The current federal minimum wage rate is $7.25 per hour. However, many states have adopted minimum wage rates higher than the federal rate. When the state rate and the federal rate are different, employers must pay their employees the higher rate.

While Utah, Wyoming, and Idaho are not increasing their minimum wage in 2020, the following states have announced new minimum wage rates:

State  2019 Minimum Wage 

2020 Minimum Wage
Alaska $9.89 $10.19
Arizona $11.00 $12.00
Arkansas $9.25 $10.00
California $12.00 $13.00 (For employers with 26 or more employees. 25 employees or less have a minimum of $12.00 )
Colorado $11.10 $12.00
Connecticut $11.00 $12.00 (effective 9/1/20)
Washington D.C. $14.00 $15.00 (effective 7/1/20)
Florida $8.46 $8.56
Illinois $8.25 $9.25
Maine $11.00 $12.00
Maryland $10.10 $11.00
Massachusetts $12.00 $12.75
Michigan $9.45 $9.65
Minnesota $9.86 $10.00 (For large employers. Small employers have a minimum wage of $8.15 per hour.)
Missouri $8.60 $9.45
Montana $8.50 $8.65
Nevada $7.25 ($8.25 if not offered health insurance) $8.00 (effective 7/1/2020, $9.00 if not offered health insurance)
New Jersey $10.00 $11.00
New Mexico $7.50 $9.00
New York $11.10 $11.80 (some cities have higher minimum wage in NY)
Ohio $8.55 $8.70
Oregon $11.25 $11.25 (some cities have higher minimum wage in OR)
South Dakota $9.10 $9.30
Vermont $10.78 $10.96
Washington $12.00 $13.50

Please keep in mind that state minimum wage rates apply in areas that are not governed by a higher, local minimum wage ordinance. Make sure you understand the minimum wage rules in the areas where your employees work. Affected employers should review their employees’ pay rates and update their minimum wage poster notices as necessary to ensure compliance with local wage regulations.

If you have any questions, please contact Helpside at humanresources@helpside.com for assistance.