Minimum Wage Increases Take Effect As 2026 Begins

American workers at the bottom rung of the pay scale will get a pay bump in much of the country in 2026, with minimum wage hikes taking effect in 19 states on New Year’s Day and additional increases scheduled later in the year in three more states.

While 20 states are sticking with the federal minimum wage of $7.25 an hour, most states have gone their own way, setting higher floors that are often tied to inflation or updated under state labor laws.

Supporters say higher minimum wages give low-income workers a needed boost as everyday costs climb. Critics counter that the increases drive up costs for businesses, squeeze small employers and encourage automation that can replace entry-level jobs.

Here’s where minimum wages are rising in 2026 and when the changes kick in.

Minimum wage increases effective Jan. 1:

• Arizona: $15.15 per hour (local rates may be higher)
• California: $16.90 per hour
• Colorado: $15.16 per hour (local variation applies)
• Connecticut: $16.94 per hour
• Hawaii: $16.00 per hour
• Maine: $15.10 per hour
• Michigan: $13.73 per hour
• Minnesota: $11.41 per hour (higher local rates in some areas)
• Missouri: $15.00 per hour
• Montana: $10.85 per hour
• Nebraska: $15.00 per hour
• New Jersey:
• $15.92 for employers with 6+ employees
• $15.23 for seasonal workers or employers with fewer than 6 employees
• $14.20 for agricultural workers
• $18.92 for long-term care direct care workers
• New York:
• $17.00 in NYC, Long Island, and Westchester
• $16.00 in the rest of the state
• Ohio: $11.00 per hour (some small businesses may still pay federal minimum)
• Rhode Island: $16.00 per hour
• South Dakota: $11.85 per hour
• Vermont: $14.42 per hour
• Virginia: $12.77 per hour
• Washington: $17.13 per hour (higher in some cities)
• Minimum wage increases later in 2026:
• Alaska: $14.00 per hour effective July 1
• Florida: $15.00 per hour effective Sept. 30

As wage floors climb, business groups warn of tighter margins and tougher hiring decisions, while worker advocates argue the increases are overdue relief in a high-cost economy. Either way, millions of paychecks across the country are set to get a noticeable boost in 2026.

Download the FREE Trending Politics App to get the latest news FIRST >>