As the cost of living continues to rise in the U.S., many critics argue that the $7.25 per hour federal minimum wage won't cut it.
And while the federal government hasn't changed its minimum wage rate since 2009, many states have been increasing their minimum wage over the years to support their citizens.
Keeping up with these changes almost every year can be challenging, especially if you have employees in multiple states.
But what, exactly, is the minimum wage in all 50 states? We'll cover all that and more, so let's dive in!
What Is the Minimum Wage in All 50 States?
The minimum wage differs from state to state since the cost of living varies a lot across the country. Most states (and even cities) have their own minimum hourly wage rate, with most being higher than the federal rate.
Here are the minimum wages for every state:
State | Minimum Wage | Tipped Minimum Wage | Date it Increases | Notes |
---|---|---|---|---|
Alabama | $7.25 (no state minimum) | $2.13 | N/A | N/A |
Alaska | $10.85 | $10.85 | Jan. 1, 2024 | Annual cost of living adjustment |
Arizona | $13.85 | $10.85 | Jan. 1, 2024 | Annual cost of living adjustment |
Arkansas | $11.00 (for employers of 4 or more employees) | $2.63 | N/A | N/A |
California | $15.50 | $15.50 | Jan. 1, 2024 | Annual cost of living adjustment |
Colorado | $13.65 | $10.63 | Jan. 1, 2024 | Annual cost of living adjustment |
Connecticut | $14.00 | $6.38 (for hotel and restaurant employees) $8.23 (for bartenders) | June 1, 2023 | Will increase to $15.00 per hour |
Delaware | $11.75 | $2.23 | Jan. 1, 2024 | Will increase to $13.25 |
Florida | $11.00 | $7.98 | Sep. 30, 2023 | Will increase to $12.00 |
Georgia | $7.25 (for FLSA-covered employees) $5.15 (non-FLSA employers) | $2.13 | N/A | N/A |
Hawaii | $12.00 | $11.00 | Jan. 1, 2024 | Will increase to $14.00 |
Idaho | $7.25 | $3.35 | N/A | N/A |
Illinois | $13.00 | $7.80 | Jan. 1, 2024 | Will increase to $14.00 |
Indiana | $7.25 | $2.13 | N/A | N/A |
Iowa | $7.25 | $4.35 | N/A | N/A |
Kansas | $7.25 | $2.13 | N/A | N/A |
Kentucky | $7.25 | $2.13 | N/A | N/A |
Louisiana | $7.25 (no state minimum) | $2.13 | N/A | N/A |
Maine | $13.80 | $6.90 | Jan. 1, 2024 | Annual cost of living adjustment |
Maryland | $13.25 (for large employers with 15 or more employees) $12.80 (for small employers with fewer than 15 employees) | $3.63 | Jan. 1, 2024 | Will increase to $14.00 for large employers and $13.40 for small employers |
Massachusetts | $15.00 | $6.75 | N/A | N/A |
Michigan | $10.10 | $3.84 | Jan. 1, 2024 | May increase to $10.33 |
Minnesota | $10.59 (businesses earning over $500k annual gross revenue) $8.63 (businesses earning below $500k annual gross revenue) | $10.59 (businesses earning over $500k annual gross revenue) $8.63 (businesses earning below $500k gross revenue) | Jan. 1, 2024 | Annual cost of living adjustment |
Mississippi | $7.25 (no state minimum) | $2.13 | N/A | N/A |
Missouri | $12.00 | $6.00 | Jan. 1, 2024 | Will increase to $14.00 |
Montana | $9.95 (businesses earning over $110k gross revenue) $4.00 (for businesses not covered by FLSA with below $110k gross revenue) | $9.95 (businesses earning over $110k gross revenue) $4.00 (for businesses not covered by FLSA with below $110k gross revenue) | Jan. 1, 2024 | Annual cost of living adjustment |
Nebraska | $10.50 (for employers of four or more employees) | $2.13 | Jan. 1, 2024 | Will increase to $12.00 |
Nevada | $9.50 (employees with qualifying health insurance) $10.50 (employees without qualifying health insurance) | $9.50 (employees with qualifying health insurance) $10.50 (employees without qualifying health insurance) | July 1, 2023 | Will increase to $10.25 for employees with qualifying health insurance and $11.25 for employees without qualifying health insurance |
New Hampshire | $7.25 | $3.26 | N/A | N/A |
New Jersey | $14.13 (for large employers) $12.93 (for seasonal and small employers who employ fewer than six people) | $5.26 | Jan. 1, 2024 | Will increase to $15.00 for large employers Annual cost of living adjustment for seasonal and small employers who employ fewer than six people |
New Mexico | $12.00 | $3.00 | N/A | N/A |
New York | $14.20 $15.00 (Long Island, Westchester, and New York City) | Varies by region | N/A | N/A |
North Carolina | $7.25 | $2.13 | N/A | N/A |
North Dakota | $7.25 | $4.86 | N/A | N/A |
Ohio | $10.10 (for employers with annual gross receipts of $372,000 or more) $7.25 (for employers with annual gross receipts under $372,000) | $5.05 | Jan. 1, 2024 | Annual cost of living adjustment |
Oklahoma | $7.25 (for employers of 10 or more full-time employees at one location or employers with annual gross sales over $100,000) $2.00 (for other non-FLSA employers) | $2.13 | N/A | N/A |
Oregon | $12.50 (non-urban counties) $13.50 (standard) $14.75 (Portland Metro) | $12.50 (non-urban counties) $13.50 (standard) $14.75 (Portland Metro) | July 1, 2023 | Annual cost of living adjustment |
Pennsylvania | $7.25 | $2.83 | N/A | N/A |
Rhode Island | $13.00 | $3.89 | Jan. 1, 2024 | Will increase to $14.00 |
South Carolina | $7.25 (no state minimum) | $2.13 | N/A | N/A |
South Dakota | $10.80 | $5.40 | Jan. 1, 2024 | Annual cost of living adjustment |
Tennessee | $7.25 (no state minimum) | $2.13 | N/A | N/A |
Texas | $7.25 | $2.13 | N/A | N/A |
Utah | $7.25 | $2.13 | N/A | N/A |
Vermont | $13.18 (for employers of two or more employees) | $6.59 | Jan. 1, 2024 | Annual cost of living adjustment |
Virginia | $12.00 | $2.13 | Jan. 1, 2025 | Will increase to $13.50 |
Washington | $15.74 | $15.74 | Jan. 1, 2024 | Annual cost of living adjustment |
West Virginia | $8.75 (for employers of six or more employees in one location) | $2.62 | N/A | N/A |
Wisconsin | $7.25 | $2.33 | N/A | N/A |
Wyoming | $7.25 (for FLSA-covered employees) $5.15 (non-FLSA employers) | $2.13 | N/A | N/A |
Who Does Minimum Wage Apply To?
The federal minimum wage applies to non-exempt employees covered under the Fair Labor Standards Act (FLSA). Non-exempt employees typically include your hourly and blue-collar workers making less than $684 per week.
The FLSA also excludes specific categories of employees from the minimum wage laws, including:
- Tipped employees who regularly get more than $30 in monthly tips (more on this later).
- Full-time students working for a retail store, university, or service company. You must pay these students at least 85% of the minimum wage.
- Students in a vocational or technical program. They should receive at least 75% of the minimum wage during their enrollment period.
- Employees under 20 years completing a three-month probationary period. They should earn at least $4.25 per hour until they complete a three-month probationary period. After that, or when they reach age 20 (whichever comes first), you should pay them at least the minimum wage.
- Employees with mental or physical disabilities that can affect production capacity. They include people who have alcohol and drug addiction, cerebral palsy, blindness, developmental disabilities, or mental illness.
Minimum Wage: Federal vs. State vs. City
States and cities also play a significant role in determining the minimum rate for standard workers living there by setting their own minimum wage rates.
But if the federal, state, and city minimum wages differ, can you cherry-pick the rate to apply? Unfortunately, that's not the case. You must always pay the highest minimum wage.
For example, the minimum wage for California's standard workers is $15.50 per hour, which is higher than the federal minimum. That means you should pay your workers at least the state's minimum wage of $15.50 per hour.
However, if your worker is based in San Francisco, which has a minimum wage ($16.99) higher than the Golden State, you must pay that worker $16.99 per hour.
On the other hand, in states like Wyoming ($5.15), where the minimum wage rate is lower than the federal rate, the higher federal rate of $7.25 per hour applies.
Keeping a tab on all these minimum wage rates and their frequent updates can be challenging. Instead, you can use payroll software like Hourly that stays up to date on minimum wage requirements and lets you pay your employees with a single click.
Which States Are Raising Their Minimum Wages in 2023?
According to the Economic Policy Institute (EPI), 22 states and Washington, D.C., raised their minimum wage on Jan. 1, 2023. Connecticut, Oregon, Nevada, and Florida will follow suit later in the year.
The states that raised their minimum wages on Jan. 1, 2023, include:
- Alaska
- Arizona
- California
- Colorado
- Delaware
- Illinois
- Maine
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Missouri
- Montana
- Nebraska
- New Jersey
- New Mexico
- Ohio
- Rhode Island
- South Dakota
- Vermont
- Virginia
- Washington
Connecticut's minimum wage will go up to $15.00 per hour on June 1, 2023, while Florida will raise its rate to $12.00 per hour on Sept. 30, 2023. Oregon is yet to announce the exact numbers, but they will come into effect on July 1, 2023.
Meanwhile, Nevada workers will enjoy minimum wages of $11.25 for employees without qualifying health insurance and $10.25 for workers with qualifying health insurance starting July 1, 2023.
Which States Have a $15 per Hour Minimum Wage?
Washington, California, and Massachusetts are the states with a minimum wage of $15 per hour or above.
Workers from Connecticut will have something to smile about as we get to mid-2023. The state will join this list when its minimum hourly wage rises to $15 per hour on June 1, 2023. It's currently at $14.00 per hour.
Which States Will See Their Minimum Wage Increase to $15 per Hour in 2023 and Beyond?
Thirteen states will see their minimum wages increase to $15 per hour and above in 2023 and beyond.
The table below highlights these states:
State | Scheduled Minimum Wage Increase | Date of Implementation |
---|---|---|
Washington | $15.74 per hour | Jan. 1, 2023 |
California | $15.50 per hour | Jan. 1, 2023 |
Massachusetts | $15.00 per hour | Jan. 1, 2023 |
Connecticut | $15.00 per hour | June 1, 2023 |
Delaware | $15.00 per hour | Jan. 1, 2025 |
Florida | $15.00 per hour | Sept. 30, 2026 |
Hawaii | $16.00 per hour $18.00 per hour | Jan. 1, 2026 Jan. 1, 2028 |
Illinois | $15.00 per hour | Jan. 1, 2025 |
Maryland | $15.00 per hour | Jan. 1, 2025 |
Nebraska | $15.00 per hour | Jan. 1, 2026 |
New Jersey | $15.00 per hour $15.00 per hour | Jan. 1, 2024 (employers with five or more employees) Jan. 1, 2026 (employers with less than five employees) |
Rhode Island | $15.00 per hour | Jan. 1, 2025 |
Virginia | $15.00 per hour | Jan. 1, 2026 |
Which State Has the Highest Minimum Wage?
Washington has the highest minimum wage of any state in the country. It currently offers a minimum wage of $15.74 per hour. The Golden State follows with a minimum wage rate of $15.50 per hour.
Here's a summary of the states with the highest minimum wages:
State | Minimum Wage Rate (per hour) |
---|---|
Washington | $15.74 |
California | $15.50 |
Massachusetts | $15.00 |
New York | $14.20 $15.00 (Long Island, Westchester, and NYC) |
New Jersey | $14.13 (For large employers) |
Connecticut | $14.00 |
Washington, D.C., would have taken the top spot with $16.10 per hour if it were a state.
Which State Has the Lowest Minimum Wage?
Georgia and Wyoming have the lowest minimum wages of $5.15 per hour. However, if you're an employer in either of these states, you must pay the $7.25 per hour minimum wage for employees subject to the FLSA regulations.
Meanwhile, five states have no state minimum wage laws, so they automatically follow the federal rate. They include Alabama, Louisiana, Mississippi, South Carolina, and Tennessee.
And 13 states have minimum wage laws that equal the federal minimum of $7.25 per hour:
- Idaho
- Indiana
- Iowa
- Kansas
- Kentucky
- New Hampshire
- North Carolina
- North Dakota
- Oklahoma
- Pennsylvania
- Texas
- Utah
- Wisconsin
What Is the Minimum Wage for Tipped Employees?
According to the Department of Labor (DOL), the minimum wage for tipped employees is $2.13 per hour in direct wages.
The DOL defines a tipped employee as a worker who does a job where they regularly get more than $30 in tips per month.
It's important to note that this minimum wage law only applies to employees who receive enough tips to meet the minimum wage of $7.25 per hour (or what their state/locality mandates). As an employer, you must make up the difference if the employee's wages don't equal the minimum wage.
Also, different states have different wage laws for tipped employees. Refer to the table above for more details.
Keep Up with State Minimum Wages
Many states increased their minimum wages in 2023 to help employees cope with the high cost of living and inflation. Other states have passed laws that'll eventually raise the minimum wage to $15 per hour beyond 2023.
Now that we've covered most of what you need to know about the minimum wages for all states in 2023, all that's left to do? Update your payroll when the time comes!
1. Introducing Yourself
Your introductory email needs to pack a lot of information into a small package. Try something like this:
Sample
Text Copied to Clipboard
Copy

Hello Jane,
My name is John Doe and I work for ABC Agency, where we provide business insurance policies to many of Dallas' rockstar small businesses.
Congratulations on your new business, Jane's Bakery. Are you wondering if you have all the insurance you need? Or if your policies will really cover you in a pinch?
At ABC Agency, we pride ourselves on providing robust, comprehensive coverage options to companies like yours with flexible, pay-as-you-go plans.
Are you available this week to talk more about how we can help? I can help you find the most affordable rates and the best policies out there.
I look forward to speaking with you soon.
Cheers,
John Doe
2. Presenting a Quote
Once you've met with your potential client, a quick reply with their quote will get the ball rolling.
Sample
Text Copied to Clipboard
Copy

Hi Jane,
Thanks so much for meeting with me this morning. I loved touring Jane's Bakery–I can still smell those delicious chocolate chip cookies baking! You have a great location, and I'm sure you're going to do great on Front St.
After reviewing my notes, I've pulled together an insurance quote for you (attached). I recommend a business owner's policy. A BOP includes several insurance products in one: liability, property insurance, and business interruption insurance. It offers robust coverage at a competitive price.
I'll call you in a few days to see what you think about this insurance plan. In the meantime, if you have any questions, don't hesitate to email me or call me at [phone number].
Again, thank you for your time today. I look forward to working with you in the future.
Cheers,
John Doe
3. Thanks for Purchasing a Policy
Gratitude is important! It's never a bad idea to thank your clients for their business.
Sample
Text Copied to Clipboard
Copy

Hi Jane,
Thank you for choosing a business owner's policy with ABC Agency. We know it's so important to get the right coverage for your business, and we are honoured you've placed your trust in us.
We're excited to work closely with you, and our no. 1 goal is to make sure you're business is always protected.
Do you have any questions? We are here to help. Reach out whenever something comes to mind.
Thank you again for choosing ABC Agency to insure Jane's Bakery.
Cheers,
John Doe
4. Welcome Email
A welcome email helps clients feel like you're there to help–and can softly pitch other insurance products you offer.
Sample
Text Copied to Clipboard
Copy

Dear Jane,
Welcome to the ABC family! We are thrilled to have you as a new customer and can't wait to meet all of your insurance needs.
As an independent insurance agency, we work with multiple insurance providers to find the best coverage options for all our customers. If you need any other type of insurance–like [include additional offerings unique to your agency, like life insurance, health insurance, home insurance or anything else]–we can help you too.
Do you want to discuss any of these policies?
Cheers,
John Doe
5. Introducing a New Product
A happy client may want to expand their business with you.
Sample
Text Copied to Clipboard
Copy

Hello Jane,
I hope all is well with you and Jane's Bakery. I stopped in yesterday for a blueberry muffin and coffee, and they were delicious. I loved the hint of cinnamon in the muffin! Was that your idea?
I wanted you to be the first to know we are now offering commercial vehicle insurance to our policyholders. Auto insurance for your catering vans is super important since your personal car insurance won't cover them.
We're offering this insurance coverage solely to our current business clients at the moment and have some very competitive rates.
Would you like me to work up a quote for you?
As always, thanks so much for being a part of the ABC family.
Cheers,
John Doe
6. Asking For Referrals
Once your relationship is established and comfortable, let your clients help you grow.
Sample
Text Copied to Clipboard
Copy

Hi Jane,
You've been a valuable member of the ABC family for two years now, and we so appreciate your business–not to mention the muffins you supply for our monthly meetings!
Because you are a valued policyholder, I wanted to ask a quick favour. I know you are active in the local Chamber of Commerce, and I'm hoping you might know some colleagues who would benefit from working with our insurance company.
Referrals are one of the most effective ways to connect with our community since people really trust their friends, family and colleagues. Is there anyone you'd recommend I speak with?
Remember that in addition to business insurance products, we offer everything from life insurance policies to pet insurance.
As a thank you for your help, we will send you an Amazon gift card of $100 when your referrals buy insurance from us.
Thanks so much for your help!
Cheers,
John Doe
7. Policy Renewal
If your client needs to renew their policy with you, send an email like this:
Sample
Text Copied to Clipboard
Copy

Hi Jane,
I hope you're doing well! What a year it's been—from being listed as one of the top 5 bakeries in Dallas to being an official vendor for the city—you have so much to be proud of.
Just a heads up that your business owner's policy is up for renewal soon and will expire on June 15, 2023.
If you're still happy with the coverage, we can easily renew it for you.
Do you have some time to chat this week?
Looking forward to serving you again!
Cheers,
John Doe
Subscription implies consent to our privacy policy.