Minimum Wage by StateLatest check 2026-11-02

California vs Texas minimum wage 2026

At 40 hours per week, the gross-pay gap between California and Texas is $20,072.00 per year at each state's standard minimum.[DOL WHD]

MeasureCACaliforniaTXTexas
Standard minimum (2026)$16.90$7.25
In effecteffective 2026-01-01in effect as at 2026-07-01 per US DOL
Tipped cash wage$16.90$2.13
Tip credit ceilingNot permitted$5.12
Indexed to inflationYesNo
Next scheduled step$17.40 on 2027-01-01None
vs federal $7.25+$9.65+$0.00
Gross at 40 hours/week$676.00 / week$290.00 / week
Gross at 40 hours/year$35,152.00$15,080.00
Net after federal tax and FICA (annual, before state tax)$30,424.63$13,926.38

Why the gap exists

California: An employer may not use an employee's tips as a credit toward its obligation to pay the minimum wage per hour.

And on the other side

No scheduled increase is recorded. This row was taken from the DOL tables only and the state's own site was not checked in this pass, so a scheduled increase may exist and simply not be captured here.

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