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California +$0.98/hr · 2026
New Jersey flagvsCalifornia flag

New Jersey vs California Minimum Wage 2026

In 2026, California wins on the statewide minimum wage: $16.90/hour vs $15.92/hour in New Jersey — a gap of $0.98/hour. At full-time (40 hrs/week), that is roughly $2,038.40 more gross income per year before taxes. This page compares floors, tip credits, local rates, and scheduled increases; use our hourly and tax calculators for take-home.

By Sammy S. · Founder · AuthorUpdated for 2026

$15.92New Jersey
$16.90California
$0.98Hourly gap
$2,038.40FT annual gap

California wins · 2026

$15.92/hr

$33,113.60/yr FT · effective January 1, 2026

$16.90/hr

$35,152.00/yr FT · effective January 1, 2026

Highest listed local: Emeryville at $20.34/hr

Gap: $0.98/hr · $2,038.40/yr FT ($169.87/mo)

Why California wins

  • California's statewide minimum is $0.98/hr higher ($16.90 vs $15.92).
  • At 40 hours/week, that is about $2,038.40 more gross pay per year ($169.87/month).
  • California does not allow a tip credit (full minimum before tips), while New Jersey permits a lower tipped cash wage.
  • Some California cities go even higher (e.g. Emeryville at $20.34/hr).

Side-by-side metrics

MetricNew Jersey flag New JerseyCalifornia flag California
Statewide minimum$15.92/hr$16.90/hr
FT annual gross (40×52)$33,113.60$35,152.00
vs federal floorAbove federalAbove federal
Tip creditYes ($6.05 cash)No tip credit
Local floors listed07
Scheduled / indexed raisesNone listedNone listed

Pay by hours/week

Gross pay at each state's statewide minimum (before taxes).

HoursNew Jersey / wkCalifornia / wkNew Jersey / yrCalifornia / yr
20 hrs$318.40$338.00$16,556.80$17,576.00
30 hrs$477.60$507.00$24,835.20$26,364.00
40 hrs$636.80$676.00$33,113.60$35,152.00

Rate history 2020–2026

Official January 1 rates from the U.S. Department of Labor for New Jersey vs California.

YearNew Jersey flagNew JerseyCalifornia flagCaliforniaGap
2026$15.92$16.90+$0.98
2025$15.49$16.50+$1.01
2024$15.13$16.00+$0.87
2023$14.13$15.50+$1.37
2022$13.00$14.00+$1.00
2021$12.00$13.00+$1.00
2020$11.00$12.00+$1.00

Source: DOL WHD historical tables (Jan 1 rates).

Pros & caveats

New Jersey flagNew Jersey

Pros

  • Above the federal $7.25 floor

Cons / caveats

  • Lower state floor than California ($15.92 vs $16.90)
  • Tip credit allowed — cash wage can be as low as $6.05/hr if tips cover the gap
  • No automatic CPI schedule listed — raises need new legislation or ballots

California flagCalifornia

Pros

  • Higher state floor ($16.90 vs $15.92)
  • Above the federal $7.25 floor
  • No tip credit — tipped staff earn the full state minimum before tips
  • 7 local floors (up to $20.34 in Emeryville)

Cons / caveats

  • No automatic CPI schedule listed — raises need new legislation or ballots

Planning guide

How to read the New Jersey vs California minimum wage comparison

California has the higher statewide minimum in 2026. Use tip credits, city floors, and take-home tools before deciding which corridor fits workers or payroll.

Statewide floor

New Jersey $15.92/hr vs California $16.90/hr

FT annual gap

$2,038.40/yr before taxes

Tip credits

New Jersey: allowed · California: not allowed

Local floors

New Jersey: 0 major · California: 7 major

Before you use this New Jersey vs California wage gap

Confirm work location

Pay follows where hours are worked. City ordinances can exceed either statewide floor.

Separate tipped roles

Cash wages under a tip credit are not the full minimum until tips make up the difference.

Check effective dates

Rates are for 2026. Scheduled increases can change the gap mid-year.

Model take-home next

Convert hours with the hourly calculator, then compare state tax take-home for net pay.

Federal vs New Jersey and California

The federal FLSA floor is a nationwide baseline. Workers get the highest of federal, state, or local rates that apply to their hours. This duel ranks statewide floors; local ordinances and tip credits can change the cash wage for specific jobs.

FAQ

California is higher at $16.90/hour versus $15.92 in New Jersey ($0.98/hr gap).

About $2,038.40 more gross per year at 40 hrs/week ($169.87/month), before taxes and overtime.

New Jersey: yes — tipped cash wage around $6.05/hr. California: no tip credit. Tips must still bring workers to the applicable minimum.

New Jersey lists 0 major local floors. California lists 7 (highest Emeryville at $20.34). Employers must pay the highest applicable federal, state, or local rate.

New Jersey went from $11.00/hr (Jan 1 2020) to $15.92/hr (Jan 1 2026) (+$4.92/hr). California went from $12.00/hr to $16.90/hr (+$4.90/hr). Figures are official U.S. DOL January 1 rates.

Yes. Rates reflect our 2026 minimum wage tracker (last reviewed against DOL and state labor sources). Laws change on Jan 1 / Jul 1 often — verify with each state's labor agency before payroll changes.

Convert hours with our hourly salary calculator, then run the result through the US tax calculator (or each state's calculator) for federal, state, and FICA withholdings. Minimum wage figures here are gross floors, not net pay.

Not always. California has the higher legal floor, but state income tax, FICA, and cost of living can narrow or erase the net advantage. Model both states at the same hours with the tax tools.

Employers must pay the highest applicable rate for the hours worked in that jurisdiction. Compare New Jersey and California state floors here, then check local ordinances on each state page.

The ladder shows weekly and annual gross at common hour counts using each state's statewide minimum. It helps translate the hourly gap into cash flow before taxes—overtime and tips are not included.

Use related links below, the reverse matchup (California vs New Jersey), or the minimum wage compare hub picker for any two states.

Compare take-home too

Wage floors are only half the story. See state tax take-home comparisons for federal + state + FICA at the same salary.

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