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2022 rate increase
Each year, California’s Department of Industrial Relations (DIR) adjusts both the minimum hourly pay rate and the salary level for the following year based on the California Consumer Price Index (CPI) for Urban Wage Earners and Clerical Workers. On October 18, the DIR announced(Opens in new tab) that the compensation threshold for the computer employee exemption from state overtime pay requirements will rise 5.3% next year, mirroring the increase in the CPI. Effective January 1, 2022, the minimum compensation rates for the exemption will be: an hourly rate of $50.00, a minimum monthly salary of $8,679.16, and a minimum annual salary of $104,149.81.
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