2021 Minimum Wage Increases By State
According to the Department of Labor, 25 states across the country will have minimum wage increases this year. We will start local and then spread out across the county.
No changes for KY and WV. They are:
- $7.25 standard
- $2.13 tipped
- $8.75 standard
- $6.13 tipped
Here are the other minimum wage increases by state.
Alaska’s minimum wage will increase to $10.34 per hour. There is no separate rate for tipped workers.
Arizona will increase the statewide rate to $12.15 per hour. The minimum wage for tipped employees will remain at $9 per hour.
Arkansas will implement a minimum wage increase, bringing the rate to $11 per hour as part of a series of annual increases that started in 2019. This increase is the last in the current series. The tipped minimum wage is $2.64 per hour.
Small employers who employ 25 or fewer workers must abide by the new California minimum wage order of $13 per hour. Employers with 26 or more employees need to comply with the increased standard rate of $14 per hour. California is one of 7 states that does not allow businesses of any kind to pay a lesser tipped rate.
Note: While Los Angeles’ rate for businesses with at least 26 employees will stay the same at $15 per hour, businesses with 25 or fewer employees will be subject to a higher minimum wage of $15 per hour.
The rate will change in Colorado to $12.32 per hour. The tipped rate will increase to $9.30 per hour. The city of Denver is increasing the minimum wage to $14.77 per hour with another increase to $15.87 per hour, which will go into effect in 2022.
The Connecticut minimum wage will increase to $13 per hour starting August 1, 2021. The tipped rate is $6.38, but bartenders must be paid $8.23 for hours worked.
The 2021 rate in Delaware will be increased to $10.25 per hour. The tipped minimum wage is $2.23 per hour.
Florida is changing their rate to $10 per hour on September 30, 2021. The tipped minimum wage is $5.63 per hour.
Illinois’ rate will increase to $11 per hour, with plans to increase it to $15 per hour by 2025. The rate for tipped employees is $6.60 per hour.
Maine’s rate will increase to $12.15 per hour, and the minimum wage for tipped employees increases to $6.08 per hour.
The rate in Maryland is increasing to $11.75 per hour for employers with at least 25 employees. Employers with less than 25 employees must comply with an increase of $11.60.
The tipped employee’s rate remains the same at $3.63 per hour.
The rate for employees in Massachusetts is increasing to $13.50 per hour. The tipped minimum wage is also increasing to $5.55 per hour.
Minnesota legislators ruled that the rate will increase to $10.08 per hour in 2021 for large employers and $8.21 per hour for small employers.
There is no minimum wage set for tipped workers.
Missouri is increasing its wage in 2021 to $10.30 per hour for non-tipped employees. Missouri’s separate minimum wage rate for tipped employees is $4.72.
Montana residents will receive an increased rate of $8.75 per hour. Businesses that make over $110,000 annually must pay their tipped employees the standard minimum wage rate.
However, if they make less than $110,000 annually, they are allowed to pay tipped employees $4 per hour.
The State of Nevada is increasing the rate to $9.75 per hour on July 1, 2021. Tipped employees must be paid the standard minimum wage rate.
New Jersey’s rate will increase to $12 per hour. The tipped minimum wage is also increasing to $4.13.
New Mexico will increase their standard rate to $10.50 per hour in 2021. Tipped employees will see an increase to their minimum wage rate when it also rises to $2.55 per hour on January 1.
New York State
The State of New York will increase its standard rate to $12.50 per hour in 2021, except for fast-food workers whose minimum wage will be increased to $15 per hour on July 1, 2021.
Oregon’s increased minimum wage of $12.75 per hour taking effect July 1, 2021.
South Dakota legislators increase to $9.45 per hour.
According to the Vermont Department of Labor, the state’s minimum wage will increase in 2021 to $11.75 per hour. The minimum tipped wage for employees is $5.88 per hour.
The Virginia minimum wage will increase to $9.50 per hour on May 1, 2021. The rate will increase each year until it reaches $12 per hour in 2023. The tipped minimum wage remains the same at $2.13 per hour.
Washington State officials approved a minimum wage increase to $13.69 per hour in 2021. The State of Washington does not allow businesses to pay tipped employees at a lower rate than the standard minimum wage