Free Tool
California FTB Payment Plan Calculator
Updated
Owe the California Franchise Tax Board? See how long an FTB installment agreement takes to clear your balance, what the 7% state interest adds, and whether you meet the $25,000 / 60-month rules. It runs privately in your browser — nothing is saved or sent.
How it works: the FTB lets most individuals who owe $25,000 or less pay over up to 60 months with no financial statement. Interest keeps running at 7%/yr (current FTB rate), plus a one-time $34 setup fee. Enter your balance and monthly payment below.
Estimated time to pay off
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This is an estimate only, not an FTB determination. It assumes your balance already includes any penalties and applies the current 7% rate (the FTB resets it every six months and charges interest until paid). Eligibility, penalties, and terms depend on your account. Confirm with the FTB before relying on this.
Facing Both the FTB and the IRS?
Many Californians owe the state and the IRS at the same time — and the FTB is aggressive with liens, levies, and license holds. We handle state and federal tax debt together, set up the right payment plan, and pursue relief where you qualify. Free, honest case review.
How California FTB payment plans work
If you can't pay your California income tax in full, the Franchise Tax Board offers installment agreements. For individuals the streamlined rules are generous: owe $25,000 or less and pay it off within 60 months, and you generally don't have to submit a financial statement. Go over either limit and the FTB can require financial disclosure and review your plan periodically.
The cost that adds up is interest. The FTB resets its rate every six months; effective for the period beginning July 1, 2026 it's 7% a year, and it keeps accruing on your unpaid balance for the whole plan. There's also a one-time $34 setup fee added to your balance, which low-income taxpayers may get reduced or waived. Set up the plan and stay current and the FTB generally holds off on new liens or levies — but miss payments and it can move fast, including bank levies, wage garnishment, and even professional license holds.
A payment plan isn't your only option. If the balance is truly unaffordable, California has an Offer in Compromise program of its own, and hardship status may pause collection. And if you also owe the IRS, it usually pays to coordinate both — sometimes the federal plan and the state plan should be set up together. That's worth a quick professional look before you commit.
Common questions
How long can a California FTB payment plan last?
Individuals who owe $25,000 or less can request an FTB installment agreement for up to 60 months (five years) without submitting a financial statement. If you owe more than $25,000 or need longer than 60 months, the FTB may ask for financial information and review the plan periodically.
What interest rate does the California FTB charge?
The FTB sets its interest rate every six months. For the period beginning July 1, 2026 the rate on unpaid California income tax is 7% per year. Interest keeps accruing on your balance for the entire payment plan.
Is there a fee to set up an FTB payment plan?
Yes. The Franchise Tax Board charges a $34 installment agreement fee, which is added to your balance. Low-income taxpayers may qualify for a reduced or waived fee.
Clarity Tax Relief is not affiliated with the California Franchise Tax Board, the IRS, or any government agency. This calculator is general information, not individualized tax or legal advice; exact terms, penalties, interest, and eligibility depend on your account, and no outcome is guaranteed.
More tools: IRS Payment Plan Calculator · CSED Calculator · California Tax Debt Relief · IRS Help Center. Reviewed by Melissa Ly, Chief Tax Officer.
How does the IRS differ from the California Franchise Tax Board?
| IRS (federal) | California Franchise Tax Board | |
|---|---|---|
| Time to collect an assessed balance | Generally 10 years from the date the tax was assessed | 20 years to collect on a liability, running from the date the latest liability becomes due and payable |
| Late-filing penalty | 5% of the tax due for each month or partial month, up to a maximum of 25% | 5% of the amount due for each month or part of a month unpaid, maximum 25% |
| Late-payment penalty | 0.5% of the unpaid taxes for each month or part of a month, not exceeding 25% | 5% of the unpaid tax, plus 0.5% for each month or part of a month, not to exceed 40 months |
| Tax lien | Notice of Federal Tax Lien; released within 30 days after the tax debt is paid | Becomes public record and is effective for at least 10 years, and may be extended |
| Taking wages or accounts | Wage levy, with part of your wages exempt under Publication 1494 | Earnings withholding order for taxes; a personal income tax order to withhold collects 100% of available assets or the balance due, whichever is less |
Figures from IRS, Topic no. 202, Tax payment options · California FTB, Statute of limitations on collection actions · IRS, Failure to file penalty · IRS, Failure to pay penalty · California FTB, Penalties and interest · IRS, Topic no. 201, The collection process · California FTB, Liens · IRS, Information about wage levies · California FTB, Withholding orders.
How to use this California FTB payment plan calculator
- Enter the state balance only; run the IRS figure separately, because the two agencies do not share a plan.
- Check the monthly figure against what a federal plan would also take, since most people owe both.
- Allow for California penalties continuing to accrue while a plan is in place.
- Decide the order you tackle them in with the two collection windows in view, not just the balances.
“Generally, we can collect unpaid tax liabilities for up to 20 years after the date the latest tax liability becomes due and payable for that tax year.”
— California FTB, Statute of limitations on collection actions
The passage quoted above is from California FTB, Statute of limitations on collection actions.