California State Controller's Office: Service Charge Rates
California State Controller's seal

Service Charge Rates

Each year the State Controller’s Office performs an extensive audit of the total cost of performing payroll deduction services for its clients. The cost of performing these services is passed on to our clients in the form of a "service charge". These charges, for the most part, are immediately withheld from the resulting remittance to the client at mid-month and/or month-end. In some cases these charges are billed to the client separately from the normal deduction remittance process. These service charge rates are assessed for each payroll deduction withheld per Government Code 1153(d).

Effective with the July 2018 business month (business month remittances issued date August 1, 2018), the State Controller’s Office deduction service charge rates are as follows:

Deduction Type File Transfer Protocol Input Paper Input
Miscellaneous $0.35 $0.70
Deferred Compensation $0.35  
CSU Tax Sheltered Annuity $0.35  
Civil Service Tax Sheltered Annuity $2.35  
Health Benefits $0.35  
Dental, Life, LTD, Vision & Legal Benefits $0.35 $0.70