What is the California state income tax rate?

California uses a progressive tax system with 10 brackets ranging from 1% to 13.3%. The 13.3% rate applies to taxable income above $1,000,000 and includes a 1% Mental Health Services surcharge from Proposition 63. Most workers earning between $40,000 and $68,000 fall in the 6% to 8% brackets, resulting in an effective state tax rate of roughly 3% to 5%. Because the brackets are progressive, only the portion of income within each range is taxed at that rate, not your entire paycheck.

How much does a $25/hour worker take home in California?

At $25/hour working 40 hours per week and filing single, your gross annual pay is $52,000. After federal income tax of approximately $4,290, California state tax of approximately $1,580, Social Security tax of approximately $3,224, and Medicare tax of approximately $754, your annual take-home is roughly $42,152. That works out to about $1,621 per biweekly paycheck. Adding SDI at 1.1% would reduce your take-home by an additional $572 per year.

What is California SDI tax?

California State Disability Insurance (SDI) is a mandatory payroll tax of 1.1% on wages up to $153,164. It funds both short-term disability benefits, which replace 60% to 70% of wages for up to 52 weeks, and Paid Family Leave (PFL) for bonding with a new child or caring for a seriously ill family member. SDI is withheld from your paycheck in addition to income taxes and FICA. This calculator focuses on income tax, so SDI is not reflected in the results but will further reduce your actual take-home pay.

What is the California minimum wage?

The California state minimum wage is $16.50 per hour as of 2025. However, several cities enforce higher local minimums, including San Francisco at $18.67, Los Angeles at $17.28, and San Jose at $17.95. Fast food workers covered under AB 1228 have a separate sector minimum of $20 per hour. Healthcare workers at certain facilities are also subject to a higher minimum wage schedule that began phasing in during 2024.

Does California tax retirement account withdrawals?

Yes, California taxes 401(k) and traditional IRA withdrawals as ordinary income at the same progressive rates that apply to wages. Roth IRA qualified distributions, however, are tax-free at both the federal and California level. California does not tax Social Security benefits, which provides some relief for retirees. Contributing to pre-tax retirement accounts while you are working reduces your current California tax bill, which is especially valuable given the state's high marginal rates.

How does California compare to Texas for take-home pay?

California workers take home significantly less than Texas workers at the same gross salary because Texas has no state income tax. For example, a $75,000 salary yields roughly $4,000 to $6,000 less in annual take-home pay in California compared to Texas, depending on filing status and deductions. The gap widens at higher incomes because of California's progressive rate structure. However, Texas has higher property tax rates and sales taxes, so the overall tax burden difference is narrower than the income tax gap alone suggests.

What is California's standard deduction for 2025-2026?

California's standard deduction is $5,540 for single or married filing separately filers and $11,080 for married filing jointly or head of household filers for the 2025 tax year. These amounts are notably lower than the federal standard deduction of $15,000 for single filers and $30,000 for married filing jointly. Because the state standard deduction is so much smaller, a larger share of your income is subject to California state tax, which makes the effective state tax burden heavier than the bracket rates alone might suggest. Taxpayers who itemize deductions on their federal return may still find it advantageous to take the California standard deduction if their state-eligible itemized amounts are small.

California Paycheck Calculator (Hourly) — Free Take-Home Pay Estimator

How the California Paycheck Calculator Works

This California paycheck calculator hourly tool estimates your take-home pay by subtracting federal income tax, California state income tax, and FICA taxes from your gross earnings. Each component is calculated independently using the most current tax brackets and rates, then subtracted from your gross pay to produce your net paycheck amount.

The core formula:

Take-Home = Gross - Federal Tax - CA State Tax - Social Security - Medicare

P_{net} = P_{gross} - T_{fed} - T_{CA} - T_{SS} - T_{Med}

Federal income tax is calculated using seven progressive brackets that range from 10% to 37%. Your hourly wage is first converted to an annual salary based on the hours per week and weeks per year you specify, then the standard deduction is subtracted to arrive at federal taxable income. California state tax works similarly but uses its own set of 10 brackets and a much smaller standard deduction. Social Security tax is a flat 6.2% on wages up to $176,100, while Medicare is a flat 1.45% with no cap, plus an additional 0.9% surcharge on earnings above $200,000 for single filers. The calculator applies each layer in order, giving you a transparent view of exactly where your paycheck dollars go.

California Hourly Paycheck Tax Breakdown

California has the highest top marginal income tax rate in the nation at 13.3%, but this rate only applies to income above $1,000,000. Most hourly workers fall in the 1-8% range. The 10 California income tax brackets for single filers are:

Income Range	Rate
$0 - $10,412	1%
$10,412 - $24,684	2%
$24,684 - $38,959	4%
$38,959 - $54,081	6%
$54,081 - $68,350	8%
$68,350 - $349,137	9.3%
$349,137 - $418,961	10.3%
$418,961 - $698,271	11.3%
$698,271 - $1,000,000	12.3%
Above $1,000,000	13.3%

California also applies a standard deduction of $5,540 for single filers and $11,080 for married/head of household before calculating state tax.

Compared to neighboring states, California's income tax is significantly higher. Nevada has no state income tax at all, making it a popular destination for California workers who live near the border and can commute or work remotely. Oregon's tax rates range from 4.75% to 9.9%, which is steep but still well below California's top brackets. Arizona adopted a flat 2.5% income tax rate, offering substantial savings for middle- and upper-income earners who relocate from California.

California's progressive structure means that lower-income hourly workers pay relatively modest state tax rates. A worker earning $30,000 per year falls mostly in the 1% to 4% brackets and pays an effective state rate around 1.5%. However, high earners above $350,000 face marginal rates of 10.3% and above, which is where California's system becomes particularly expensive. The top brackets were originally enacted as temporary measures under Proposition 30 in 2012, which imposed higher rates on incomes above $250,000 to fund education. Proposition 55, passed in 2016, extended those elevated rates through 2030, meaning the 10.3%, 11.3%, and 12.3% brackets remain in place well beyond their original sunset date. For workers earning above $1,000,000, an additional 1% Mental Health Services surcharge brings the combined top rate to 13.3%.

Variable Definitions

Hourly Wage: Your gross pay per hour before any deductions. California minimum wage is $16.50, but many areas have higher local minimums. A fast food worker earning the $20/hour sector minimum under AB 1228 takes home considerably more than the base minimum, while a tech contractor earning $85/hour faces marginal California tax rates in the 9.3% bracket on much of that income. The difference in effective state tax rate between these two workers can be 4 to 5 percentage points.

Hours per Week: Total hours worked each week. California law requires overtime pay (1.5x) for hours above 8 per day or 40 per week, and double time above 12 hours per day. Enter your regular hours here; calculate overtime separately. For example, if you work four 10-hour days, the last 2 hours each day are overtime and should not be entered at your base rate in this calculator.

Filing Status: Your federal and California tax filing status. California uses the same filing categories as the IRS but has its own bracket amounts. Married filing jointly roughly doubles the bracket ranges. For example, a single filer earning $70,000 in California taxable income hits the 8% bracket, but a married couple filing jointly with the same $70,000 in combined income stays in the 4% bracket, saving roughly $1,800 in state tax. This makes filing status one of the most impactful variables in the entire calculation.

Pre-Tax Deduction: Percentage contributed to 401(k), 403(b), or HSA. These reduce both federal and California taxable income, providing a double tax benefit in California due to the state's high rates. For instance, contributing 6% of a $72,800 salary ($4,368) saves approximately $350 in California state tax and $960 in federal tax for a single filer in the 22% federal bracket and 8% state bracket. That is $1,310 in total tax savings for money that still belongs to you in your retirement account.

Worked Example 1: California Hourly Paycheck at $35/Hour

A single filer earning $35/hour, working 40 hours/week, biweekly pay, no pre-tax deductions:

Annual gross: $35 x 40 x 52 = $72,800
Federal taxable: $72,800 - $15,000 (std deduction) = $57,800
Federal tax: ($11,925 x 10%) + ($36,550 x 12%) + ($9,325 x 22%) = $1,192.50 + $4,386.00 + $2,051.50 = $7,630.00
CA taxable: $72,800 - $5,540 = $67,260
CA state tax: ($10,412 x 1%) + ($14,272 x 2%) + ($14,275 x 4%) + ($15,122 x 6%) + ($13,179 x 8%) = $104.12 + $285.44 + $571.00 + $907.32 + $1,054.32 = $2,922.20
Social Security: $72,800 x 6.2% = $4,513.60
Medicare: $72,800 x 1.45% = $1,055.60
Total deductions: $7,630.00 + $2,922.20 + $4,513.60 + $1,055.60 = $16,121.40
Annual take-home: $72,800 - $16,121.40 = $56,678.60
Biweekly take-home: $56,678.60 / 26 = $2,180

Worked Example 2: California Minimum Wage Paycheck at $16.50/Hour

A single filer earning $16.50/hour at the California minimum wage, working 40 hours/week, biweekly pay, no pre-tax deductions:

Annual gross: $16.50 x 40 x 52 = $34,320
Federal taxable: $34,320 - $15,000 (std deduction) = $19,320
Federal tax: ($11,925 x 10%) + ($7,395 x 12%) = $1,192.50 + $887.40 = $2,079.90
CA taxable: $34,320 - $5,540 = $28,780
CA state tax: ($10,412 x 1%) + ($14,272 x 2%) + ($4,096 x 4%) = $104.12 + $285.44 + $163.84 = $553.40
Social Security: $34,320 x 6.2% = $2,127.84
Medicare: $34,320 x 1.45% = $497.64
Total deductions: $2,079.90 + $553.40 + $2,127.84 + $497.64 = $5,258.78
Annual take-home: $34,320 - $5,258.78 = $29,061.22
Biweekly take-home: $29,061.22 / 26 = $1,117.74

At the California minimum wage, the effective state tax rate is only about 1.6%, which shows how the progressive bracket system shields lower earners. The combined federal and state income tax burden is roughly $2,633, or 7.7% of gross pay. FICA taxes add another $2,625, bringing total deductions to about 15.3% of gross income. This means a minimum-wage worker keeps nearly 85 cents of every dollar earned before considering SDI.

Edge Cases and Advanced Scenarios

California's Mental Health Services Tax: The 13.3% top rate includes a 1% surcharge (Proposition 63) on taxable income above $1,000,000 that funds mental health services. This means California millionaires pay an effective top rate 1% higher than the base schedule. This surcharge cannot be offset by credits.

California SDI and PFL: In addition to income tax, California withholds 1.1% for State Disability Insurance (SDI) on wages up to $153,164. This funds short-term disability benefits (60-70% of wages for up to 52 weeks) and Paid Family Leave (PFL). SDI is not reflected in this calculator's income tax estimate but will further reduce your actual paycheck.

California Departure and Exit Tax Considerations: When someone moves out of California mid-year, they owe California income tax on all income earned while they were a California resident, plus any California-source income earned after departure. The Franchise Tax Board (FTB) aggressively audits departures, particularly for high earners, examining factors like where your home is, where your family resides, where you are registered to vote, and where your professional licenses are maintained. California uses a "closer connection" test and looks at roughly two dozen factors to determine whether a departure is genuine. The safe harbor rules generally require that you establish domicile in the new state, spend fewer than 9 months in California during the tax year following your move, and do not maintain a home available for your use in California. Workers who split a tax year between California and another state should file a California Form 540NR (nonresident or part-year resident return) to prorate their California tax obligation. Failing to properly document a departure can result in the FTB treating you as a full-year California resident and assessing tax on your entire worldwide income.

What to Do with Your California Paycheck Result

Compare the calculator result to your actual pay stub. If your employer withholds more, you may be claiming fewer allowances on your W-4 or DE 4 (California withholding form).
If your effective California tax rate exceeds 6%, consider maximizing pre-tax contributions. A 10% 401(k) contribution on a $72,800 salary saves about $730 in California tax alone.
Use the annual take-home figure to evaluate cost-of-living in your California city. A $56,000 take-home in San Francisco has very different purchasing power than $56,000 in Sacramento or Bakersfield.
File your California state return (Form 540) annually by April 15. California does not automatically extend the filing deadline when the IRS does — check FTB.ca.gov for current deadlines.
Use the Federal Income Tax Percentage Calculator to check your effective federal rate and confirm that your withholding aligns with your actual liability. This is especially useful if you have income from multiple jobs or side work that changes your overall bracket.

Related Calculators

Texas Paycheck Calculator (Hourly) — compare your California take-home to Texas with zero state income tax.
Florida Paycheck Calculator (Hourly) — another no-income-tax state for comparison.
Salary Calculator — convert between hourly and annual pay.
Income Tax Calculator — estimate your total federal income tax liability.
Federal Income Tax Percentage Calculator — find your effective federal tax rate.
Paycheck Calculator by State — compare take-home pay across all 50 states and DC.

California Paycheck Calculator (Hourly)