California Guide · Updated 2026
California Minimum Wage & Local Ordinances
“The” California minimum wage is really a patchwork: a statewide floor, dozens of higher local rates, and special sector minimums on top. Paying the wrong one is a wage-and-hour claim waiting to happen — so always confirm the current figures before each adjustment date.
The statewide floor
California's statewide minimum wage applies to nearly all employees and adjusts every January 1 for inflation. Because rates change annually, check the current figure with the California Department of Industrial Relations (DIR) rather than relying on a number you saw last year.
Many cities and counties are higher
Dozens of California localities — including Los Angeles (city and county), San Francisco, San Jose, Mountain View, Emeryville, and West Hollywood — set their own higher minimum wages. You must pay the highest applicable rate for where the employee actually works, and many local rates adjust on July 1 rather than January 1.
Industry-specific minimums
- Fast food (AB 1228): a higher minimum wage for fast-food restaurant employees, set by the Fast Food Council.
- Health care (SB 525): a separate, phased minimum wage for many health-care facility workers.
It also sets the exempt salary threshold
The minimum salary for most exempt employees is twice the state minimum wage for full-time work (40 hours/week). So when the state minimum wage rises, the salary floor for keeping someone exempt rises with it — re-check your exempt employees each January.
Stay compliant
- Post the current minimum-wage notice (state and any local).
- Audit pay rates each January (state) and July (many local ordinances).
- Confirm exempt salaries still clear the updated threshold.
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