How exactly does the national merit scholarship program work?

I just got my PSAT scores back today and I got a 230 (80 on critical reading, 79 on writing, 71 on math), and I live in California. Is that high enough to receive a national merit scholarship? What exactly is the process?
I also have about a cumulative 3.9 GPA in high school so far, but I'm not taking my SAT until later on--if that makes any difference.
Thanks!
 
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