Challenge (formerly Challenge Mills) is an unincorporated community in Yuba County, California. It is located on Dry Creek 30 miles (48 km) northeast of Marysville.

Challenge was once the terminus of a narrow-gauge logging railroad that hauled timber to the Beanville mill.

A post office opened at Challenge in 1895.

Climate

According to the Köppen Climate Classification system, Challenge has a warm-summer Mediterranean climate, abbreviated "Csa" on climate maps.