The California exempt salary threshold 2025 refers to the minimum salary that must be paid to an employee in order for them to be classified as exempt from overtime pay under California law. The threshold is set by the California Labor Commissioner and is adjusted every few years to keep pace with inflation. The current threshold for 2023 is $58,240 per year, or $4,853 per month. In 2025, the threshold is expected to increase to $64,480 per year, or $5,373 per month.
The exempt salary threshold is important because it helps to ensure that employees are paid fairly for their work. Employees who are classified as exempt are not entitled to overtime pay, so it is important to make sure that they are paid a salary that is commensurate with their experience and responsibilities. The threshold also helps to prevent employers from misclassifying employees as exempt in order to avoid paying overtime wages.
