SACRAMENTO, Calif. -- Californians will see a little less money in their paychecks as the result of a tax-withholding plan devised to help plug the state's gaping budget deficit.

Starting this week, employers must withhold 10 percent more in state income taxes -- a move equivalent to taxpayers giving the state a $1.7 billion cash advance through next June, the end of the fiscal year.

"It stinks," San Diegan Ingrid Walters said when she heard the news.

Gov. Arnold Schwarzenegger and the Legislature included the accelerated withholding as part of a budget deal reached in February.

A single wage earner making $51,000 a year with no dependents will see a $4.06 increase in weekly state income tax withholdings. A couple earning $145,000 a year with no dependents will notice a $16.90 increase in weekly withholdings.

Sen. Christine Kehoe, a Democrat, said she understands people's anger.

"Even a few dollars counts, and I absolutely understand that," said Kehoe. "But I've got to be honest: It's something we need to close our budget gap."

The action is technically not a tax increase because the state is supposed to return the extra money after people file their tax returns, said Brenda Voet, a spokeswoman for the California Franchise Tax Board.

Because the move begins in November, it will have a minimal effect on 2009 tax returns. The effect on future tax returns could be more profound because the stepped-up withholding will remain in effect indefinitely.

The Franchise Tax Board is urging California workers to review their state withholdings and contact their tax adviser.

Those who file quarterly estimated income taxes, such as the self-employed or those who generate significant income from stock options and dividends, also must speed up tax payments.

Starting Jan. 1, the state will require them to pay 70 percent of their estimated taxes during the first six months of the calendar year, up from 60 percent.

Republican Assemblyman Nathan Fletcher calls it a typical Sacramento shell game.

"The state can't balance their budget, so they're taking an interest-free loan from the people of California," he said.

Under the new quarterly schedule, tax filers making estimated payments will pay 30 percent in the first quarter, 40 percent in the second, nothing in the third and 30 percent in the fourth.

Separately, the February budget deal also increased the personal income tax rate temporarily by 0.25 percent. The increase will expire at the end of 2010.