What the Franchise Tax Board is and why you might owe them
The Franchise Tax Board (FTB) is California's tax agency. They collect state income tax, and if you owe them money, you will receive a notice in the mail that tells you exactly how much and by when. The notice will have a bill number and a due date. That notice is your instruction to pay.
You might owe the FTB if you underpaid taxes during the year, didn't file a return when you should have, or the FTB found an error on a return you already filed. The amount you owe can include penalties and interest on top of the original tax. The FTB will not surprise you with a bill — they send formal notices first, and those notices explain your options for paying or disputing what you owe.
Key Takeaways
- The FTB accepts payments online through their website, by phone, by mail, or in person at an FTB office, and each method has different processing times.
- Online payment through the FTB website is the fastest way to pay and shows as received the same day you submit it.
- If you cannot pay the full amount at once, you can request an installment agreement directly through the FTB, which lets you pay in monthly chunks.
- Payments by check or money order take 7 to 10 business days to process, so mail early if your due date is near.
- The FTB charges a fee for some payment methods, so compare the cost of paying online versus by phone before you choose.
Paying online through the FTB website
The fastest and most direct way to pay the FTB is through their official website at onlineservices.ftb.ca.gov. You will need your Social Security number or Individual Taxpayer Identification Number, your bill number (from your notice), and the amount you owe. The site accepts payment by debit card, credit card, or electronic bank transfer.
When you pay online, the FTB records your payment the same day. You will receive a confirmation number when ready, and you should save or print it as proof of payment. If you pay by card or bank transfer, there is a fee — the amount varies depending on which payment processor the FTB uses that day, but it is typically between 1.5% and 2.5% of what you pay. A bank transfer usually costs less than a card payment.
The confirmation number is your receipt. Keep it until you receive a letter from the FTB saying your account is settled. If the FTB later claims they never received your payment, the confirmation number proves you sent it.
Paying by phone or through an authorized payment processor
You can also pay the FTB by calling their payment line at 1-800-338-0505. A representative will take your payment information over the phone and process it when ready. Like online payment, there is a fee for phone payments, usually the same percentage as online card payments.
The FTB also works with third-party payment processors — companies that collect payments on the FTB's behalf. These processors may charge their own fees on top of the FTB's fee, so the total cost can be higher than paying directly through the FTB website. Before you use a processor, ask what the total fee will be.
Phone payments are recorded the same day you call. Ask for a confirmation number before you hang up, and write it down when ready.
Paying by mail or in person
If you prefer not to pay online or by phone, you can mail a check or money order to the FTB. Your notice will show you the mailing address for your payment. Write your bill number on the check or money order so the FTB knows which account to credit.
Mail payments take 7 to 10 business days to reach the FTB and be recorded on your account. If your due date is fewer than 10 days away, mailing is risky — the FTB counts a payment as on time only when they receive it, not when you mail it. If you are cutting it close, use online or phone payment instead.
Some FTB offices allow you to pay in person at the counter. You can find the nearest office and its hours on the FTB website. Paying in person is recorded when ready, but this option is only practical if you live near an FTB office.
Setting up a payment plan if you cannot pay all at once
If you cannot pay the full amount by the due date, you can request an installment agreement from the FTB. This lets you pay what you owe in monthly payments instead of one lump sum. You can request an installment agreement online, by phone, or by mail.
To request an installment agreement online, go to onlineservices.ftb.ca.gov and log in with your tax ID. You will answer questions about your income and expenses, and the FTB will tell you whether they will approve a plan and what your monthly payment would be. The FTB charges a fee to set up an installment agreement — the amount depends on how you request it and whether you choose automatic payments from your bank account.
If the FTB approves your plan, you must make the first payment by the date they specify, even though the rest of the payments come later. Interest and penalties continue to accrue on the unpaid balance, so the longer you take to pay, the more you will owe in total. But an installment agreement stops the FTB from taking collection action like wage garnishment or bank levy while you are making your payments on time.
What happens if you miss a payment or cannot pay
If your payment is late, the FTB adds a failure-to-pay penalty to your bill. This penalty is usually 0.5% of what you owe for each month the payment is late, up to a maximum of 25%. Interest also accrues daily on the unpaid balance.
If you do not pay or set up a plan, the FTB can take collection action. They can place a lien on your property, garnish your wages, or levy your bank account. These actions are serious and expensive — a lien damages your credit, and a wage garnishment or bank levy can create when ready financial hardship. If you are in this situation, contact the FTB right away to discuss a payment plan or other options.
If you believe you do not owe what the FTB says you owe, you can dispute the bill. Your notice will explain how to file a protest or request a hearing. You must do this within the time frame the notice gives you, or you lose the right to dispute.
Comparing payment methods and their costs
Each payment method has trade-offs between speed, cost, and convenience. Online and phone payments reach the FTB the same day but charge a percentage fee. Mail and in-person payments have no fee but take longer or require you to visit an office. An installment agreement costs a setup fee but spreads the burden across multiple months.
| Payment Method | Processing Time | Fee | Best For |
|---|---|---|---|
| Online (FTB website) | Same day | 1.5–2.5% (card or bank transfer) | Fast payment with proof of receipt |
| Phone | Same day | 1.5–2.5% (card) | When you need to speak to someone |
| Mail (check or money order) | 7–10 business days | None | When you have time before the due date |
| In person | Same day | None | If you live near an FTB office |
| Installment agreement | Varies by plan | Setup fee (varies) | When you cannot pay in full |
If you have time before your due date and want to avoid fees, mailing a check is the cheapest option. If your due date is soon or you want when ready confirmation, online payment or phone payment is worth the fee. If you cannot afford the full amount, an installment agreement protects you from collection action even though you will pay more in total interest and penalties.
Frequently Asked Questions
Can I pay the FTB with a credit card without paying a fee?
No. The FTB charges a fee for all credit card payments, usually 1.5% to 2.5% of the amount you pay. A debit card or bank transfer typically costs less. If you want to avoid a fee entirely, pay by check, money order, or in person at an FTB office.
What if I pay online but the FTB says they never received it?
This is rare, but it happens. That is why you must save your confirmation number. If the FTB claims non-receipt, give them the confirmation number and the date you paid. The FTB can look up the payment in their system using that information.
How long does an installment agreement take to set up?
If you request online, you usually get an answer the same day or within one business day. By phone or mail, it can take 10 to 15 business days. Your first payment is due by the date the FTB specifies in their approval letter, so do not wait to request a plan if you know you cannot pay in full.
Can I change my payment method after I have already paid part of my bill?
Yes. Each payment is separate. You can pay one installment online, another by check, and a third through an installment agreement. The FTB will credit each payment to your account as it arrives, regardless of how you sent it.
What if I paid the FTB but my bill still shows as unpaid?
Mail payments take 7 to 10 days to post. Online and phone payments post the same day. If you paid online or by phone more than one business day ago and it still shows unpaid, contact the FTB with your confirmation number. If you mailed a check, wait 10 business days before calling.