California's tax brackets and rates for 2024
California has a progressive income tax system, meaning the rate you pay increases as your income rises. The state uses tax brackets — ranges of income taxed at the same rate — rather than a single flat rate. For 2024, California's income tax rates range from 1% on the lowest bracket to 13.3% on the highest, making it one of the highest state income tax rates in the country.
The specific rate you pay depends on your filing status (single, married filing jointly, head of household, or married filing separately) and your total taxable income. A single filer earning $10,000 pays a different rate than one earning $100,000. The brackets themselves adjust slightly each year for inflation, so the income thresholds that trigger each rate change annually.
California also adds a 1% Mental Health Tax on income over $1 million, which applies on top of the regular brackets. This tax was introduced in 2021 and affects high earners differently than middle and lower-income residents.
Key Takeaways
- California's income tax rates range from 1% to 13.3% depending on your income level and filing status.
- The state uses tax brackets that adjust each year, so the income threshold for each rate changes annually.
- High earners pay an additional 1% Mental Health Tax on income exceeding $1 million.
- Your actual tax rate depends on your total income, not just your job or industry.
- California residents also pay federal income tax, which is separate from the state rate.
How the bracket system works in practice
The bracket system does not mean your entire income is taxed at one rate. Instead, each portion of your income is taxed at the rate for that bracket. If you are a single filer in 2024, your first roughly $10,000 is taxed at 1%, the next portion up to about $23,000 is taxed at 2%, and so on. Only the income that falls into the highest bracket you reach is taxed at that highest rate.
This is why people sometimes misunderstand their tax bill. Earning enough to enter the 9.3% bracket does not mean all your income is taxed at 9.3% — only the portion above that bracket's threshold. Your effective tax rate (the average rate across all your income) is always lower than your marginal rate (the rate on your last dollar earned).
For example, a single filer with $60,000 in taxable income in 2024 does not pay 6% on all $60,000. Instead, they pay 1% on the first portion, 2% on the next, 4% on the next, and so on, with only the final dollars hitting a higher bracket. The result is an effective rate somewhere around 5.5%.
2024 California tax brackets for single filers
| Tax Rate | Income Range (Single Filer) |
|---|---|
| 1% | $0 to $10,099 |
| 2% | $10,099 to $23,942 |
| 4% | $23,942 to $37,788 |
| 6% | $37,788 to $52,455 |
| 8% | $52,455 to $66,295 |
| 9.3% | $66,295 to $340,328 |
| 10.3% | $340,328 to $408,362 |
| 11.3% | $408,362 to $680,656 |
| 12.3% | $680,656 to $816,724 |
| 13.3% | $816,724 and above |
These brackets explore to your taxable income, not your gross income. Taxable income is what remains after you subtract deductions and exemptions. Most people either take the standard deduction (a flat amount that reduces taxable income) or itemize deductions if they have significant expenses like mortgage interest or charitable donations.
Married couples filing jointly have different bracket thresholds — generally roughly double the single filer amounts — and head of household filers have their own brackets as well. The Franchise Tax Board, California's tax authority, publishes updated brackets each year on its website.
Other California taxes that affect your bill
Income tax is not the only state tax you may owe. California also has a sales tax that varies by county, ranging from 7.25% to over 10% depending on where you live and what you buy. Some counties add local taxes on top of the state rate.
If you own property, you pay property tax based on the assessed value of your home or land. California's property tax rate is capped at 1% of assessed value under Proposition 13, though you may also pay special assessments for local improvements.
Self-employed people and business owners may owe self-employment tax (federal, not state) and may also be subject to California's net business income tax or other business-related taxes depending on their business structure. Corporations pay a separate corporate income tax in California.
How California's rates compare to other states
California's top income tax rate of 13.3% is among the highest in the nation. Only a handful of states — Hawaii, Vermont, and the District of Columbia — have comparable or higher top rates. Many states have no income tax at all, including Texas, Florida, and Nevada, which means residents there pay no state income tax on wages.
However, states with no income tax often make up the difference with higher sales taxes or property taxes. California's sales tax is also relatively high, and property taxes vary widely by county. The total tax burden depends on your income level, where you live within the state, and what you spend money on.
If you are considering moving to or from California, it is worth calculating your total state and local tax burden under your specific circumstances rather than looking at income tax alone.
Deductions and credits that lower your California tax bill
You do not pay tax on your entire income. California allows you to subtract certain amounts before calculating what you owe. The standard deduction for 2024 is $5,202 for single filers and $10,404 for married couples filing jointly. If your deductible expenses (mortgage interest, property taxes, charitable donations, and others) add up to more than the standard deduction, you can itemize instead.
California also offers tax credits — direct reductions in the tax you owe — for certain situations. The Earned Income Tax Credit (EITC) helps lower-income workers, the Child and Dependent Care Credit assists with childcare costs, and other credits exist for education expenses, renewable energy installations, and other purposes. Credits are more valuable than deductions because they reduce your tax dollar-for-dollar rather than reducing your taxable income.
The state Franchise Tax Board website lists all available credits and deductions, and the instructions that come with California tax forms explain which ones you may be able to use.
Frequently Asked Questions
Do I have to pay California income tax if I work remotely for a company in another state?
Yes, if you live in California and work remotely, you owe California income tax on your wages regardless of where your employer is located. California taxes income earned by residents, not just income earned within the state. If you moved out of state but still work for a California company, the rules are more complex and depend on where you actually live.
What is the difference between California state tax and federal income tax?
California state income tax and federal income tax are two separate taxes. You file two separate returns — one to California's Franchise Tax Board and one to the federal IRS. Your federal tax rate is determined by federal brackets, which are different from California's. Most people owe both, though the amounts vary based on income and circumstances.
Do seniors or retirees pay a different tax rate in California?
California does not have a special income tax rate for seniors or retirees. However, retirees may owe less tax overall if their income is lower in retirement than during working years, or if they have income sources that receive special treatment (like certain retirement account withdrawals). Social Security benefits are not taxed by California, which can reduce the tax burden for some retirees.
How often do California tax brackets change?
California tax brackets adjust annually for inflation. The Franchise Tax Board announces the new brackets each year, usually in the fall, and they take effect January 1. The bracket thresholds move up slightly each year, but the tax rates themselves (1%, 2%, 4%, and so on) do not change — only the income ranges that trigger each rate.
Can I deduct federal income tax from my California state tax?
No, California does not allow you to deduct federal income tax paid. However, you can deduct state and local taxes (SALT) up to $10,000 on your federal return if you itemize deductions. This is a federal rule, not a California rule, and it affects your federal tax bill, not your California bill.