California’s budget increased cumulatively more than pop+inf in state funds and all funds from 2014-23, meaning taxes are higher than the average taxpayer can afford.
- The 2023 state funds budget is $142.1 billion higher than it would have been had spending grown at the rate of population growth plus inflation over the past decade.
- Because the state funds budget grew faster than population growth plus inflation for the last ten years, the state spent and taxed $472.2 billion too much.
- The 2023 funds budget is $207.9 billion higher than it would have been had spending grown at the rate of population growth plus inflation over the past decade.
- Because the all funds budget grew faster than population growth plus inflation over the past decade, the state spent and taxed $965.0 billion too much.
State Funds Budget Data
- Estimated FY 2024 Only State Funds Budget ($ Billions): $305.02
- FY 2025 Only State Funds Budget Limit ($ Billions): $319.97
- FY 2025 Only State Funds Budget Limit Growth ($ Billions): 4.90%
- Cost per person of state funds budgeting more than pop+inf over the last decade in 2023 budget: $3,648
- Cost per family of 4 of budgeting more than pop+inf over the last decade in 2023 budget: $14,592
- Cumulative cost per person of state funds budgeting more than pop+inf over the last decade from 2014-23: $12,119
- Cumulative cost per family of 4 of state funds budgeting more than pop+inf over the last decade from 2014-23: $48,474
State All Funds Budget Data
- Estimated FY 2024 All Funds Budget ($ Billions): $462.49
- FY 2025 All Funds Budget Limit ($ Billions): $485.17
- FY 2025 All Funds Budget Limit Growth ($ Billions): 4.90%
- Cost per person of all funds budgeting more than pop+inf over the last decade in 2023 budget: $5,335
- Cost per family of 4 of all funds budgeting more than pop+inf over the last decade in 2023 budget: $21,339
- Cumulative cost per person of all funds budgeting more than pop+inf over the last decade from 2014-23: $24,766
- Cumulative cost per family of 4 of all funds budgeting more than pop+inf over the last decade from 2014-23: $99,063
Other Considerations
- Economic Freedom of North America (2021) (Rank): 48 [Fraser Institute]
- Economic Freedom (2022) (Rank): 48 [Cato Institute]
- Fiscal Policy (2022) (Rank): 48 [Cato Institute]
- Regulatory Policy (2022) (Rank): 49 [Cato Institute]
- State Tax Collections Per Capita (FY2021) ($): $6,325 [Tax Foundation]
- State Tax Collections Per Capita (FY2021) (Rank): 2 [Tax Foundation]
- State-Local Total Tax Burden per Capita (2022) ($): $10,167 [Tax Foundation]
- State-Local Tax Burden per Capita (2022) (%): 13.50% [Tax Foundation]
- State-Local Tax Burden per Capita (2022) (Rank): 46 [Tax Foundation]
- Top Income Tax Rate (2024) (%): 14.40% [Tax Foundation]
- Top Income Tax Rate (2024) (Rank): 50 [Tax Foundation]
- Flat/Progressive/Zero Income Tax (2024): P [Tax Foundation]
- Overall State Business Tax Climate Index (2024)(Rank): 48 [Tax Foundation]
- Top Corporate Income Tax Rate (2024) (%): 8.84% [Tax Foundation]
- Top Corporate Income Tax Rate (2024) (Rank): 45 [Tax Foundation]
- State-Local Sales Tax Rate (2024) (%): 8.82% [Tax Foundation]
- State-Local Sales Tax Rate (2024) (Rank): 43 [Tax Foundation]
- Property Taxes Paid as a Percentage of Owner-Occupied Housing Value (2021) (%): 0.75% [Tax Foundation]
- Property Taxes Paid as a Percentage of Owner-Occupied Housing Value (2021) (Rank): 33 [Tax Foundation]
- Economic Outlook (2024) (Rank): 47 [American Legislative Exchange Council]
- Economic Performance Rankings, 2012-2022 (2024) (Rank): 21 [American Legislative Exchange Council]
- Tax and Expenditure Limit (Rank): 3 [American Legislative Exchange Council]
- Right-to-Work Law (2022) (Y/N): N [American Legislative Exchange Council]
- State-Local Spending per Capita (2022) ($): $18,760 [US Government Spending]
- State-Local Spending per Capita (2022) (Rank): 47 [US Government Spending]
- Official Poverty Rate (2021-23) (%): 11.7 [Census Bureau]
- Official Poverty Rate (2021-23) (Rank): 33 [Census Bureau]
- Supplemental Poverty Rate (2021-23) (%): 15.4 [Census Bureau]
- Labor Force Participation Rate (Dec 2023) (%): 62.20% [Bureau of Labor Statistics]
- Labor Force Participation Rate (Dec 2023) (Rank): 29 [Bureau of Labor Statistics]