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19 States Raise Minimum Wage: 2026 Update
Economics

19 States Raise Minimum Wage: 2026 Update

Business InsiderJan 2
3 min read
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Key Facts

  • ✓ Minimum wage increased in 19 states on January 1, 2026.
  • ✓ The increases affect over 8 million workers.
  • ✓ Washington, D.C., has the highest minimum wage at $17.95 per hour.
  • ✓ Twenty states still use the federal minimum wage of $7.25 or have no state minimum wage.

In This Article

  1. Quick Summary
  2. Highest Minimum Wages in the U.S.
  3. States with $15 to $16 Hourly Rates
  4. Mid-Range and Lower Wage States
  5. Conclusion

Quick Summary#

Nineteen states increased their minimum wage on January 1, 2026, affecting more than 8 million workers across the United States. Washington, D.C., currently holds the highest minimum wage at $17.95 per hour, followed by Washington state at $17.13 and New York at $17.00 in specific counties.

Several states, including California, Connecticut, and Hawaii, now offer rates between $16 and $17 per hour. Meanwhile, twenty states continue to use the federal minimum wage of $7.25 per hour or have no state minimum wage at all. The increases range from modest adjustments in states like Minnesota and Ohio to significant jumps in states like Hawaii and Missouri.

Highest Minimum Wages in the U.S.#

The Washington, D.C. area leads the nation with a minimum wage of $17.95 per hour. Following closely behind is Washington state, where the rate increased to $17.13, up from $16.66.

New York has implemented a tiered system. In New York City, Nassau County, Suffolk County, and Westchester County, the minimum wage is $17.00, an increase from $16.50. Outside of these specific areas, the rate is set at $16.00, up from $15.50.

Other states with wages exceeding $16.00 per hour include:

  • Connecticut: $16.94 (increased from $16.35)
  • California: $16.90 (increased from $16.50)
  • Hawaii: $16.00 (increased from $14.00)
  • Rhode Island: $16.00 (increased from $15.00)

Oregon also maintains a high wage, though it varies by location. The standard minimum wage is $15.05 per hour, but it rises to $16.30 in the Portland metro area and is set at $14.05 in nonurban counties.

States with $15 to $16 Hourly Rates#

Many states have aligned their minimum wage with the $15.00 benchmark. Delaware, Illinois, Massachusetts, Maryland, and Missouri all established a minimum wage of $15.00 per hour. Missouri and Nebraska saw significant increases to reach this figure, moving from $13.75 and $13.50 respectively.

Other states in this bracket have rates slightly above the $15.00 baseline. New Jersey increased its wage to $15.92, though a lower rate of $15.23 applies to employers with fewer than six employees and those in seasonal employment. Colorado's rate rose to $15.16, while Arizona's increased to $15.15 and Maine's to $15.10.

Mid-Range and Lower Wage States#

States with minimum wages between $10 and $15 per hour saw varied increases. Michigan made a substantial adjustment, raising its wage to $13.73 from $12.48. Florida currently stands at $14.00, while Vermont increased to $14.42.

Other notable increases in this range include:

  • Virginia: $12.77 (increased from $12.41)
  • South Dakota: $11.85 (increased from $11.50)
  • Minnesota: $11.41 (increased from $11.13)
  • Ohio: $11.00 (increased from $10.70)

Several states maintain the federal baseline of $7.25 per hour. These include Idaho, Indiana, Kansas, Kentucky, North Carolina, North Dakota, Pennsylvania, Texas, and Wisconsin. Additionally, Alabama, Georgia, Louisiana, Mississippi, South Carolina, Tennessee, and Wyoming have no state minimum wage, defaulting to the federal rate.

Conclusion#

The start of 2026 has brought significant changes to the wage landscape, with nearly half of the states implementing increases. These adjustments reflect ongoing economic shifts and legislative efforts to address the cost of living. While states like Washington, D.C., and Washington lead with wages approaching $18.00, a distinct divide remains with twenty states adhering to the federal standard of $7.25. The impact of these changes will be closely watched as they affect millions of workers nationwide.

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