---
title: 2026 Minimum Wage Rates by State
description: More than 20 states will have minimum wage increases that take effect in 2026, most on January 1st. See the comprehensive list here.
---

[Resources | Stratus HR® ](https://stratus.hr/resources)

# [2026 Minimum Wage Rates by State](https://stratus.hr/resources/2026-minimum-wage-rates-by-state)

 Written by [Natalie Soltero, SHRM-CP, Stratus HR Consultant](https://stratus.hr/resources/author/nsoltero) | Dec 19, 2025 10:30:00 PM

Minimum wage requirements continue to shift across the country, and 2026 will bring notable changes for employers in more than 20 states. To stay compliant, employers should review upcoming increases, evaluate their pay structures, and ensure payroll systems are ready for new rates taking effect - many of which are tied to cost-of-living adjustments or phased-in legislative changes.  

States with scheduled minimum wage increases in 2026 include: Alaska, Arizona, California, Colorado, Connecticut, the District of Columbia, Florida, Hawaii, Maine, Michigan, Minnesota, Missouri, Montana, Nebraska, New Jersey, New York, Ohio, Oregon, Rhode Island, South Dakota, Vermont, Virginia, and Washington. However, not all of them take effect January 1st.  

As always, employers should remember that some cities and counties have minimum wage rates higher than their state requirements. Employees in those states must be paid the higher minimum wage requirement.  

In addition to minimum wage compliance, federal and state wage and hour laws require employers to pay non-exempt employees overtime at 1.5 times their regular rate of pay. Employees in executive, administrative, and professional roles may be [exempt](https://stratus.hr/resources/exempt-or-non-exempt) from overtime only if they meet all exemption tests, including salary threshold requirements.  

Below is a reference guide to help employers prepare for 2026 with state-by-state minimum wage rates, tipping minimum wage rates, and effective dates.  

## **Minimum Wage by State in 2026 ** 

*(All listed increases reflect changes scheduled to take effect in 2026 unless otherwise noted.)*  

### **Alabama Minimum Wage 2026** 

**Rate:** $7.25 per hour (federal rate); no state minimum wage    
**Effective:** Already in effect    
**Tipped rate: **$2.13 tipped rate under federal law  

### **Alaska Minimum Wage 2026** 

**Rate:** $13.00 per hour; scheduled to increase to $14 per hour as of July 1, 2026   
**Effective:** Already in effect    
**Tipped rate: **No tip credit permitted; tipped employees have the same minimum wage requirements 

### **Arizona Minimum Wage 2026** 

**Rate:** $15.15 per hour (local rates may vary)   
**Effective:** Jan. 1, 2026    
**Tipped rate**: $3 below minimum wage  

### **Arkansas Minimum Wage 2026** 

**Rate:** $11.00 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.63 per hour (for employers with 4+ employees)  

### **California Minimum Wage 2026** 

**Rate:** $16.90 per hour (many cities/counties have higher rates)  
**Effective:** Jan. 1, 2026

- - Healthcare employers must follow [SB-525](https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202320240SB525) phased increases  

**Tipped rate**: no tip credit allowed (i.e. tipped employees have the same minimum wage)   
Note: California also has a [minimum salary threshold](https://stratus.hr/resources/exempt-or-non-exempt) of $70,304/year for exempt employees 

### **Colorado Minimum Wage 2026** 

**Rate:** $15.16 per hour (certain areas of the state may differ)   
**Effective:** Jan. 1, 2026    
**Tipped rate**: $12.14 per hour (effective Jan. 1, 2026)   
Note: Colorado also has a [minimum salary threshold](https://stratus.hr/resources/exempt-or-non-exempt) of $57,783.96/year for exempt employees 

### **Connecticut Minimum Wage 2026** 

**Rate:** $16.94 per hour   
**Effective:** Jan. 1, 2026    
**Tipped hotel/restaurant workers**: $6.38 per hour   
**Tipped bartenders**: $8.23 per hour 

### **Delaware Minimum Wage 2026** 

**Rate:** $15.00 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.23 per hour 

### **District of Columbia Minimum Wage 2026** 

**Rate:** $17.95 per hour; annual inflation increase is scheduled for July 1, 2026    
**Effective:** Already in effect    
**Tipped rate**: $10.05 per hour, which is 56% of regular minimum wage (effective July 1, 2026)  

- - Tipped base wage increases will occur every two years until they reach 75% of regular minimum wage by 2034 (60% as of 2028; 65% as of 2030; 70% as of 2032; 75% as of 2034)  

### **Florida Minimum Wage 2026** 

**Rate:** $14.00 per hour   
**Effective:** Already in effect    
**Tipped rate**: $10.98 per hour   
**Notes**:  

- - State minimum wage is scheduled to increase to $15 per hour (and $11.98per hour tipped) on Sept. 30, 2026 
    - Annual inflation adjustments for state minimum wage begin in 2027  

### **Georgia Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect  

- - State’s $5.15 per hour minimum applies only to workers not covered by FLSA  

### **Hawaii Minimum Wage 2026** 

**Rate:** $16.00 per hour   
**Effective:** Jan. 1, 2026    
**Tipped rate**: $14.75 per hour as of Jan. 1, 2026  

### **Idaho Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate: **$3.35 per hour 

### **Illinois Minimum Wage 2026** 

**Rate:** $15.00 per hour (local minimum wages may be higher)    
**Effective:** Already in effect    
**Tipped rate**: $9 per hour (tip credit capped at 40% of state minimum wage)  

### **Indiana Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

### **Iowa Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $4.35 per hour 

### **Kansas Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

### **Kentucky Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

### **Louisiana Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

### **Maine Minimum Wage 2026** 

**Rate:** $15.10 per hour   
**Effective:** Jan. 1, 2026    
**Tipped rate**: $7.55 per hour, effective Jan. 1, 2026    
**Notes:**  

- - State minimum wage rate will have annual cost-of-living adjustments  
    - Some municipalities may have higher rates  

Note: Maine also has a [minimum salary threshold](https://stratus.hr/resources/exempt-or-non-exempt) of $45,300/year for exempt employees 

### **Maryland Minimum Wage 2026** 

**Rate:** $15.00 per hour (some counties have different rates)    
**Effective:** Already in effect    
**Tipped rate**: $3.63 per hour 

### **Massachusetts Minimum Wage 2026** 

**Rate:** $15.00 per hour   
**Effective:** Already in effect    
**Tipped rate**: $6.75 per hour for those who make more than $20/month in tips  

### **Michigan Minimum Wage 2026** 

**Rate:** $13.73 per hour (scheduled to increase to $15 per hour on Jan. 1, 2027); annual inflation adjustments begin in 2028    
**Effective:** Jan. 1, 2026    
**Tipped rate**: $5.49 per hour as of Jan. 1, 2026 (40% of minimum wage); tipped percentage increases 2% annually until reaching 50% of minimum wage by 2023  

### **Minnesota Minimum Wage 2026** 

**Rate:** $11.41 per hour (local rates may vary); annual rate is set to increase due to inflation    
**Effective:** Jan. 1, 2026    
**Tipped rate**: no tip credit allowed (i.e. tipped employees have the same minimum wage)  

### **Mississippi Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

### **Missouri Minimum Wage 2026** 

**Rate:** $15.00 per hour   
**Effective:** Jan. 1, 2026    
**Tipped rate**: $7.50 per hour (50% of minimum wage), effective January 1, 2026  

### **Montana Minimum Wage 2026** 

**Rate:** $10.85 per hour (subject to annual cost-of-living adjustments)    
**Effective:** Jan. 1, 2026    
**Tipped rate**: no tip, meal, or training credit allowed   

### **Nebraska Minimum Wage 2026** 

**Rate:** $15.00 per hour (annual inflation adjustments begin in 2027)    
**Effective:** Jan. 1, 2026    
**Tipped rate**: $2.13 per hour 

### **Nevada Minimum Wage 2026** 

**Rate:** $12.00 per hour   
**Effective:** Already in effect    
**Tipped rate**: no tip credit; minimum wage applies to all employees  

### **New Hampshire Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $3.27 per hour, which is 45% of minimum wage  

### **New Jersey Minimum Wage 2026** 

**Rate:**   

- - $15.92 per hour for 6+ employees  
    - $15.23 per hour for seasonal or fewer than 6 employees  
    - $14.20 per hour for agricultural  
    - $18.92 per hour for long-term care facility direct care staff members  

**Effective:** Jan. 1, 2026    
**Tipped rate**: $6.05 per hour (effective Jan. 1, 2026)  

### **New Mexico Minimum Wage 2026** 

**Rate:** $12.00 per hour; some localities differ    
**Effective:** Already in effect    
**Tipped rate**: $3.00 per hour 

### **New York Minimum Wage 2026** 

**Rate: **(may vary by location and industry)  

- - $17.00 per hour (NYC, Long Island, Westchester)  
    - $16.00 per hour (remainder of state)   
    - [Home care aides](https://dol.ny.gov/system/files/documents/2024/12/p105-home-health-aide-10-23-24.pdf) have different minimum wage rates  

**Effective:** Jan. 1, 2026    
**Tipped rate**:   

- - NYC, Long Island, and Westchester (as of Jan. 1, 2026): 
    - $14.15 per hour for service employees  
    - $11.35 per hour for food service workers  
    - Remainder of NY state (as of Jan. 1, 2026): 
    - $13.50 per hour for service employees 
    - $10.70 per hour for food service workers 

Note: New York also has a [minimum salary threshold](https://stratus.hr/resources/exempt-or-non-exempt) for exempt employees: 

- - New York City, Nassau, Suffolk, and Westchester Counties: $66,300/year 
    - Other areas of NY: $62,353.20/year 

### **North Carolina Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

### **North Dakota Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $4.86 per hour 

### **Ohio Minimum Wage 2026** 

**Rate:** $11.00 per hour (small employers that gross less than $405,000 can pay federal minimum wage rate)    
**Effective:** Jan. 1, 2026    
**Tipped rate**: $5.50 per hour (50% of minimum wage) as of Jan. 1, 2026  

### **Oklahoma Minimum Wage 2026** 

**Rate:**   

- - $7.25 per hour (10+ employees and employers with annual gross sales over $100,000  
    - $2.00 per hour (employees not covered by FLSA – very limited few)   

**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour with crediting rules  

### **Oregon Minimum Wage 2026** 

**Rate:**   

- - $15.05 per hour (standard)  
    - $16.30 per hour for Portland metro (+$1.25 of standard)  
    - $14.05 per hour nonurban counties (-$1.00 of standard)  

**Effective:** Already in effect; standard state rate will adjust annually on July 1st based on CPI increase    
**Tipped rate**: no tip credit; minimum wage applies to all employees  

### **Pennsylvania Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.83 per hour 

### **Rhode Island Minimum Wage 2026** 

**Rate:** $16.00 per hour (schedule to increase to $17 in 2027)    
**Effective:** Jan. 1, 2026    
**Tipped rate**: $3.89 per hour 

### **South Carolina Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

### **South Dakota Minimum Wage 2026** 

**Rate:** $11.85 per hour   
**Effective:** Jan. 1, 2026    
**Tipped rate**: $5.93 per hour 

### **Tennessee Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

### **Texas Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

### **Utah Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

### **Vermont Minimum Wage 2026** 

**Rate:** $14.42 per hour (set to adjust annually for inflation)    
**Effective:** Jan. 1, 2026    
**Tipped rate**: $7.21 per hour (50% of state minimum wage) for service or tipped employees working at a hotel, motel, tourist place, or restaurant (effective Jan. 1, 2026)  

### **Virginia Minimum Wage 2026** 

**Rate:** $12.77 per hour   
**Effective:** Jan. 1, 2026    
**Tipped rate**: $2.13 per hour  

### **Washington Minimum Wage 2026** 

**Rate:** $17.13 per hour (local rates may be higher)    
**Effective:** Jan. 1, 2026    
**Tipped rate**: no tip credit; minimum wage applies to all employees    
Note: Washington also has a [minimum salary threshold](https://stratus.hr/resources/exempt-or-non-exempt) of $80,168.40/year for exempt employees 

### **West Virginia Minimum Wage 2026** 

**Rate:** $8.75 per hour for employers with 6+ nonexempt employees at one location    
**Effective:** Already in effect    
**Tipped rate: **$2.62 per hour (30% of state minimum wage)  

### **Wisconsin Minimum Wage 2026** 

**Rate:** $7.25 per hour   
**Effective:** Already in effect    
**Tipped rate**: $2.33 per hour 

### **Wyoming Minimum Wage 2026** 

**Rate:** $7.25 per hour ($5.15 per hour for workers not covered by FLSA)    
**Effective:** Already in effect    
**Tipped rate**: $2.13 per hour 

## **What is a “Tipped Rate?” ** 

A tipped rate is the wage a worker can be paid when they regularly receive more than $30 per month in tips (some states apply different criteria). In most states, employers may take a maximum tip credit and pay a lower hourly cash wage as long as the employee’s hourly pay plus tips equals or exceeds the applicable minimum wage.  

When tips do not bring total earnings up to the required minimum, employers are legally obligated to cover the shortfall. Employers are also forbidden from keeping any portion of employee tips or permitting supervisors and managers to participate in tip sharing. These protections ensure gratuities remain with the employees who earn them.  

Per the [One Big Beautiful Bill](https://stratus.hr/resources/one-big-beautiful-bill-what-employers-should-know), eligible employees may deduct tips and overtime earnings from federal taxable income for tax years 2025-2028. While this does not change pay rates, it affects employee take-home pay and payroll reporting. The deductions apply to workers earning up to $150,000 ($300,000 for joint filers) and allow up to $25,000 in tips.  

## **Youth Training Wage ** 

The Fair Labor Standards Act (FLSA) allows employers to pay employees under the age of 20 a reduced minimum cash wage as an introductory wage during their first 90 consecutive calendar days of employment. The federal youth wage is set at $4.25 per hour, although state laws may require a higher amount.  

## **Maintaining Wage Law Compliance ** 

Because state minimum wage laws and hour regulations are subject to change, employers must remain vigilant. Staying current on legal updates, reviewing payroll practices, and keeping compliance documentation up to date are essential to managing minimum wage obligations effectively. These efforts help create a workplace that is both fair and legally sound.  

For questions about FLSA requirements, minimum wage changes, tipped employee pay, youth training wages, or other labor compliance issues, please reach out to your certified HR expert. Not a current Stratus HR client? [Book a free consultation](https://stratus.hr/book-a-consultation) and our team will contact you shortly.  

Sources:  

- [https://www.dol.gov/agencies/whd/state/contacts#AK](https://www.dol.gov/agencies/whd/state/contacts#AK) 
- [https://www.dol.gov/agencies/whd/mw-consolidated](https://www.dol.gov/agencies/whd/mw-consolidated) 

[View full post](https://stratus.hr/resources/2026-minimum-wage-rates-by-state)

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