Get Ready for New Minimum Wage

Starting January 1, 2026, California’s statewide minimum wage will rise from $16.50 to $16.90/hour for all employers.

That increase also bumps the minimum exempt-employee salary to $70,304/year. Recall certain exempt-employee categories, such as the Executive, Administrative and Professional exemptions require the exempt employee earn a monthly salary that is no less than twice the state minimum wage for full-time employment (defined as 40 hours/week).

Importantly, many cities (e.g., Los Angeles, San Francisco, Emeryville) maintain higher local minimum wages, sometimes well above the statewide minimum. Be sure to confirm you are meeting the new wage requirement for your specific location.