on both their pay and their job duties. California sets its own exempt salary threshold, which is higher than the federal level. Salaried exempt employees must earn at least $1320.00/week ($68,640/year) in 2026 to be exempt from overtime requirements.
City & County Minimum Wages in California
California permits cities and counties to set higher local minimum wage rates. The following cities have rates above the state minimum:
| City / County | 2026 Rate | Notes |
|---|---|---|
| Los Angeles | $17.28/hr | LA city rate increases July 1, 2026. |
| San Francisco | $18.67/hr | SF rate adjusts July 1 annually. |
| San Diego | $17.25/hr | Local ordinance effective 2026-01-01 |
| Berkeley | $18.67/hr | Local ordinance effective 2026-10-01 |
| Santa Monica | $17.27/hr | Local ordinance effective 2026-07-01 |
California Minimum Wage History
The following table shows minimum wage rates in California over the past several years.
| Year | Minimum Wage | Effective Date | Notes |
|---|---|---|---|
| 2026 | $16.50/hr | 2026-01-01 | |
| 2025 | $16.00/hr | 2025-01-01 | |
| 2024 | $16.00/hr | 2024-01-01 | |
| 2023 | $15.50/hr | 2023-01-01 | |
| 2022 | $15.00/hr | 2022-01-01 | |
| 2021 | $14.00/hr | 2021-01-01 |
Frequently Asked Questions
The minimum wage in California is $16.50 per hour in 2026, effective 2026-01-01. California does not allow a tip credit: tipped employees earn the full $16.50/hr rate.
California's minimum wage increased to $16.50/hr on January 1, 2026. Fast food workers at chains with 60+ locations earn $20.00/hr.
California does not allow employers to take a tip credit. All employees, including tipped workers, must be paid the full minimum wage of $16.50 per hour.
In California, salaried exempt employees must earn at least $1320.00/week ($68,640/year) to qualify for the overtime exemption, higher than the federal threshold.
Yes, some cities in California set higher local minimum wage rates. Los Angeles: $17.28/hr, San Francisco: $18.67/hr, San Diego: $17.25/hr, Berkeley: $18.67/hr, Santa Monica: $17.27/hr.
The US California minimum wage in 2026 is $16.50 per hour, one of the highest state minimum wage rates in the country.