State rates / California

What employers pay in California.

The 2025 statutory rates that drive employer costs — and any PEO quote — in California.

SUI wage base$7,000verified
SUI new-employer rate3.40%verified
SUI cost per employee (at new-employer rate)$238/yr
FUTA effective rate1.8%verified
Workers' comp index (per $100 payroll)$1.78likely
FICA (federal, all states)7.65%verified

California is a FUTA credit-reduction state: the effective federal unemployment rate is 1.8% instead of the standard 0.6%.

The workers' comp index is a payroll-weighted average — your actual rate depends on class-code mix. Office-heavy firms run well below the index; construction and transportation run well above it.

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