Payroll Services in California

Struggling to keep up with payroll and HR in California? From local ordinances to statewide labor laws, we’ll help you save time and focus on growing your business.

How Paylocity Helps California Employers

Payroll That Gets It Done

Seamless Automation: Eliminate repetitive tasks with automated workflows that boost accuracy and save time.
Smart Safeguards: Built-in audits and integrations flag issues before they become errors.
Transparent Calculations: Easily manage overtime, bonuses, and local tax changes, even across overlapping jurisdictions.

Make Payroll Easy

Your Extra HR Team Member

Automated Workflows: Use ready-made templates for common tasks or build custom processes that fit your business.
One Employee Record: A single source of truth for employee data keeps everything organized and compliant.
Time & Labor Made Simple: Schedule quickly, track clock-ins and meal breaks, and standardize time-off requests.

Optimize HR Efficiency

Compliance Made Simple

Compliance Dashboard: Get a clear view of requirements with updated forms and expert HR support.
Built-In Data Access: Quickly find work authorizations, EEO/FLSA data, pay records, certifications, and industry updates.
Always Up-to-Date Forms: Access the latest state and federal forms right from the platform.

Streamline Compliance Tasks

Challenges Facing Employers in California

California maintains a complex compliance landscape that requires a careful balance between federal standards and state mandates.

As an employer, you must grapple with:

Unique tax requirements for state disability insurance and employment training.
Higher state and local minimum wage rates.
Additional wage regulations, such as pay transparency.

California Payroll Fast Facts

Minimum Wage

$16.50

State Income Tax Rate

1.10% - 14.63%

Right to Work Laws

None

State Unemployment Tax Rate

3.4% (new employers)
1.5% - 6.2% (experienced employers)

Last Updated: December 2025

California Tax and Compliance Resources

California Payroll Tax Compliance

Explore California-specific payroll tax facts with current rates, filing deadlines, and agency links and resources. Stay ahead of changing regulations with reliable, up-to-date information.

California Tax Facts

California Employment and Labor Laws

Discover California-specific employment and labor laws with details on wages, paid leave, overtime rules, and more. Enhance your workforce policies and management with these updated insights.

California Employment Laws

FAQs About Paying Employees in California

Does California have a state income tax?

Yes, California state income tax is progressive, ranging from 1.10% - 14.63% based on the taxpayer's level of income.

Is California a Right to Work State?

No, California is not a right to work state, but it can pass right to work laws in the future if it wishes to do so.

What are the California final pay laws?

In California, employees who voluntarily resign from a job must receive their final paycheck either at the time of quitting (if they gave at least 72-hours notice) or within 72 hours of quitting (if they gave no notice or quit earlier than planned). Involuntarily terminated employees must receive their final paycheck immediately.

Are there California work break laws?

Yes, under state law employers must provide employees with a 15-minute rest period for every four hours worked and a 30-minute, unpaid meal break when an employee works over five hours in a day. A second 30-minute meal break must be provided if an employee works over 12 hours in a day.