Friday, October 7, 2022
Last week, Governor Gavin Newsom signed legislation that implements the change. In a recent op-ed, a Wall Street Journal writer noted:
...in 2024 California’s top marginal tax rate will increase to 14.4% from 13.3% for workers making more than $1 million. Those making between $61,214 and $312,686 would pay 10.4%. So California’s upper-middle class will pay more than millionaires in almost every state save New York, New Jersey and Hawaii.
The bill -- SB 951 -- is primarily designed to fund an expansion of the Golden State's paid family leave benefit. It removes the existing $145,600 wage cap on the state’s 1.1% employee payroll tax.