California employs a progressive income tax system with rates ranging from 1% to 12.3%, which can significantly impact your net income based on your earnings level. The Golden State's tax code is one of the most complex in the nation, with numerous brackets and additional taxes for high-income earners.
California Income Tax Highlights
- 1% on the first $10,412 of taxable income
- 2% on income between $10,412 and $24,684
- 4% on income between $24,684 and $38,959
- 6% on income between $38,959 and $54,081
These rates apply to residents on all sources of income and to non-residents on California-sourced income. The state also has different brackets for married couples filing jointly and heads of household.
California Calculators & Tools
Calculate Your Take-Home Pay
Input your income details and see how much you make after taxes and deductions.
Bonus Calculators
Find out how much your bonus will be taxed.
Net-to-Gross
Find out how much your gross pay should be for a specific take-home pay.
Withholding Forms
Specialty Calculators
Dual Scenario Hourly
Compare your take home pay in different hourly scenarios.
Dual Scenario Salary
Compare your take home pay in different salary scenarios.
401k Calculator
See how increasing your 401k contributions will affect your paycheck and your retirement savings.
Tax Tip Calculator
Determine your take home from tips after taxes
Key Points to remember about the California Paycheck Structure
- Progressive tax system with the highest top marginal rate in the country
- Additional 1% Mental Health Services Tax on income over $1 million
- Standard deductions of $5,363 for single filers and $10,726 for married filing jointly (2023 figures)
- Personal exemption credits instead of deductions ($144 for single, $288 for married filing jointly)
- No local income taxes in California
- State Disability Insurance (SDI) withholding of 0.9% on wages up to $153,164 (2024)
Understanding these aspects of California's tax landscape is crucial for accurately estimating your net income and managing your finances effectively in the Golden State. The complexity of California's tax system makes it essential to use up-to-date calculators and consult with tax professionals for personalized advice.
Learn more about the Payroll Process in California
Visit the California Payroll Guide page
Fun Facts
The most populous state, California is known for its diverse landscapes, from beaches to mountains. It’s home to Hollywood, Silicon Valley, and national parks like Yosemite. California is a global hub for technology, entertainment, and culture.