With the federal minimum wage frozen at $7.25, cities and states are taking matters into their own hands. With different areas enacting different minimum wages at different times, it’s easy to miss a change that impacts your business, especially if you operate in multiple cities or across state lines.
At the beginning of 2026, a whopping 19 states increased their minimum wage. Here are the states that have already increased and are planning to increase their minimum wage in 2026, along with some tips that will make sure you’re in compliance.
The 19 states that raised the minimum wage on January 1, 2026
Here are the 19 states that have already raised the minimum wage as of January 1, 2026, along with links where you can learn more about the increase and access important resources, like minimum wage posters.
| State | New minimum wage per hour |
| Arizona | $15.15 |
| California | $16.90 |
| Colorado | $15.16 |
| Connecticut | $16.94 |
| Hawaii | $16.00 |
| Maine | $15.10 |
| Michigan | $13.73 |
| Minnesota | $11.41 |
| Missouri | $15.00 |
| Montana | $10.85 |
| Nebraska | $15.00 |
| New Jersey | $15.92 |
| New York | $16.00 |
| Ohio | $11.00 |
| Rhode Island | $16.00 |
| South Dakota | $11.85 |
| Vermont | $14.42 |
| Virginia | $12.77 |
| Washington | $17.13 |
In addition to the 19 states listed above, Washington DC has also increased its minimum wage at the start of 2026 to $17.95 per hour.
Other states that are raising the minimum wage in 2026
There are additional states that have plans to raise the minimum wage later in 2026. They include:
| State | Effective date | New minimum wage per hour |
| Alaska | July 1, 2026 | $14.00 |
| Florida | September 30, 2026 | $15.00 |
| Oregon | July 1, 2026 | Amount to increase based on inflation |
Washington DC is also planning to increase the minimum wage again later in 2026, in addition to having increased it on January 1, 2026. The minimum wage rate will increase on July 1, 2026, to $18.40 per hour.
Other things you need to know to make sure you’re in compliance
Unfortunately, increasing the minimum wage isn’t always straightforward. There are some additional things to keep in mind to make sure you’re in compliance:
- Check closely with the states where you operate because the minimum wage is sometimes different depending on the type of employee you have. For example, Minnesota has a lower 90-day training wage for workers under the age of 20.
- Some states plan to increase the minimum wage over time, which means you may have to keep an eye on the next round of changes. For example, in Hawaii, the minimum wage increased to $16.00 per hour on January 1, 2026, but it is slated to increase again to $18.00 per hour in 2028.
- Some cities have minimum wage requirements that supersede the requirements of the state. For example, the minimum wage in New York state is $16.00 per hour. However, if you operate in New York City, Long Island, or Westchester, the minimum wage is $17.00 per hour.
- Other states have different rates depending on general areas that aren’t city-specific. One example is Oregon, which has a lower rate for non-urban areas and a higher rate for the Portland metro area.
- You must comply with the minimum wage in every area where your employees work—not where your business is based. That means employees may be entitled to different minimum wage rates if you serve multiple areas.
- Minimum wage posters must be posted in a common area where employees can see them easily.
Tips to make the changes easier for you and your admin team
Navigating minimum wage changes can be a challenge for you and your admin team, but there are a few things you can do to make things a little easier:
- Bookmark your state’s labor website, as well as websites for any other areas where you provide service, so you can access minimum wage changes and other helpful information quickly.
- Set reminders on your phone or a digital workplace calendar for any upcoming changes to the minimum wage so you don’t miss them. This is especially important for businesses that serve multiple areas with different minimum wage amounts.
- Consider applying the same wage across the board based on the highest minimum wage in the areas where you operate. For example, if you serve both Michigan and Ohio, consider adopting a $13.73 minimum wage across the board, even though Ohio’s minimum wage is only $11.00 per hour.
- If you want to pay varying minimum wage rates depending on different service areas, make sure you have a digital strategy in place that enables workers to log hours in each area and count up the total hours in each area automatically.
Additional resources:
- Search the current minimum wage laws for each state in one place.
- Learn more about properly classifying employees as exempt or non-exempt employees to ensure you’re paying minimum wage legally.
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