Cruise ship gratuity

New Minimum Wage 2026: State by State Rate Increase

As the new year begins, workers in nearly 20 states are seeing higher paychecks as minimum wage increases approved for 2026 take effect, continuing a nationwide trend of state-level wage growth.

While the federal minimum wage remains unchanged at $7.25 per hour, where it has stood since 2009, states continue to raise pay floors through voter-approved schedules and inflation-linked adjustments.

What’s Changing in 2026

Effective January 1, 2026, the following states have implemented higher minimum wage rates, with most pay floors now at or above $15 per hour. 

State by state minimum wage increase 2026

State-by-State Minimum Wage Changes (2025 → 2026)

The following states raised their minimum wage effective January 1, 2026, showing the 2025 rate, the new 2026 rate, and the hourly increase.

  • Arizona
    2025: $14.70 → 2026: $15.15 (+$0.45)
  • California
    2025: $16.50 → 2026: $16.90 (+$0.40)
  • Colorado
    2025: $14.81 → 2026: $15.16 (+$0.35)
  • Connecticut
    2025: $16.35 → 2026: $16.94 (+$0.59)
  • Hawaii
    2025: $14.00 → 2026: $16.00 (+$2.00)
  • Maine
    2025: $14.65 → 2026: $15.10 (+$0.45)
  • Michigan
    2025: $12.48 → 2026: $13.73 (+$1.25)
  • Minnesota
    2025: $11.13 → 2026: $11.41 (+$0.28)
  • Missouri
    2025: $13.75 → 2026: $15.00 (+$1.25)
  • Montana
    2025: $10.55 → 2026: $10.85 (+$0.30)
  • Nebraska
    2025: $13.50 → 2026: $15.00 (+$1.50)
  • New Jersey
    2025: $15.49 → 2026: $15.92 (+$0.43)
    (Rates vary by employer size and job category)
  • New York
    • NYC / Long Island / Westchester

      2025: $16.50 → 2026: $17.00 (+$0.50)
    • Rest of New York State

      2025: $15.50 → 2026: $16.00 (+$0.50)
  • Ohio
    2025: $10.70 → 2026: $11.00 (+$0.30)
  • Rhode Island
    2025: $15.00 → 2026: $16.00 (+$1.00)
  • South Dakota
    2025: $11.50 → 2026: $11.85 (+$0.35)
  • Vermont
    2025: $14.01 → 2026: $14.42 (+$0.41)
  • Virginia
    2025: $12.41 → 2026: $12.77 (+$0.36)
  • Washington
    2025: $16.66 → 2026: $17.13 (+$0.47)

State With the Highest Minimum Wage Increase

Hawaii posted the largest year-over-year increase from 2025 to 2026.

  • 2025: $14.00
  • 2026: $16.00
  • Increase: +$2.00 per hour

This increase reflects Hawaii’s multi-year plan to significantly raise wages as the state addresses high living costs.

State With the Smallest Minimum Wage Increase

Minnesota recorded the smallest increase among states raising wages in 2026. An increase of a miniscule $0.28 per hour! As compared to Hawaii, which saw an increase of $2 per hour. 

  • 2025: $11.13
  • 2026: $11.41
  • Increase: +$0.28 per hour

Minnesota’s increase was tied to a modest inflation-based adjustment rather than a large scheduled hike.

State With the Highest Minimum Wage in 2026

Washington now has the highest statewide minimum wage in the country in 2026.

  • 2026 minimum wage: $17.13 per hour

While some cities and counties set higher local wages, Washington leads all states at the statewide level.

Millions of Workers See Higher Pay

In total, these increases are expected to benefit more than 8 million workers nationwide, adding billions of dollars to paychecks over the course of 2026. Many states now adjust their minimum wages annually to keep pace with inflation.

Federal Minimum Wage Remains Unchanged

Despite state-level action, the federal minimum wage remains at $7.25 per hour, unchanged since 2009, leaving workers in non-increase states dependent on local or employer-driven pay changes.

More Wage Increases Coming Later in 2026

Additional minimum wage increases are scheduled later in the year in states such as Alaska, Florida, and Oregon, where wages are adjusted mid-year or recalculated based on inflation. Moreover, many cities and counties — including places like Seattle and West Hollywood — are setting even higher local minimum wages, at times exceeding $20 per hour. 

Sharing is caring!

Scroll to Top