California - Minimum Wage Overview
Why This Matters
California has the most complex minimum wage laws in the country. In 2025, thirty-six cities and counties will require a higher minimum wage than the state standard.
If you employ workers earning minimum wage in any of these locations, it’s essential to verify rates with your local tax office(s) and update payroll accordingly to remain compliant.
State Minimum Wage
Effective January 1, 2025, California’s minimum wage is $16.50 per hour for employers of all sizes.
However, many cities and counties mandate higher rates. If you have employees in these areas, you must pay at least the local minimum wage.
Overtime Rules in California
- In general, nonexempt employees must be paid:
- 1.5Ă— their regular rate for hours worked:
- Over 8 hours in a single workday (up to 12 hours), or
- Over 40 hours in a workweek, or
- The first 8 hours on the 7th consecutive day of work in a week.
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- 2Ă— their regular rate for hours worked:
- Over 12 hours in a single workday, or
- Over 8 hours on the 7th consecutive day in a workweek.
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There are exemptions and exceptions for certain job classifications. For more details, visit the California Department of Industrial Relations website.
Exempt Employee Salary Threshold
Exempt employees in California must earn at least twice the state minimum wage for full-time work. Any state minimum wage increase also raises the minimum salary requirement for exempt employees.
For more information, visit the California Department of Industrial Relations website.
Local Minimum Wages
Local minimum wage rates may change on January 1 or July 1 each year. Some jurisdictions adjust twice annually.
Effective January 1, 2025:
City / County | Rate | City / County | Rate |
Belmont | $16.20 | Oakland | $15.06 |
Burlingame | $15.60 | Palo Alto | $16.45 |
Cupertino | $16.40 | Petaluma | $15.85 |
Daly City | $15.53 | Redwood City | $16.20 |
East Palo Alto | $15.60 | Richmond | $15.54 |
El Cerrito | $16.37 | San Carlos | $15.77 |
Half Moon Bay | $15.56 | San Diego | $15.00 |
Hayward (Small) | $14.52 | San Jose | $16.20 |
Hayward (Large) | $15.56 | San Mateo | $16.20 |
Los Altos | $16.40 | Santa Clara | $16.40 |
Menlo Park | $15.75 | Santa Rosa | $15.85 |
Mountain View | $17.10 | Sonoma (Small) | $15.00 |
Novato (Small) | $15.00 | Sonoma (Large 26+) | $16.00 |
Novato (26–99) | $15.53 | South San Francisco | $15.80 |
Novato (100+) | $15.77 | Sunnyvale | $17.10 |
Effective July 1, 2025:
City / County | Rate | City / County | Rate |
Alameda | $15.75 | Malibu | $15.96 |
Berkeley | $16.99 | Milpitas | $16.40 |
Emeryville | $17.68 | Pasadena (All/Nonprofits) | $16.11 |
Fremont (≤25) | $16.00 | San Francisco | $16.99 |
Fremont (26+) | $16.00 | San Leandro | $15.00 |
Los Angeles (City) | $16.04 | Santa Monica | $15.96 |
Los Angeles (County) | $15.96 | Santa Monica (26+) | $15.96 |
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