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Planning your January 2023 employer labor cost budget for California business owners

Effective January 1, 2023, employers regardless of their number of employees, must pay all employees at least $15.50 per hour

· On July 27th California's department of finance confirmed that due to inflation the minimum wage for all employers will increase to $15.50 per hour on January 1, 2023.

· This wage increase will be for large and small employers

· On January 1, 2023, to qualify for a white-collar exemption, the employee must receive an annual salary of at least $64,480 annually ($1,240 weekly) for all employers.


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