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Employer checklist · California · 2027

California employer compliance checklist for 2027

Registration, new hires, pay rates, leave, breaks, insurance, final pay and year-end filing, in the order you meet them, each from the state's own pages.

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Sources checked:

Quick answer. California: $7,000 SUTA wage base; 3.4% new employer rate; new hires reported in 20 days; $17.40 minimum wage from January 1; paid sick leave required; meal breaks required; same-day final pay if fired. 17 of 18 checklist items are confirmed on official pages; 1 is marked not confirmed, with the page to check.

California 2027 employer checklist

1. Register for unemployment tax and withholdingBefore the first payroll.

2. Report new hires and check work eligibilityFor every hire, rehire and, where the state says so, contractor.

  • ConfirmedReport each new hire to the state

    Within 20 days of the start-of-work date (the first day services were performed for wages).

    • Who: All new or rehired employees who work in California (Report of New Employee(s), DE 34).
    • Independent contractors: yes, report them too. Report of Independent Contractor(s), DE 542: within 20 days of paying $600 or more, or entering into a contract for $600 or more, with an individual or sole proprietor for whom you must file a federal Form 1099-MISC.
    • How: online. EDD says employers must submit employment tax returns, wage reports and payroll tax deposits electronically; it points to e-Services for Business.

    Source: California EDD: Required Filings and Due Dates, checked November 2026 · More: First hire checklist for California

  • ConfirmedWorkplace posters

    California Department of Industrial Relations lists the required posters.

    Source: California Department of Industrial Relations: Workplace Postings, checked November 2026 · More: First hire checklist for California

  • ConfirmedE-Verify for private employers

    No state rule requires it. The state and local governments may not require an employer to use E-Verify, except where federal law or federal funding requires it.

    Existing law prohibits the state, or a city, county, city and county, or special district, from requiring an employer
    • If skipped: A civil penalty of up to $10,000 for each violation of the rule on when E-Verify may be used.

    Source: AB 622 (2015), enrolled bill text and Legislative Counsel's digest, checked November 2026 · More: California E-Verify

3. Set pay at the minimum wage: January 1 and mid-yearCheck every hourly and tipped rate against the floor.

4. Paid sick leaveAccrual, limits and notice.

  • ConfirmedPaid sick leave

    Healthy Workplaces, Healthy Families Act (Labor Code 245-249), as amended by SB 616. Yes: a statewide paid sick leave law covers private employers.

    • Accrual: At least 1 hour of paid sick leave for every 30 hours worked, or an up-front policy that gives the full amount for the year at once.
    • Yearly limit: An employer may limit use to 40 hours or 5 days a year and may cap the total an employee accrues at 80 hours or 10 days.
    • Small employers: The law covers employees who work at least 30 days for the same employer within a year in California. A few uses tied to victims of violence apply only to employers with 25 or more employees.
    • Carryover: Unused accrued leave carries over, though the employer may set a cap by policy (accrual may be capped at 80 hours or 10 days).
    • Notice to employees: Employers must display the poster, give each employee an individual notice, and show the sick leave available on the pay stub or a separate writing each payday. Records are kept for three years.
    • When it can be used: An employee must satisfy a 90-day employment period before taking sick leave.

    Source: California Paid Sick Leave: Frequently Asked Questions (Labor Commissioner), checked November 2026 · More: California paid sick leave

  • ConfirmedCity or county sick leave rules

    California Paid Sick Leave FAQ (local ordinances section)

    Source: California Paid Sick Leave: Frequently Asked Questions (Labor Commissioner), checked November 2026 · More: California paid sick leave

5. Meal and rest breaksAdults and workers under 18.

6. Workers' compensationCoverage, posters and proof.

  • ConfirmedWorkers' compensation insurance

    Required for every employer, even with only one employee.

    California employers are required by law to have workers' compensation insurance, even if they have only one employee.
    • Owners and officers: Coverage for a sole proprietor is optional and must be stated in the policy. Corporate officers and directors must be included, but officers and directors who own the whole corporation may elect to be excluded.
    • Poster: Post the 'notice to employees' poster where workers can see it. Not posting can bring a civil penalty of up to $7,000 per violation.
    • Check a policy: The DWC doesn't keep employers' insurer information. It points to the Workers' Compensation Insurance Rating Bureau (WCIRB) for an insured employer, and to the state roster for self-insured employers.
    • An employer can show proof of coverage with a certificate of insurance from its insurance carrier.

    Source: Employer information (California DWC), checked November 2026 · More: California workers' comp

  • ConfirmedIf there's no coverage

    Going without coverage is a misdemeanor (a fine of at least $10,000, up to a year in county jail, or both), and the state issues penalties of up to $100,000 against illegally uninsured employers. A stop order can bar using employee labor.

    Source: Employer information (California DWC), checked November 2026 · More: California workers' comp

7. Final payWhen someone leaves.

8. Year-end W-2 and 1099 filingState copies, due in early 2027 for 2026 pay.

  • ConfirmedState copies of W-2s and 1099s

    FTB's guide to information returns lists 1099-NEC and 1099-MISC with state filing dates (paper February 28, electronic March 31). Filers who send them to the IRS under the CF/SF rules generally don't file separately with FTB, unless something must be reported differently for federal and state purposes. The guide's amount column still shows $600 (revised 01/31/2022).

    • 1099s: February 28 on paper, March 31 electronically (state copy, when not filed through CF/SF)
    • Electronic filing: EDD: employers must electronically submit employment tax returns, wage reports and payroll tax deposits.

    Source: FTB 4227A: Guide to Information Returns Filed With California (revised 01/31/2022), checked November 2026 · More: California 1099 filing requirements

Key dates for 2027

Only the dates our files state. A date on a weekend or holiday is flagged, not moved, unless the agency's page says it moves.

DateWhatSource
Friday, January 1, 2027
Minimum wage rises to $17.40 an hour
Sunday, January 31, 2027
Unemployment tax report and payment for the fourth quarter of 2026
Falls on a Sunday. This is the date as the agency states it; check its rule for weekend due dates (see step 1).
Monday, February 1, 2027
Form W-2 Copy A (with W-3) to SSA, and employee copies (federal)
Monday, February 1, 2027
Form 1099-MISC copies to payees (federal)
Monday, February 1, 2027
Form 1099-NEC to the IRS and to each payee (federal)
Sunday, February 28, 2027
1099-NEC and 1099-MISC state copy to FTB, paper (if not filed through CF/SF)
Sunday, February 28, 2027 is a Sunday. The agency's page we opened doesn't say whether it moves to the next business day; file by the Friday before to be safe, or ask the agency.
Monday, March 1, 2027
Form 1099-MISC to the IRS on paper (federal)
Wednesday, March 31, 2027
1099-NEC and 1099-MISC state copy to FTB, electronic (if not filed through CF/SF)
Wednesday, March 31, 2027
Form 1099-MISC to the IRS electronically (federal)
Friday, April 30, 2027
Unemployment tax report and payment for the first quarter of 2027
Saturday, July 31, 2027
Unemployment tax report and payment for the second quarter of 2027
Falls on a Saturday. This is the date as the agency states it; check its rule for weekend due dates (see step 1).
Sunday, October 31, 2027
Unemployment tax report and payment for the third quarter of 2027
Falls on a Sunday. This is the date as the agency states it; check its rule for weekend due dates (see step 1).

Still to confirm

California kit

California Employer Compliance Kit 2027

This checklist as a printable document with every source link and check date, a 2027 deadline calendar, a start-here guide, and an Excel workbook with a deadline tracker and new-hire and pay-change checklists, all built from the same data as this page.

Get the kit, $19 Or the 2027 Employer Compliance Bundle (7 Kits), $59

General information, not legal, tax or payroll advice. We are not lawyers, and MCC Solutions is not a law firm or a payroll service. Nothing here guarantees compliance. Rules change, cities and counties can add their own, and the agency's own page has the final word.

Common questions

What is the California unemployment tax wage base for 2027?

$7,000 per employee in 2027 ($7,000 in 2026). EDD lists $7,000 per employee per calendar year for 2027.

How soon must a California employer report a new hire?

Within 20 days of the start-of-work date (the first day services were performed for wages).

What is the California minimum wage in 2027?

Rises to $17.40 an hour on Friday, January 1, 2027. California DIR, August 13, 2026: the statewide minimum wage rises to $17.40 per hour beginning January 1, 2027.

Does California require paid sick leave?

Healthy Workplaces, Healthy Families Act (Labor Code 245-249), as amended by SB 616. Yes: a statewide paid sick leave law covers private employers. Accrual: At least 1 hour of paid sick leave for every 30 hours worked, or an up-front policy that gives the full amount for the year at once.

When is a final paycheck due in California?

If the employer ends the job: Immediately, at the time of discharge, including accrued vacation. If the employee quits: Within 72 hours of quitting.

Does California require state W-2 or 1099 filing?

FTB's guide to information returns lists 1099-NEC and 1099-MISC with state filing dates (paper February 28, electronic March 31). Filers who send them to the IRS under the CF/SF rules generally don't file separately with FTB, unless something must be reported differently for federal and state purposes. The guide's amount column still shows $600 (revised 01/31/2022). 1099s: February 28 on paper, March 31 electronically (state copy, when not filed through CF/SF) Electronic filing: EDD: employers must electronically submit employment tax returns, wage reports and payroll tax deposits.

Do California employers need workers' comp?

Required for every employer, even with only one employee.

Related: Employer compliance by state · 2027 changes for employers

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