Minimum Wage by State 2025
Complete US table, increases, and cost of living analysis
State Minimum Wage Range (2025)
Minimum Wage Landscape in 2025
This guide provides a complete state-by-state breakdown of minimum wage rates effective in 2025, including which states raised their rates on January 1, 2025, and which remain at the federal floor. Whether you're an employee checking your state's rate, an employer ensuring compliance, or a job seeker evaluating opportunities, this reference has the data you need.
As of 2025, 20 states continue to use the federal minimum wage of $7.25 per hour—unchanged since 2009. Meanwhile, 30+ states and many cities have enacted higher rates, with top state rates reaching $16.66 per hour (Washington) and some city rates exceeding $20 per hour.
This page also analyzes how minimum wages align with cost of living—because a $15 minimum wage means different things in San Francisco versus rural Alabama. For broader salary context, see the average salary in the US. To convert any hourly wage to annual salary, use our hourly to salary calculator.
Federal Minimum Wage: The Baseline
The federal minimum wage remains $7.25 per hour as of 2025—the same rate since July 2009. This is the longest period without a federal increase in the history of the minimum wage.
How Federal and State Rates Interact
When state minimum wages differ from the federal rate, employers must pay whichever is higher. If your state has a $15 minimum wage, that's what employers must pay—the federal $7.25 is just the floor. In states without their own minimum wage law (or with rates below $7.25), the federal rate applies.
Why the Federal Rate Hasn't Changed
The federal minimum wage requires Congressional action to change. Various proposals to raise it to $15 or higher have been introduced but haven't passed. Meanwhile, the purchasing power of $7.25 has declined significantly due to inflation—prompting many states and cities to enact their own increases.
For context on federal government compensation, see our federal employee salaries guide.
Complete 2025 State Minimum Wage Table
All 50 states plus DC, showing rates effective January 1, 2025 (or most recent update):
| State | 2025 Rate | Change | Notes |
|---|---|---|---|
| Alabama | $7.25 | — | Federal rate applies |
| Alaska | $11.91 | ↑ | Indexed to inflation |
| Arizona | $14.70 | ↑ | Indexed; some cities higher |
| Arkansas | $11.00 | — | State rate |
| California | $16.50 | ↑ | Fast food $20; local variation |
| Colorado | $14.81 | ↑ | Indexed to inflation |
| Connecticut | $16.35 | ↑ | Scheduled increases |
| Delaware | $15.00 | ↑ | Reached $15 target |
| DC | $17.50 | ↑ | Highest jurisdiction |
| Florida | $13.00 | ↑ | Path to $15 by 2026 |
| Georgia | $7.25 | — | Federal rate applies |
| Hawaii | $14.00 | ↑ | Path to $18 by 2028 |
| Idaho | $7.25 | — | Federal rate applies |
| Illinois | $15.00 | ↑ | Chicago higher |
| Indiana | $7.25 | — | Federal rate applies |
| Iowa | $7.25 | — | Federal rate applies |
| Kansas | $7.25 | — | Federal rate applies |
| Kentucky | $7.25 | — | Federal rate applies |
| Louisiana | $7.25 | — | Federal rate applies |
| Maine | $14.65 | ↑ | Indexed to inflation |
| Maryland | $15.00 | — | Reached $15 target |
| Massachusetts | $15.00 | — | Stable at $15 |
| Michigan | $10.56 | ↑ | Indexed increases |
| Minnesota | $11.13 | ↑ | Large employers; small employer rate lower |
| Mississippi | $7.25 | — | Federal rate applies |
| Missouri | $13.75 | ↑ | Path to $15 by 2026 |
| Montana | $10.55 | ↑ | Indexed to inflation |
| Nebraska | $13.50 | ↑ | Path to $15 by 2026 |
| Nevada | $12.00 | — | Single rate (health benefits adjustment ended) |
| New Hampshire | $7.25 | — | Federal rate applies |
| New Jersey | $15.49 | ↑ | Indexed to inflation |
| New Mexico | $12.00 | — | State rate |
| New York | $15.50–$16.50 | ↑ | NYC/LI/Westchester $16.50; rest $15.50 |
| North Carolina | $7.25 | — | Federal rate applies |
| North Dakota | $7.25 | — | Federal rate applies |
| Ohio | $10.70 | ↑ | Indexed; small employer rate lower |
| Oklahoma | $7.25 | — | Federal rate applies |
| Oregon | $14.70 | ↑ | Portland metro higher |
| Pennsylvania | $7.25 | — | Federal rate applies |
| Rhode Island | $15.00 | ↑ | Reached $15 target |
| South Carolina | $7.25 | — | Federal rate applies |
| South Dakota | $11.50 | ↑ | Indexed to inflation |
| Tennessee | $7.25 | — | Federal rate applies |
| Texas | $7.25 | — | Federal rate applies |
| Utah | $7.25 | — | Federal rate applies |
| Vermont | $14.01 | ↑ | Indexed to inflation |
| Virginia | $12.41 | ↑ | Scheduled increases |
| Washington | $16.66 | ↑ | Highest state rate; indexed |
| West Virginia | $8.75 | — | State rate |
| Wisconsin | $7.25 | — | Federal rate applies |
| Wyoming | $7.25 | — | Federal rate applies |
↑ indicates increase effective January 1, 2025. Rates shown are for standard adult employees; some states have lower rates for tipped workers, youth, or small employers.
States with Minimum Wage Increases in 2025
Approximately 21 states raised their minimum wage effective January 1, 2025. These increases fall into two categories:
Inflation-Indexed States
These states automatically adjust minimum wage based on inflation or cost-of-living indices: Alaska, Arizona, Colorado, Maine, Michigan, Minnesota, Missouri, Montana, Nebraska, New Jersey, Ohio, South Dakota, Vermont, and Washington. Annual increases typically range from $0.30 to $0.75 depending on inflation.
Legislatively Scheduled Increases
These states enacted laws with predetermined increase schedules: California, Connecticut, Delaware, Florida, Hawaii, Illinois, New York, Rhode Island, and Virginia. Many are on paths to $15 or higher by 2025–2028.
Typical 2025 Increase Amounts
Most 2025 increases ranged from $0.30 to $1.00 per hour. Washington's increase to $16.66 represented one of the larger jumps. Florida's increase to $13.00 continues its path to $15 by September 2026.
States at Federal Minimum ($7.25)
Twenty states continue to use the federal minimum wage of $7.25 per hour, having not enacted higher state minimums:
Southern states: Alabama, Georgia, Louisiana, Mississippi, North Carolina, South Carolina, Tennessee, Texas
Midwestern states: Indiana, Iowa, Kansas, North Dakota, Wisconsin
Other states: Idaho, Kentucky, New Hampshire, Oklahoma, Pennsylvania, Utah, Wyoming
In these states, most workers covered by the Fair Labor Standards Act (FLSA) are entitled to the $7.25 federal minimum. Some workers in small businesses not covered by FLSA may have no minimum wage protection, though this affects a small percentage of workers.
At $7.25/hour working full-time (40 hours/week, 52 weeks), annual gross earnings are $15,080—well below the federal poverty line for a family of two or more.
City and County Minimum Wages: Higher Local Rates
Many cities and counties have minimum wages significantly above their state rates. Workers in these jurisdictions are entitled to the higher local rate:
Highest Local Minimum Wages (2025)
Seattle, WA: $19.97–$20.76 depending on employer size and benefits
SeaTac, WA: ~$19.71 (hospitality/transportation workers)
San Francisco, CA: $18.67
West Hollywood, CA: $19.08
Emeryville, CA: $18.67
Denver, CO: $18.29
Flagstaff, AZ: $17.85
New York City: $16.50 (same as state for NYC)
Why Local Rates Vary
Cities with high costs of living—particularly coastal metros—have enacted local minimum wages to ensure workers can afford basic necessities. Some states preempt local minimum wage laws, preventing cities from setting higher rates.
If you work in a major metro area, always check both state and local minimum wage rates to ensure compliance and understand your entitlements.
Tipped Minimum Wage and Special Rates
Many states allow a lower cash wage for tipped employees, with the expectation that tips bring total compensation to at least the full minimum wage.
Federal Tipped Minimum
The federal tipped minimum wage is $2.13 per hour—employers can pay this as long as tips bring the employee to at least $7.25/hour total. If tips fall short, the employer must make up the difference.
States Requiring Full Minimum Before Tips
Several states require employers to pay the full state minimum wage before tips: California, Washington, Oregon, Nevada, Montana, Minnesota, and Alaska. In these states, tips are entirely additional income.
Other Special Rates
Youth/Training: Some states allow lower rates for workers under 18 or during initial training periods (typically 90 days).
Small employers: States like Minnesota and Ohio have lower rates for businesses below certain revenue thresholds.
Agricultural workers: Some states exempt or have different rates for farm workers.
Minimum Wage vs. Cost of Living Analysis
A higher minimum wage doesn't automatically mean better purchasing power—cost of living varies dramatically across states and cities.
High-Wage, High-Cost States
States with the highest minimum wages (California, Washington, Massachusetts, New York, Connecticut) also have the highest costs of living. A $16.50 minimum wage in San Francisco doesn't stretch as far as a $12.00 wage in rural Missouri when rent, groceries, and transportation are factored in.
Low-Wage, Low-Cost States
States at the $7.25 federal minimum (Texas, Tennessee, Georgia) generally have lower costs of living. However, research consistently shows that even in low-cost areas, $7.25/hour ($15,080/year full-time) falls short of meeting basic needs for most households.
Living Wage vs. Minimum Wage
Studies estimate that a "living wage"—enough to cover basic necessities without public assistance—ranges from approximately $15–$17/hour in lower-cost areas to $22–$28/hour in expensive metros. Even the highest state minimum wages ($16.66 in Washington) fall short of living wage estimates in their high-cost regions.
Practical Implications
When evaluating job offers based on minimum wage work, consider: local rent and housing costs (often the largest expense), transportation costs (car-dependent areas add significant expense), healthcare access and costs, and availability of public assistance programs. For broader salary context, see the average salary in the US. To calculate annual earnings from any hourly rate, use our hourly to salary calculator.
How Minimum Wage Affects Workers and Employers
Minimum wage changes have real impacts on both sides of the employment relationship.
Worker Impacts
Positive: Higher take-home pay for those employed at or near minimum wage. Reduced reliance on public assistance for some workers. Potential spillover effects raising wages slightly above minimum as well.
Challenges: Inflation often erodes gains quickly. Cost of living in high-minimum areas can outpace wage increases. Some research suggests modest employment effects in certain sectors.
Employer Impacts
Adjustments: Higher labor costs may lead to reduced hours, slower hiring, increased automation, or price increases. Small businesses in competitive, low-margin industries often face the biggest challenges.
Benefits: Higher wages can reduce turnover costs, improve employee morale and productivity, and increase consumer spending power in local economies.
Research Findings
Economic research on minimum wage effects is mixed. Studies find varying results depending on the magnitude of increase, local economic conditions, and industry studied. The consensus suggests moderate increases have modest effects on employment while providing meaningful income gains for low-wage workers.
Future Minimum Wage Trends
Looking ahead to 2026 and beyond, several trends will shape minimum wage policy:
Scheduled State Increases
2026: Florida reaches $15.00, Missouri reaches $15.00, Nebraska reaches $15.00, Arizona continues indexed increases.
2027–2028: Hawaii's path to $18.00, continued indexed adjustments in 15+ states.
Indexing Trend
More states are tying minimum wage to inflation or cost-of-living indices, creating automatic annual adjustments without requiring new legislation each year. This trend likely continues as states seek to avoid the "stale minimum wage" problem.
Federal Prospects
Federal minimum wage increase proposals (to $15 or $17) continue to be introduced in Congress but face significant legislative hurdles. State and local action will likely continue driving most minimum wage increases.
$15 as New Floor
The "Fight for $15" movement has succeeded in making $15/hour the new baseline expectation in many parts of the country. As of 2025, 14 states plus DC have minimum wages at or above $15.00.
Frequently Asked Questions
What is the federal minimum wage in 2025?
The federal minimum wage remains $7.25 per hour as of 2025—unchanged since July 2009. This rate applies in 20 states that haven't enacted higher state minimums.
Which states have the highest minimum wage in 2025?
Washington leads at $16.66/hour, followed by California at $16.50, Connecticut at $16.35, and New York at $15.50–$16.50 (regional variation). DC has the highest rate among all jurisdictions at $17.50.
How many states raised their minimum wage in 2025?
Approximately 21 states raised their minimum wage effective January 1, 2025, through either inflation-indexed automatic adjustments or legislatively scheduled increases.
Does minimum wage apply to tipped workers?
It depends on the state. The federal tipped minimum is $2.13/hour (with tips making up the difference to $7.25). However, 7 states (including California and Washington) require full minimum wage before tips. Most other states have tipped minimums between $2.13 and the full rate.
How does minimum wage compare to cost of living?
Purchasing power varies significantly. Even the highest state minimum wages fall short of "living wage" estimates in expensive metros. In low-cost areas, $7.25 provides more purchasing power than in high-cost cities, but still falls well below basic needs thresholds for most households.