No matter where a business is located, employers need to stay up to date with the minimum wage requirements of their state in order to maintain compliance.
Updated: December 13, 2024
Beyond state minimum wage requirements, businesses must also comply with pay requirements under the Fair Labor Standards Act (FLSA). However, state-specific minimum wage requirements for 2025 are listed below.
State Minimum Wages for 2025
Alabama Minimum Wage
Alabama does not have a state minimum wage, so employers are required to adhere to the federal minimum wage set by the FLSA. This remains at $7.25 per hour as of January 1, 2025. The state legislature has not announced any plans to introduce a state-specific minimum wage.
Alaska Minimum Wage
The minimum wage in Alaska is adjusted annually based on the Consumer Price Index (CPI). As of January 1, 2025, the state’s minimum wage will rise from $11.73 to $12.31 per hour. Employers in Alaska must also note that tipped employees receive the same minimum wage as non-tipped employees.
Arizona Minimum Wage
Arizona adjusts its minimum wage annually to reflect inflation. As of January 1, 2025, the minimum wage will increase from $14.35 to $14.90 per hour. Tipped employees will see their base wage increase to $11.90 per hour. These adjustments are mandated by the state’s Fair Wages and Healthy Families Act.
Arkansas Minimum Wage
Arkansas maintains a state minimum wage of $11.00 per hour, which exceeds the federal minimum wage. This rate has been in effect since 2021, and no changes are scheduled for 2025. Employers should ensure compliance with state wage laws and any industry-specific wage requirements.
California Minimum Wage
California’s minimum wage is subject to annual inflation-based adjustments. On January 1, 2025, the minimum wage will increase from $16.00 to $16.50 per hour for all employers, regardless of size. Employers in California must also adhere to local minimum wage ordinances, which may set higher rates.
Colorado Minimum Wage
Colorado’s minimum wage is tied to the state’s CPI. On January 1, 2025, the minimum wage will rise from $14.42 to $14.81 per hour. Tipped employees will see a proportional increase, bringing their minimum wage to $11.79 per hour. Employers must ensure accurate wage reporting and compliance.
Connecticut Minimum Wage
Connecticut’s minimum wage increases annually based on inflation. Starting January 1, 2025, the minimum wage will rise from $15.69 to $16.35 per hour. Employers should prepare for this adjustment by updating payroll systems and informing employees of the change.
Delaware Minimum Wage
Delaware’s minimum wage will increase from $13.25 to $15.00 per hour on January 1, 2025. This marks the final stage of a planned increase approved by the state legislature. Employers should ensure they meet this requirement to avoid penalties.
District of Columbia (D.C.) Minimum Wage
Washington D.C. maintains one of the highest minimum wages in the nation. As of July 1, 2024, the minimum wage is $17.50 per hour, with adjustments tied to the CPI. It is anticipated to increase further in July 2025. The tipped minimum wage will reach $10.00 per hour by July 1, 2025.
Florida Minimum Wage
Florida’s minimum wage increases annually as part of a voter-approved constitutional amendment. On September 30, 2025, the minimum wage will rise from $13.00 to $14.00 per hour. Employers are advised to adjust payroll systems in advance to ensure compliance.
Georgia Minimum Wage
Georgia has a state minimum wage of $5.15 per hour; however, employers covered by the FLSA must comply with the federal minimum wage of $7.25 per hour. No updates are planned for 2025. Employers should verify whether their business is subject to federal wage laws.
Hawaii Minimum Wage
Hawaii’s minimum wage is $14.00 per hour but is set to increase to $16.00 per hour on January 1, 2026. Employers should note that additional increases are scheduled in subsequent years to reach $18.00 per hour by 2028.
Idaho Minimum Wage
Idaho adheres to the federal minimum wage of $7.25 per hour. The minimum wage for a tipped employee is $3.35 per hour. Idaho's minimum wage for new hires under 20 is $4.25 an hour, but this only applies to the first ninety days of employment. There are no state-specific increases planned for 2025. Employers must ensure compliance with federal wage laws.
Illinois Minimum Wage
Illinois will increase its minimum wage from $14.00 to $15.00 per hour on January 1, 2025. Tipped wages are also set to increase from $8.40 to $9 per hour. Employers are also required to comply with local ordinances, such as Chicago’s minimum wage laws, which may mandate higher rates.
Indiana Minimum Wage
Indiana’s minimum wage is aligned with the federal rate of $7.25 per hour. Indiana's tipped wage is $2.13 an hour. No increases are expected for 2025. Legislative proposals to raise the rate have yet to gain traction.
Iowa Minimum Wage
Iowa maintains a minimum wage of $7.25 per hour, matching the federal standard. There are no planned updates for 2025. Employers should ensure compliance with federal wage regulations.
Kansas Minimum Wage
Kansas’ minimum wage is $7.25 per hour. No changes are anticipated for 2025. Employers must adhere to federal wage standards when applicable.
Kentucky Minimum Wage
Kentucky’s minimum wage remains at $7.25 per hour, consistent with the federal minimum. No updates are planned for 2025. Employers should ensure compliance with federal wage laws.
Louisiana Minimum Wage
Louisiana does not have a state-specific minimum wage, so the federal minimum of $7.25 per hour applies. There are no plans to introduce a state-specific wage in 2025.
Maine Minimum Wage
Maine adjusts its minimum wage annually based on inflation. As of January 1, 2025, the state minimum wage will rise from $14.15 to $14.65 per hour. Effective January 1, 2025, the tip wage will be $7.33. Employers should update payroll systems accordingly.
Maryland Minimum Wage
Maryland’s minimum wage is $15.00 per hour as of January 1, 2024. Maryland's tipped wage is $3.63. No further increases are scheduled for 2025. Employers must comply with both state and local minimum wage laws.
Massachusetts Minimum Wage
Massachusetts maintains a state minimum wage of $15.00 per hour, with their tipped wage being $6.75 per hour. There are no scheduled increases for 2025. Employers should verify compliance with any industry-specific wage requirements.
Michigan Minimum Wage
Michigan’s minimum wage is adjusted annually for inflation. As of January 1, 2025, the rate will increase from $10.33 to $10.56 per hour. The minimum wage will then increase again on February 21, 2025 to $12.48 per hour. The tipped wage will increase to $8.98 per hour in January and then $5.99 in February. Employers should prepare for this adjustment to remain compliant.
Minnesota Minimum Wage
Minnesota sets different minimum wage rates for small and large employers, but this is set to change. On January 1, 2025, the minimum wage will increase to $11.13 per hour for both small and large employers, compared to the current $8.85 per hour and $10.85 per hour rates, respectively. Employers should ensure they are paying the correct rate.
Mississippi Minimum Wage
Mississippi adheres to the federal minimum wage of $7.25 per hour. No changes are anticipated for 2025. Employers should confirm compliance with federal wage laws.
Missouri Minimum Wage
Missouri’s minimum wage is adjusted annually for inflation. As of January 1, 2025, the rate will increase from $12.30 to $13.75 per hour until it reaches $15 per hour in January 2026. Employers must adjust payroll systems accordingly.
Montana Minimum Wage
Montana’s minimum wage is tied to inflation adjustments. On January 1, 2025, the minimum wage will increase from $10.30 to $10.55 per hour. Employers should ensure compliance with this updated rate.
Nebraska Minimum Wage
Nebraska’s minimum wage will increase from $10.50 to $13.50 per hour on January 1, 2025, following a voter-approved initiative. The tipped wage will remain at $2.13 per hour. Employers must update their payroll systems to meet this new requirement.
Nevada Minimum Wage
Nevada eliminated its two-tier minimum wage system in 2024, setting a single rate of $12.00 per hour for all employees. No further increases are planned for 2025. Employers must comply with state and federal wage laws.
New Hampshire Minimum Wage
New Hampshire adheres to the federal minimum wage of $7.25 per hour. No state-specific changes are planned for 2025. Employers must ensure compliance with federal standards.
New Jersey Minimum Wage
New Jersey’s minimum wage is adjusted annually based on inflation, and there are a few different minimum wages for different employers and employment types. As of January 1, 2025, the rate will increase from $15.13 to $15.49 per hour for most employees. Small and seasonal employers have a lower rate of $14.53 per hour.
Agricultural workers receive a separate minimum wage and will see their minimum wage increase from $12.81 to $13.40 per hour. Long-term care facility staff will see their minimum wage increase to $18.49 per hour. The tipped wage will increase from $5.26 to $5.62 per hour.
New Mexico Minimum Wage
New Mexico’s state minimum wage is currently $12 per hour, and the tipped wage is $3 per hour. There are no current increases planned for 2025.
New York Minimum Wage
New York’s minimum wage varies by region. As of January 1, 2025, the wage will rise to $16.50 per hour in New York City, Long Island, and Westchester County and $15.50 per hour in other regions. Employers must ensure compliance with regional rates.
North Carolina Minimum Wage
North Carolina follows the federal minimum wage of $7.25 per hour. No increases are planned for 2025. Employers should adhere to federal wage requirements.
North Dakota Minimum Wage
North Dakota adheres to the federal minimum wage of $7.25 per hour. No changes are anticipated for 2025. Employers must ensure compliance with federal standards.
Ohio Minimum Wage
Ohio’s minimum wage is adjusted annually for inflation. As of January 1, 2025, the rate will increase from $10.45 to $10.70 per hour for non-tipped employees. Small businesses with gross annual receipts under $394,000 may pay $7.25 per hour. The tipped wage will increase from $5.25 to $5.35 per hour.
Oklahoma Minimum Wage
Oklahoma’s state minimum wage is $7.25 per hour, aligning with the federal minimum. No updates are planned for 2025. Employers should confirm adherence to federal wage laws.
Oregon Minimum Wage
Oregon’s minimum wage varies by region and is adjusted annually based on inflation. As of July 1, 2024, the rates are $15.95 per hour in the Portland Metro area, $14.70 in standard counties, and $13.70 in nonurban counties. Increases for 2025 will be announced by April 30.
Pennsylvania Minimum Wage
Pennsylvania adheres to the federal minimum wage of $7.25 per hour. Legislative efforts to increase the state minimum wage have not succeeded, and no changes are expected for 2025.
Rhode Island Minimum Wage
Rhode Island’s minimum wage will increase from $14.00 to $15.00 per hour on January 1, 2025. Employers must ensure payroll systems are updated to comply with this change.
South Carolina Minimum Wage
South Carolina does not have a state minimum wage, requiring adherence to the federal rate of $7.25 per hour. No state-specific changes are planned for 2025.
South Dakota Minimum Wage
South Dakota adjusts its minimum wage annually based on inflation. As of January 1, 2025, the rate will increase from $11.20 to $11.50 per hour. Tipped wage will increase from $5.60 to $5.75 per hour.
Tennessee Minimum Wage
Tennessee does not have a state-specific minimum wage, adhering to the federal minimum wage of $7.25 per hour. No changes are anticipated for 2025.
Texas Minimum Wage
Texas follows the federal minimum wage of $7.25 per hour. No state-specific changes are planned for 2025. Employers must ensure compliance with federal standards.
Utah Minimum Wage
Utah adheres to the federal minimum wage of $7.25 per hour. No changes are planned for 2025. Employers should comply with federal wage laws.
Vermont Minimum Wage
Vermont adjusts its minimum wage annually based on inflation. As of January 1, 2025, the minimum wage will increase from $13.67 to $14.01 per hour. The tipped wage is 50 percent of the minimum wage and will subsequently increase to $7.01.
Virginia Minimum Wage
Virginia’s minimum wage will increase from $12.00 to $12.41 per hour on January 1, 2025, as the state introduces measures to increase the minimum wage based on inflation. Employers should prepare payroll systems accordingly to meet this requirement.
Washington Minimum Wage
Washington has one of the highest minimum wages in the country. As of January 1, 2025, the minimum wage will increase from $16.28 to $16.66 per hour. Tipped employees must also receive the full minimum wage.
West Virginia Minimum Wage
West Virginia’s state minimum wage is $8.75 per hour, which exceeds the federal rate. No changes are planned for 2025. Employers should adhere to state wage standards.
Wisconsin Minimum Wage
Wisconsin follows the federal minimum wage of $7.25 per hour with a tipped wage of $2.33 per hour. Legislative efforts to increase the state minimum wage have stalled, and no changes are expected for 2025.
Wyoming Minimum Wage
Wyoming has a state minimum wage of $5.15 per hour. However, most employers are required to adhere to the federal minimum wage of $7.25 per hour. No updates are planned for 2025.
Get Help with Minimum Wage Compliance
If you are an employer struggling with minimum wage compliance for your state, a payroll and HR company may be able to help. To see how Payday HCM is already helping countless businesses with minimum wage and FLSA compliance, contact us today.
Topics: