A method for video data coding with a palette mode, the method comprising: generating a palette table predictor for a current coding unit, the palette table predictor comprising a plurality of predictor colors; predicting a palette table associated with the current coding unit based on the palette table predictor for the current coding unit by performing at least: by using color clustering identifying a plurality of representative colors of the current coding unit; comparing the plurality of representative colors of the current coding unit to the plurality of predictor colors, and for each representative color that is not in the palette table predictor: identifying a corresponding predictor color in the palette table predictor, selecting a palette color to include in the palette table associated with the current coding unit between the representative color and the corresponding predictor color based on which of them leads to less rate distortion cost, wherein a first rate distortion cost associated with the representative color is computed based on the cost of coding the representative color as an entry of the palette table associated with the current coding unit, and a second rate distortion cost associated with the corresponding predictor color is computed based on the cost for specifying which entry in the palette table predictor is used to predict the representative color, and including the selected palette color in the palette table associated with the current coding unit; and palette coding the current coding unit using the palette table associated with the current coding unit. generating a palette table predictor for a current coding unit, the palette table predictor comprising a plurality of predictor colors; predicting a palette table associated with the current coding unit based on the palette table predictor for the current coding unit by performing at least: by using color clustering identifying a plurality of representative colors of the current coding unit; comparing the plurality of representative colors of the current coding unit to the plurality of predictor colors, and for each representative color that is not in the palette table predictor: identifying a corresponding predictor color in the palette table predictor, selecting a palette color to include in the palette table associated with the current coding unit between the representative color and the corresponding predictor color based on which of them leads to less rate distortion cost, wherein a first rate distortion cost associated with the representative color is computed based on the cost of coding the representative color as an entry of the palette table associated with the current coding unit, and a second rate distortion cost associated with the corresponding predictor color is computed based on the cost for specifying which entry in the palette table predictor is used to predict the representative color, and including the selected palette color in the palette table associated with the current coding unit; and by using color clustering identifying a plurality of representative colors of the current coding unit; comparing the plurality of representative colors of the current coding unit to the plurality of predictor colors, and for each representative color that is not in the palette table predictor: identifying a corresponding predictor color in the palette table predictor, selecting a palette color to include in the palette table associated with the current coding unit between the representative color and the corresponding predictor color based on which of them leads to less rate distortion cost, wherein a first rate distortion cost associated with the representative color is computed based on the cost of coding the representative color as an entry of the palette table associated with the current coding unit, and a second rate distortion cost associated with the corresponding predictor color is computed based on the cost for specifying which entry in the palette table predictor is used to predict the representative color, and including the selected palette color in the palette table associated with the current coding unit; and identifying a corresponding predictor color in the palette table predictor, selecting a palette color to include in the palette table associated with the current coding unit between the representative color and the corresponding predictor color based on which of them leads to less rate distortion cost, wherein a first rate distortion cost associated with the representative color is computed based on the cost of coding the representative color as an entry of the palette table associated with the current coding unit, and a second rate distortion cost associated with the corresponding predictor color is computed based on the cost for specifying which entry in the palette table predictor is used to predict the representative color, and including the selected palette color in the palette table associated with the current coding unit; and palette coding the current coding unit using the palette table associated with the current coding unit.