November 8, 2022
California employers make regular income tax withholding payments for their employees. These amounts are reported every weekday, providing a real-time indication of the direction and magnitude of aggregate change in the employers’ payroll. Most withholding payments are for employees’ wages and salaries, but withholding is also due on bonuses and stock options received by employees.
Monthly Withholding. Withholding payments during October 2022 totaled $6.9 billion, $120 million (1.7 percent) below October 2021. To make an apples-to-apples comparison for the month, we compare the same period across the two years. Using this method, each year contains the same weeks of the year and the same number of "collection days".)
Year-to-Date Withholding. The graph compares the running total of withholding payments since the start of the 2022-23 fiscal year relative to the same period last year. To-date, personal income tax withholding is $670 million lower (2.3 percent) than last year.