Los Angeles Cost of Hiring Cashier: Wages, Taxes, Training and Turnover

Los Angeles Cost of Hiring Cashier: Key Takeaways

Average annual salary for a cashier in Los Angeles is about $34,393, with an hourly wage near $16.54
Payroll taxes add roughly 10-12% on top of base wages, including Social Security, Medicare, FUTA, UI, and ETT
Training and onboarding costs for new cashiers typically range from $4,000 to $5,000
Employee turnover cost for hourly workers like cashiers is estimated at around $1,500 per replacement

Understanding the full cost of hiring a cashier in Los Angeles involves considering wages, taxes, training, and turnover expenses.

This guide breaks down these factors to help employers budget effectively and reduce costly turnover.

Employers can benefit from how to hire a cashier to streamline their recruitment processes and optimize hiring costs.

1. Los Angeles Cashier Wages Overview

As of January 2025, the average annual salary for a cashier in Los Angeles is approximately $34,393, according to salary benchmarks.

This translates to an hourly wage of about $16.54, which is just below the current Los Angeles minimum wage of $16.78 per hour.

Employers must comply with the city’s minimum wage regulations and ensure cashiers are paid at least this rate, which might mean a slight adjustment upward from average reported wages.

For more insight into cashier roles and requirements, check the cashier job description page.

2. Payroll Taxes for Cashier Employers in Los Angeles

Hiring a cashier entails additional payroll taxes beyond base wages that employers must account for in their total cost.

These taxes include:

Social Security Tax: Employer pays 6.2% of the employee’s wages.
Medicare Tax: Employer pays 1.45% of wages.
Federal Unemployment Tax (FUTA): Up to 0.6% on the first $7,000 of wages.
State Unemployment Insurance (UI) Tax: California rates vary from 3.4% to 6.2% on the first $7,000 of wages, depending on the employer’s experience rating.
Employment Training Tax (ETT): 0.1% on the first $7,000 of wages.

Combined, these payroll obligations can increase the wage cost by roughly 10% to 12%.

Employers can explore detailed payroll management strategies in multi-state payroll guidance.

3. Training Expenses for New Cashiers in Los Angeles

Training a new cashier involves both direct and indirect costs that impact the overall hiring expense.

Direct costs include payments for training materials, salaries of trainers, and any external courses or certifications required.

Indirect costs come from the current staff dedicating time to onboard and train the new employee, which may reduce productivity.

On average, employers can expect onboarding costs to fall between $4,000 and $5,000 per cashier hired.

Effective training programs can be designed using templates such as this restaurant job description template to speed up onboarding.

Understanding Training Cost Components

Materials and equipment: Manuals, workstations, and systems access.
Trainer labor: Time spent by experienced employees or managers in coaching.
Productivity loss: Reduced efficiency during the learning curve.

4. Turnover Costs Impact on Los Angeles Cashier Hiring

Employee turnover is a significant hidden cost for employers, especially in hourly roles like cashier positions.

Replacing a cashier typically costs an estimated $1,500 in recruitment, hiring, and training expenses.

High turnover can also affect workplace morale and customer service quality, potentially reducing revenue through less satisfied customers.

Reducing turnover through better recruitment, onboarding, and engagement is crucial to managing long-term labor costs.

Employers interested in reducing turnover can learn best practices in strategies to reduce restaurant employee turnover.

5. Strategies to Manage Total Costs and Turnover

Employers looking to optimize spending on cashier hires should consider the following steps:

Ensure wages meet or exceed local minimum requirements to attract retention-worthy candidates.
Streamline training with standardized programs to reduce onboarding time and costs.
Implement employee development and engagement programs to reduce turnover rates.
Track payroll taxes carefully to budget for all expenses involved.

To further enhance hiring success, see insights from restaurant staff hiring expertise.

6. Government and Official Resources on Hiring and Labor Costs

For compliance and updated information on wages, taxes, and labor laws, consult these authoritative sources:

California Department of Industrial Relations – Labor laws, wage rates, and workers’ rights.
Internal Revenue Service (IRS) – Federal payroll taxes guidance.
California Employment Development Department (EDD) – Unemployment insurance and employment training tax rates.

Employers seeking more on hiring cost control can review cost of hiring employees and strategies in hospitality.

01. What is the average annual salary for a cashier in Los Angeles?

The average annual salary for a cashier in Los Angeles is approximately $34,393, with an hourly wage near $16.54.

02. What payroll taxes must employers consider when hiring a cashier?

Employers must consider Social Security, Medicare, FUTA, State Unemployment Insurance, and Employment Training Tax which add roughly 10-12% on top of base wages.

03. How much do training expenses typically cost for new cashiers in Los Angeles?

Training and onboarding costs usually range between $4,000 and $5,000, including both direct and indirect costs like materials and productivity loss.

04. What is the estimated cost of employee turnover for cashiers?

Employee turnover costs for hourly workers like cashiers are estimated at around $1,500, covering recruitment, hiring, and training expenses.

05. Where can employers find official resources on hiring and labor costs in California?

Employers can consult the California Department of Industrial Relations, IRS, and California Employment Development Department websites for compliance and updates.