California payroll is the most complex in the country. We handle all of it.

California has the most complex state payroll environment in the country. Employers must withhold California Personal Income Tax (PIT) using the state's graduated rate table, withhold State Disability Insurance (SDI) contributions from employees, and pay Employment Training Tax (ETT) and State Unemployment Insurance (SUI) on employee wages. All four of these taxes have separate rates, wage bases, and deposit schedules administered by the Employment Development Department (EDD). New employer SUI rates start around 3.4%.

Beyond the four-tax EDD system, California imposes daily overtime. Employees who work more than 8 hours in a single workday are entitled to overtime at 1.5x, and hours beyond 12 in a single day are paid at 2x regular rate. California also has mandatory Paid Family Leave funded through the SDI contribution, meal and rest break premium pay obligations, final paycheck rules requiring immediate payment for discharged employees, and strict wage statement requirements that create penalty exposure for non-compliant pay stubs. AB5 adds contractor classification rules that affect how you report workers.

BEG handles the full California payroll stack: PIT withholding at current rates, SDI and ETT withholding and remittance, daily overtime calculations, meal and rest break tracking, SUI filings with EDD, compliant wage statements, new hire reporting, and W-2 production. California payroll without a dedicated specialist is the fastest way to accumulate penalties. BEG is that specialist.