California Apartment Association

On July 1, California’s minimum wage will increase from $8 to $9 an hour. It will increase again on Jan. 1, 2016, to $10/hour.

These are the first increases since 2008. The lodging credit, which may be used to meet the minimum wage obligation for employees required to live on-site, will also increase.

	Minimum wage	Lodging credit (one person)	Lodging credit (couple)
Current	$8	$451.89	$668.46
July 1, 2014	$9	$508.38	$752.02
Jan. 1, 2016	$10	$564.81	$835.49

If you are paying minimum wage or using the lodging credit, update your agreement today.

While you are automatically required to pay the increased minimum wage, you are only able to take advantage of the increased lodging credit by incorporating it into a written agreement.

Find CAA’s Onsite Employee Agreements (Form 1.2 and 1.2-LA) and updated instructions here:

• CAA Form 1.2
• CAA Form 1.2-LA

For more information, see CAA’s Issue Insight: Compensation of Resident Managers