Valor Payroll Solutions
California Payroll Information
Enterprise payroll expertise, exclusively for small businesses.
Paying Employees in California
California 2023 Minimum Wage:
- $15.50 per hour
- * Minimum wage may vary by city
California Overtime Rules:
- 1.5 x’s the regular rate for non-exempt employees for hours worked over 8 in a workday or over 40 in a workweek, and for the first 8 hours worked on the 7th consecutive day of work in a workweek.
- 2 x’s the regular rate of pay for hours worked over 12 in a workday, and for all hours worked over 8 on the 7th consecutive day of work in a workweek.
- Gross wages earned
- Total hours worked by the employee, except if:
- The employee’s compensation is solely based on salary and the employee is exempt from payment of overtime under subdivision (a) of Section 515 or any applicable order of the Industrial Welfare Commission.
- The employee is exempt from the payment of minimum wage and overtime under any of the following:
- The exemption for persons employed in an executive, administrative, or professional capacity provided in any applicable order of the Industrial Welfare Commission.
- The exemption for outside salespersons provided in any applicable order of the Industrial Welfare Commission.
- The overtime exemption for computer software professionals paid on a salaried basis provided in Section 515.5.
- The exemption for individuals who are the parent, spouse, child, or legally adopted child of the employer provided in any applicable order of the Industrial Welfare Commission.
- The exemption for participants, director, and staff of a live-in alternative to incarceration rehabilitation program with special focus on substance abusers provided in Section 8002 of the Penal Code.
- The exemption for any crew member employed on a commercial passenger fishing boat licensed pursuant to Article 5 (commencing with Section 7920) of Chapter 1 of Part 3 of Division 6 of the Fish and Game Code provided in any applicable order of the Industrial Welfare Commission.
- The exemption for any individual participating in a national service program provided in any applicable order of the Industrial Welfare Commission.
- The number of piece-rate units earned and any applicable piece rate if the employee is paid on a piece-rate basis
- All deductions, provided that all deductions made on written orders of the employee may be aggregated and shown as one item
- Net wages earned
- The inclusive dates of the period for which the employee is paid
- The name of the employee and only the last four digits of his or her social security number or an employee identification number other than a social security number
- The name and address of the legal entity that is the employer and, if the employer is a farm labor contractor, as defined in subdivision (b) of Section 1682, the name and address of the legal entity that secured the services of the employer
- All applicable hourly rates in effect during the pay period and the corresponding number of hours worked at each hourly rate by the employee and, beginning July 1, 2013, if the employer is a temporary services employer as defined in Section 201.3, the rate of pay and the total hours worked for each temporary services assignment.
- Employers must show how many days of sick leave you have available on your pay stub, or on a document issued the same day as your paycheck. If an employer provides unlimited paid sick leave or unlimited paid time off, the employer may indicate “unlimited” on your pay stub or other document provided to you the same day as your wages.
How often do you have to pay employees in California?
- Employees must be paid at least twice per month, with an exception for executive, administrative and professional employees which can be paid once per month on or before the 26th of the month for the entire month’s salary.
When is an employee’s final check due in California?
- Involuntary termination – at the time of termination
- Voluntary resignation – at time of resignation (if 72 hours notice given), within 72 hours if no notice given
California Withholding Tax Registration
Wages Subject to California Withholding Tax
- All income earned by CA residents is subject to CA income tax
- All income earned by non-residents within CA is subject to CA income tax
California Withholding Tax Due Dates:
- CA Income tax payment due dates are dependent on the employer’s federal tax deposit schedule and the income tax amounts.
- For next-day federal deposit schedule:
- Less than $350 accumulated is due quarterly on the last day of the month in the month following the quarter end
- $350-$500 is due monthly on the 15th of the following month
- More than $500 is due on the next business day.
- For semi-weekly federal deposit schedule:
- Less than $350 is due quarterly
- $350-$500 is due monthly
- More than $500 is due semi-weekly (payday Wed-Fri due the following Wednesday, paid Sat-Tues due the following Friday).
- For monthly, quarterly or annual federal deposit schedule:
- Less than $350 in accumulated PIT is due quarterly
- $350 or more in accumulated PIT is due monthly
California Unemployment Tax Registration
- Enroll online
California Unemployment Tax Employer Liabilities
- New employer rate: 3.4% + .1% ETT
- 2023 Wage Base: $7,000
California Unemployment Tax Due Dates
- Return and payment are due quarterly on the last day of the month following the end of the reporting period
California New Hire Reporting
- Employment Development Department
New Employee Registry
PO Box 997016, MIC 96
West Sacramento, CA 95799-7016
- Phone: 916-255-0951
- Fax: 916-319-4400
- Report new hires online
California Child Support
- CA SDU
PO Box 419064
Rancho Cordova, CA 95741
- Phone: 866-901-3212
- Pay California child support online
Additional California Business Resources
What Our Satisfied Clients are Saying
Valor Payroll Solutions has, quite literally, changed my life. I’m the CEO of a small, but fast growing, company, and I had previously been taking care of our multi-state payroll myself. It was overwhelming and I did not have the necessary expertise. Christina from Valor stepped in and took our payroll over completely, including all of the multi-state tax filings and other reporting. She also fixed all of the mistakes I didn’t even know I had made. She is kind, gracious, knowledgeable, attentive, and communicative. She has improved my company and has allowed us to continue growing. I would recommend Valor to any company with payroll needs. You will kick yourself for not doing it sooner.
Christina with Valor Payroll Solutions has been nothing short of amazing for our small business. She is kind, she is patient, she is prompt, and she has helped us learn so much that our previous payroll company was letting slide through the cracks. We are so grateful to have found her.
Christina was extremely helpfully and very patient. Christina delivered good work on this project. I enjoyed working with her, Her communication was top-notch, she met all deadlines, and her skills were reasonably strong. She helped me find additional information. I enjoyed working with Christina and will definitely be working with her in the future. Thank you Christina.
If I could give a 10 star I WOULD!! Usually I don’t take time to actually write reviews unless the experience was top notch. Christina is by far the MOST patience and professional individual, I’ve had the pleasure of working with. She answered all of my seriously silly questions without belittling me. She responds very fast, with great detail and clarity. I’ll def be using her again. Thank me later!
Christina was very knowledgeable in all the HR and hiring rules. She really helped me set up the hiring system for my startup. She called CA FTB to confirm the details and went over and above to do her job perfectly. It was awesome working with her and I am glad I hired her.
Christina is a great professional, works fast, pays attention to details, and is very thorough. Hope to work with her on more extensive tasks!
Christina did an excellent job on my project. Fast, professional and her work was superb!
Christina Hageny did some early work for our company and we were so impressed with her level of knowledge, expertise and commitment to the project that we signed her on to manage our company’s payroll full time. We deal in all 50 states and have employees spread out all over the country. As you can imagine, we brought a pretty complex set-up to the relationship, but Christina tackled it without any issue and got us back into compliance while ensuring that our team got compensated correctly and on time along the way. We do and will continue to recommend Christina Hageny and Valor Payroll Solutions to our friends and colleagues. Capable, trustworthy and unparalleled customer service!