The Placer County Sheriff says that their helicopter spotted the group of hikers and crews came in to hike out with them.
The hikers are believed to be in the age range of 16-20 and crews knew they were on the Palisades Creek Trail, because vehicles were parked at the trailhead.
Rescuers say the hikers appeared to set up camp overnight away from where the Royal Fire is burning.
The Royal Fire is racing through the mountains west of Lake Tahoe.
It broke out before 6 p.m. Sunday. At last check, it's burning 169 acres in the Royal Gorge Area by Truckee, south of I-80 and Soda Springs.
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People driving back from Tahoe could see a massive plume of smoke from the highway.
Five homes are under mandatory evacuation along with some recreation areas.
Our helicopter has located a group of hikers believed to be those that were missing. Search and rescue crews will be inserted to hike out with them.