Your Guide to California Unpaid Wages Claims in 2026
Knowing how to calculate your unpaid wages is half the battle when it comes to California employment law. This can be a complex process but not impossible.
If after reading this you still have trouble figuring out if your employer owes you money, call (661) 669-8224 for one of the best California unpaid wages law firms. It doesn’t matter where you are located in the state, we can help!
What is a Wage Violation in California?
A wage violation in California occurs when an employer fails to pay an employee the total wages owed for work performed. This can include instances of unpaid overtime, not paying the minimum wage, unauthorized deductions from pay, and not compensating for rest and meal breaks as required by law.
California labor laws are designed to protect employees, and violations can result in serious repercussions for employers, including fines and legal penalties.
Common Types of Wage Violations include:
Wage Theft Violations: Wage theft can manifest in various forms—underpayment, incorrect classification of workers, and improper deductions.
If you are a victim of wage theft, calculation of your unpaid wages will start with the amount you should have received rather than what you actually received. Add interest to those unpaid wages, which is typically 10% per year, as well as potential penalties for any violations.
Unpaid Overtime: As discussed earlier, if an employee works more than eight hours in a single day or 40 hours a week without receiving the appropriate overtime pay, they may have a case for unpaid wages. This also includes double-time violations.
Minimum Wage Violations: Employees must be paid at least the relevant minimum wage. If you’re being paid less than California’s minimum wage of $16.50 per hour, you have grounds to file a claim.
In California it is common for minimum wage to be based on your geographic location. For instance, in Los Angeles the minimum wage is $17.28, followed by the County set minimum wage of $17.27 which is then followed by the Federal Minimum wage of $7.25 an hour.
Wage Deductions: Employers cannot deduct money from an employee’s paycheck without consent unless it’s for legitimate reasons such as taxes or required benefits. Unauthorized deductions can lead to wage violations.
Failure to Provide Meal and Rest Breaks: California law mandates that employees are entitled to specific meal and rest breaks. Employees working more than five hours are guaranteed a 30-minute meal break, and those working over 10 hours get an additional break. Failure to provide these breaks can result in an additional hour of pay at the regular rate for each day a break is missed.
Misclassification of Employees: Sometimes, employers incorrectly classify employees as independent contractors or exempt from overtime, which can lead to unpaid wages. If you believe you have been misclassified, it’s crucial to understand your rights and potential compensation.
Failing to Pay Final Wages: When an employee leaves a job, whether voluntarily or involuntarily, they are entitled to receive their final paycheck, which should include all wages owed, including any accrued vacation time. Failure to provide this final paycheck can lead to legal action.
Off-the-Clock Work
In California, it is illegal to require employees to work off the clock without compensation for their time.
If you find yourself logging extra hours outside of your scheduled shifts—such as completing tasks at home, arriving early to prepare for the day, or staying late to wrap up projects—you may have grounds for an unpaid wages claim.
Employers cannot evade responsibility for hours worked simply because they occur outside of the formal work environment.
Examples of off-the-clock work include:
- Working through lunch breaks;
- Working after you shift;
- Having to arrive to early to start work; and
- Doing work from home.
Recognizing Off-the-Clock Work Violations
- Mandatory Meetings and Training: If your employer requires you to attend meetings or training sessions before or after your official work hours without compensation, it could constitute an off-the-clock work violation.
- Completing Tasks During Breaks: Sometimes, employees might feel pressured to complete additional tasks during their breaks or unpaid downtime. If you’re expected to respond to emails, take calls, or prepare for the next shift while on a break, that time should be accounted for in your pay.
- Pre-and Post-Shift Work: Many employees perform necessary tasks before they clock in or after their shifts end. This includes activities like booting up computers, logging into systems, and preparing the workspace
- Logging In/Out Activities: Time spent logging into systems, checking emails, or preparing reports before officially clocking in or after clocking out should also be compensated.
- Travel Time: Employees required to travel for work-related purposes, especially when travel occurs outside of regular shifts or requires significant time commitment, are also entitled to compensation.
- Response to Work Communications: If an employer expects employees to monitor and respond to work communications, emails, or texts outside their regular hours, this time counts as work time.
- Preparatory Work: Employees may spend significant time on activities that are necessary to perform their jobs, such as gathering supplies, reviewing documents, or getting equipment ready.
Overtime Pay
Another important aspect of The Fair Labor Standards Act (FLSA) is the regulation surrounding overtime pay. Employees covered by the FLSA must receive time-and-a-half pay for any hours worked over 40 in a workweek.
In California, employees are entitled to this increased wage for working over eight hours in a single day as well as for any hours worked over 40 hours in a week.
This means that in California, employees can potentially earn overtime for more hours than under federal law.
Calculating Overtime Wages
To calculate your unpaid overtime wages, follow these steps:
- Determine Your Regular Hourly Rate: This is your total earnings divided by the total hours worked in a standard pay period.
- Calculate Overtime Rate: Your overtime rate is typically 1.5 times your regular hourly rate. For example, if your regular pay is $15.50 per hour, your overtime pay would be $23.25 per hour.
- Identify Overtime Hours: Keep precise records of the hours you worked beyond 8 in a single day or 40 in a week.
- Multiply for Overtime Pay: Multiply your overtime hours by your overtime rate to determine how much you were owed.
Steps to Take if You Were Denied Overtime Pay
Document Your Hours: Keep meticulous records of your hours worked, noting both regular and overtime hours. Utilize time sheets or work logs to support your claims effectively.
Review Pay Stubs: Compare your documented hours against your pay stubs to identify any discrepancies. If you consistently worked overtime without receiving proper compensation, this will strengthen your case.
Communicate with Your Employer: As with unauthorized deductions, the first line of action should be to discuss your concerns with your employer. Present the evidence you’ve compiled and request an explanation regarding your underpayment or misclassification.
File a Complaint: If your discussions do not yield satisfactory results, you may need to file a complaint with the California Labor Commissioner’s Office or even consider a lawsuit for wage theft. Ensure your documentation is thorough; the more evidence you provide, the stronger your case will be.
Consult With an Employment Lawyer: A California employment lawyers can help you navigate the complexities of your case. An experienced attorney can assess the details of your situation, advise you on the best course of action, and help you understand what compensation you may be entitled to.
Misclassification
In California, it is illegal to for an employer to misclassify an employee as an independent contractor. These can have serious consequences for employers ranging $5,000 – $15,000 per violation.
Employers misclassify employees when:
- They want to avoid paying payroll tax;
- They want to avoid paying for workers compensation insurance;
- They want to avoid paying unemployment or for unemployment insurance
How to tell if you are purposely being misclassified at work.
- You have to work on-site;
- Your employer provides you tools;
- You have to work between hours set by the employer; and
- If your employer expects you to only work for them.
Paid Sick Leave
Employers must offer at least 40 hours (five days) of paid sick leave annually, available for employee use from the start of each employment year, calendar year, or 12-month period.
Employees accrue one hour of paid sick leave for every 30 hours they actively work, ensuring that their time on the job translates into valuable paid time off for health-related needs.
Penalties and Awards
Beyond the wages you rightfully earned, you may also be eligible to receive penalties. In California, the penalties applicable for unpaid wage claims consist of:
- Meal period violations: entitle employees to receive one hour of pay for each day they miss one or more required meal breaks.
- Rest break violations: you are entitled to one hour of pay for every day you did not receive one or more mandated rest breaks.
- Liquidated damages: a compensation amount that equals your unpaid wages specifically in cases of minimum wage violations.
- Paystub violations: refer to the penalties imposed on employers for failing to provide specific required information regarding wages and working hours on employees’ paystubs. Employees may be entitled to receive a penalty of $50 for the initial violation and $100 for each subsequent violation, with a cumulative maximum penalty reaching $4,000.
- Waiting time penalties: occur when your employer fails to pay you promptly upon your separation from the company. You are entitled to receive your average daily wage for every day your employer delays payment, up to a maximum of 30 days. It’s important to note that these penalties apply only to former employees and not to those currently employed.
- Sick leave violations: can lead to administrative penalties against your employer for not providing the required paid sick leave. You may be entitled to receive either three times the amount of unpaid sick leave or $250, whichever amount is greater, with a maximum potential award of $4,000.If you experienced further harm due to the sick leave violation, such as wrongful termination, you could claim an extra $50 per day, capped at $4,000.
- Failure to Pay Wages Upon Termination: California Labor Code § 203 enforces waiting time penalties on employers who intentionally delay issuing final paychecks to employees who have been terminated or have resigned. The penalty for this is 8x the daily wage of the employee up to a maximum of 30 days.
California is one of the best pro worker states in the country, but with over 20 million people who are working, it has a lot of workers to take advantage of.
If you have been the victim of unpaid wages, understanding the potential penalties and awards can help you gauge the worth of your case.
If you need help our California unpaid wages attorneys are standing by to help you with your claim. Call us at (661) 669-8224 or fill out the form for a free wage and hour dispute consultation.
