California Hourly Paycheck Calculator
Understanding Your California Hourly Paycheck
California has one of the most complex tax structures in the United States. When you work an hourly job in the Golden State, your gross pay (the number of hours multiplied by your hourly rate) is subject to several mandatory deductions before it hits your bank account as "net pay."
Mandatory California Deductions
1. Federal Income Tax: This is based on your total annual earnings and filing status. The IRS uses progressive tax brackets ranging from 10% to 37%.
2. FICA (Federal Insurance Contributions Act): This includes Social Security (6.2%) and Medicare (1.45%). Almost every employee sees a total of 7.65% deducted for these programs.
3. California State Income Tax: California has progressive tax brackets that range from 1% up to 13.3% for the highest earners. For most hourly workers, the effective rate sits between 2% and 8%.
4. CA SDI: The State Disability Insurance tax is unique to California. For 2024, the rate is 1.1% of your gross wages. Unlike other states, California removed the taxable wage ceiling starting in 2024, meaning all earned income is subject to this tax.
Example Calculation
If you earn $30 per hour and work 40 hours per week in Los Angeles, your weekly gross is $1,200. After estimating federal taxes (~$110), CA State tax (~$45), FICA (~$91.80), and SDI (~$13.20), your take-home pay would be approximately $940.00 per week.
Why use an Hourly Paycheck Calculator?
Hourly wages often fluctuate due to overtime or varying shifts. Using a specific California hourly paycheck calculator helps you budget effectively by accounting for the state-specific SDI and progressive state brackets that general national calculators often overlook.