Press "Enter" to skip to content

2025 State Minimum Wage Increases

0

While the Federal minimum wage remains at $7.25 per hour for the past 16 years, 27 states and many cities, counties and locals have set increases effective January 1st, 2025 with a few announcing a change during 2025.  Many states are continuing their march to $15.00 per hour with many states now exceeding that rate with places in Washington state that have a minimum wage above $20 per hour.  A list of each state/local, along with the new hourly rate is listed below. States that do not have a minimum wage change scheduled may not be listed.

All rates are effective January 1st, 2025 unless otherwise noted.

  • Alaska: $13.00 7/1/2025
  • Arizona: $14.70 ($11.70 for tipped employees)
    • Flagstaff: $17.85 ($16.85 for tipped employees)
  • Arkansas: $11.00 ($2.63 for tipped employees) (2025 Rate is TBD)
  • California$16.50
    • $20.00 for fast food workers of chains of 60 or more locations.  Food chains in California who make their own bread, like Panera Bread and Subway, are not subject. (2025 Rate is TBD)
    • $18.00-$24.00 for health care workers based on employer type.
    • San Diego: $17.25* Per San Diego Municipal Code §39.0107(b)(4), if the federal or California minimum wage increases above the City’s current minimum wage, the local wage must automatically rise to match the higher amount. If Proposition 32 is passed on November’s ballot, the City’s 2024 minimum wage will automatically increase to $17.00 per hour and the 2025 minimum wage will increase to $18.00 per hour for all employers within the geographic boundaries of the City of San Diego. Please check the Minimum Wage Program’s webpage for updates regarding these minimum wage increases.
    • San Jose: $17.95
  • Colorado: $14.81 ($11.79 for tipped employees)
    • Denver: $18.81 ($15.79 for tipped employees)
  • Connecticut: $16.35
  • Delaware: $15.00
  • Florida: $14.00 ($10.98 for tipped employees) 9/30/2025
  • Hawaii: $16.00 1/1/2026
  • Illinois: $15.00 ($9.00 for tipped employees)
  • Maine: $14.65 ($7.33 for tipped employees)
    • Portland: $15.50 ($7.75 for tipped employees)
    • Rockland: $15.00
  • Maryland: $16.00
  • Massachusetts: $16.25 No increase
  • Michigan: $10.56 for employees 18 & over ($4.01 for tipped employees) with a second increase on 2/21/2025 to $12.48 ($5.99 for tipped employees)
    • $8.98 for 16 & 17 year old employees with a second increase on 2/21/2025 to $10.61
  • Minnesota: $11.13 ($9.08 Training wage for workers under the age of 20 who are in training under certain conditions and applicable for 90 days.)
    • Minneapolis: $15.97
    • St. Paul: $15.97 for businesses with 10,001 or more employees; $15.97 for businesses with 101 to 10,000 employees (7/1/2024), $15.00 for businesses with 6 to 100 employees (7/1/2025), and $13.25 for businesses with five or fewer employees (7/1/2025).
  • Missouri: $13.75 ($6.88 for tipped employees)
  • Montana: $10.55
  • Nebraska: $13.50
  • Nevada: $12.00 No increase
  • New Jersey: $15.49; $14.53 for seasonal or less than 6 employees ($5.62 for tipped employees)
  • New Mexico: $12.00 ($3.00 for tipped employees) No increase
    • Las Cruces: $12.65, $5.06 for tipped employees
  • New York: $15.50 ($10.35 for tipped employees)
    • NYC: $16.50 ($11.00 for tipped employees)
    • Long Island & Westchester: $16.50 ($11.00 for tipped employees)
  • Ohio: $10.70 food large employers ($5.35 for tipped employees); $7.25 for small employers with gross receipts of less than $385,000
  • Oregon: $15.95 per hour inside the Portland urban growth boundary, $13.70 per hour in nonurban counties, and $14.70 in other areas of the state (2025 Rate effective 7/1/2025 is TBD)
  • Puerto Rico: $10.50 No increase
  • Rhode Island: $15.00 Full-time students under 19 years of age working in nonprofit religious, educational, librarial, or community service organizations: As of 1/1/2022 — $11.70
  • South Dakota: $11.50 ($5.75 for tipped employees)
  • Vermont: $14.01 ($7.01 for tipped employees)
  • Virginia: $12.41
  • Washington (state): $16.66
    • Seattle: $20.76
    • SeaTac: $20.17
    • Tukwila: $21.10 Large Employers $20.10 Mid-size Employers (On July 1st, 2025, mid-size employers are required to increase their minimum wage rate to equal the large employer rate of $21.10. )
    • Renton: $16.66
    • Bellingham: $17.66 increasing to $18.66 (5/1/2025)
    • Burien:
      • $21.16 “Level 1 employer” means all employers, including franchisees, that employ more than 500 FTEs in King County or franchisors who employ more than 500 FTEs in the aggregate.
      • $20.16 “Level 2 employer” means all employers, including franchisees, that employ 21 – 499 FTEs in King County. Effective July 1, 2025 at 12:01 a.m., Level 2 employers shall pay each employee an hourly minimum wage of at least $3.50 over the Washington State hourly minimum wage.
      • “Level 3 employer” means all employers with 20 or fewer FTEs. Employers with 20 or fewer FTEs are exempt from this ordinance.
  • West Virginia: $11.00

A question we are often asked is in regards to the timing of the rate change.  A rate change takes place on January 1st, meaning that it is for work performed on or after that date.  It is not based on the date the wages are paid.   For example, if your biweekly pay period is from 12/18/2024 to 12/31/2024, with a check date of January 3, 2025, all of those hours worked would be paid at the 2024 rate, even though it is being paid in 2025.   A situation occurs when your pay period straddles two different calendar years, and a few days needs to be paid at the old rate and a few days at the new.   This may cause a nightmare of work if your timekeeping/payroll system cannot handle assigning rates based on the day worked.  The easiest solution would be to pay the entire pay period at the new rate.  Yes, one may see this as ‘overpaying’ the employees, but in most cases the added administrative work involved may overshadow the additional wages paid.  With PayMaster HCM time & labor and payroll, rates are assigned on a daily basis, so mid-pay period rate changes are never an issue.

The following 20 states are all remaining at the Federal minimum wage level of $7.25 for any FLSA subject employers. They either have no minimum rate set, or it is lower than the federal $7.25 rate.  A rate that has been in place since July 24th, 2009.   Alabama, Georgia, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Mississippi, New Hampshire, North Carolina, North Dakota, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Wisconsin, Wyoming.

A final note.  If your state has enacted a rate change, this means that you will need to update your state labor poster.


If your state is not listed, check with your state’s department of labor to confirm there was no rate change for 2025.  The data listed is for general informational purposes only and should not be used as legal or professional advice.  Please contact your state and local agency for more information regarding your State Minimum Wage as well as any exceptions that may exist.

Leave a Reply