California Minimum Wage 2026
California's minimum wage of $16.90 in 2026 is among the highest in the United States, and it is significantly higher than than the base federal minimum wage of $7.25 still used in 20 states.
Federal 
California Assuming a standard 40-hour work week, the weekly minimum wage in California is $676. For full-time employees working 52 weeks per year, the annual minimum wage in California is $35.2K.
Based on $16.90/hr minimum
Based on $16.90/hr minimum
The minimum wage rate of California and its neighboring states ranges from $12 to $16.90, with an average of $14.95. California, at $16.90, has the highest hourly minimum wage within this group of states. Hawaii ($16), Arizona ($15.15), Oregon ($14.70), and Nevada ($12) have lower hourly rates than California.
California While the general minimum wage is $16.90 per hour in California, there are exceptions where workers may legally receive less than this amount:
All 'fast food restaurant employees' have a higher minimum wage of $20 per hour
A scale of alternate minimum wages exist for healthcare workers, depending on their role and type of facility they work in. These vary between $18 and $25.
An employee who customarily spends more than 50% of their working time away from the employer’s place of business selling products or contracts is exempt from minimum wage legislation.
These family members are exempt from minimum wage legislation.
Several cities in California have specific minimum wage exceptions as well:
California's cost of living index for 2025 is 142.3, which places it as the 2nd most expensive state to live in the United States.
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California 142.3
Assuming a standard 40-hour work week, the real wage in California, adjusted for the state’s cost of living index of 142.3, is approximately $11.88 per hour. This means that while the nominal minimum wage is $16.90 per hour, the purchasing power of those earnings is lower due to California's higher cost of living expenses. For full-time employees, the real weekly earnings amount to roughly $475.05, translating to an annual purchasing power of $24,702.74 when working 52 weeks per year.
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According to the most recent data, the median household income in the United States has seen a significant increase in 2023.
The increases are primarily driven by inflation, with a maximum annual increase of 3.5% based on the Consumer Price Index.
