Twenty-two states nationwide are increasing their minimum wage rates starting January 1, 2024.  Many of these increases are due to the 3.7% increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).  In addition, several municipalities are increasing their minimum wage.  Here is a list of those changes:

Alaska changed from scheduled rate increases to ones based on the Consumer Price Index for urban consumers in the Anchorage metropolitan area (Anchorage CPI-U) for the preceding calendar year.  As a result, the Anchorage CPI-U increased by 8.1 percent in 2022.

The minimum wage is $11.73/hour.  There is no separate rate for tipped employees.

The minimum wage increases to $14.35/hour and $11.35 for tipped workers.  A 2024 ballot measure working on getting the required signatures would increase the minimum wage to $18 per hour.  It would continue increasing the minimum wage based on inflation measured by the Consumer Price Index.  The measure would also gradually raise tipped employees’ wages to equal that of other employees by 2028.

Flagstaff’s minimum wage moves to $17.40/hour and $15.90 for tipped workers starting January 1.  The Consumer Price Index will determine future minimum wage increases for most employees.  Tipped workers in Flagstaff will have a minimum wage of $1 less than the minimum wage in 2025 and be the same as all other workers starting in 2026.

The new state minimum wage is $16/hour.


Several cities in California are increasing their minimum wage effective January 1, 2023.

California fast-food workers will have a minimum wage of $20/hour starting April 1, 2024.  The annual wage increase is capped at the lesser of 3.5% or the annual increase in the US-CPI for Urban Wage Earners and Clerical Workers

The minimum wage is $14.42/hour, $11.40/hour for tipped workers.

In addition, the minimum wage in Denver increases to $18.29/hour, $15.27 for tipped workers with tip credit.

Edgewater starts its own minimum wage progression chart.  Beginning January 1, 2024, the minimum wage is $15.02/hour.  The rate will go to $21.99 by 2028.

Boulder County passed a new minimum wage ordinance to reach $25/hour by 2030.  Starting January 1, 2024, the minimum wage is $15.69/hour.  In addition, Boulder County employers of food and beverage workers can take a tip credit of up to $3.02.

Starting January 1, 2024, Connecticut’s minimum wage will indexed to the Federal Employment Cost Index (ECI).  This index is a quarterly economic series that measures the change in the price of labor, defined as compensation per employee hour worked, in the United States.

The minimum wage increases to $15.69/hour.

Senate Bill 15, signed into law on July 21, 2022, moves the minimum wage in stages to $15/hour by 2025.  The third increase starts January 1, 2024, at $13.25/hour; tipped employees are still at the federal rate of $2.23/hour.

Hawaii is currently on a wage increase chart from HB2510.  This chart moves the date of minimum wage increases to January 1 starting in 2024.  The new minimum wage is $14/hour.  Hawaii will reach $18/hour by 2028.

This law also increased the tip credit to $1.25

Illinois is also scheduled to bring the minimum wage to $15/hour by 2025.  The minimum wage is $14/hour, $8.40/hour for tipped workers.

The minimum wage is $14.15/hour, $7.08/hour for tipped workers.

Portland increases its minimum wage to $15/hour or $7.50/hour for employees who earn over $175 monthly in tips.

Rockford also increases its minimum wage to $15/hour and $7.50/hour for service employees.

Maryland passed amended legislation in 2023 to get to $15/hour quicker than previously planned.

Maryland’s minimum wage rate for all employers is $15/hour.  Tipped employees remain at $3.63/hour.

The minimum wage is $10.33/hour, $3.93/hour for tipped workers, as set forth by the Improved Workforce Opportunity Wage Act of 2018.  In addition, the training wage of $4.25/hour for newly hired employees ages 16 to 19 for their first 90 days of employment remains unchanged

Minnesota’s minimum wage rates are tied to employers’ gross receipts.  Companies with $500,000 or more are large; those with less than $500,000 are small.

In 2024, minimum wage rates in Minnesota are $10.85/hour (large employers) and $8.85/hour (small employers).

Minneapolis – The new minimum hourly wage (101 or more employees) is $15.57/hour.  The minimum wage for small businesses (100 employees or fewer) changes on July 1, 2024, to $15.57/hour.

The minimum wage is $12.30/hour, $6.15/hour for tipped workers (half the minimum wage).  Starting in 2024, Missouri will move to indexed increases.

Based on the CPI, the minimum wage increases to $10.30/hour for all employees based on the CPI.  No tip credit, training wage, or meal credit is allowed in Montana.

Nebraska approved a ballot measure to increase the minimum wage to $15/hour by 2026.  The second increase sets the minimum wage at $12/hour, $2.13/hour for tipped workers (federal standard).

New rates exceed the goal set by legislation signed by Governor Murphy in February 2019 to raise the minimum wage to at least $15 per hour by 2024 for most employees.  New Jersey’s minimum wage rates are as follows:

  • $13.73/hour (small employers, five or fewer employees)
  • $15.13/hour (large employers, six or more employees)
  • $12.81/hour for those who work on a farm for an hourly or piece rate
  • $18.13/hour for long-term care facility direct care staff
  • $5.26/hour for tipped employees with a tip credit of $9.87

While legislation has started to increase the minimum wage to $16/hour, it has not passed.

Las Cruces enacted an ordinance in 2020 to increase the minimum wage by the CPI starting in 2024.  In 2024, the minimum wage is $12.36/hour.

New York state minimum wage changes on December 31, 2023, to $15/hour.

Nassau, Suffolk, Winchester counties, and New York City changed their minimum wage to $16/hour.

In addition to this increase, recent amendments to the Labor Law provide further increases of $0.50 per year on January 1, 2025, and January 1, 2026.  In 2027, the minimum wage will increase according to the CPI.

Ohio’s minimum wage rates are tied to employers’ gross receipts.  Employers with gross receipts of $372,000 or more must pay a minimum wage of $10.45/hour.  Companies with less than $372,000 in gross receipts pay the federal minimum wage of $7.25/hour.  Tipped workers earn $5.05/hour.

Rhode Island passed legislation to increase the minimum wage to $15/hour by 2025.  The second increase moves the minimum wage to $14/hour for 2024 and will increase to $15/hour in 2025.  The tipped credit for hourly workers in restaurants and hotels is $3.89/hour.

The minimum wage is $11.20/hour, $5.60/hour for tipped workers (half the minimum wage)

The minimum wage is $13.67/hour, $6.84/hour for tipped workers

The minimum wage is $16.28/hour.  This rate is the highest state minimum wage in the country.

  • Bellingham – As a result of a voter-approved ballot measure, on May 1, 2024, the minimum wage will be $1 more than the state minimum wage or 17.28/hour.  On May 1, 2025, the minimum wage will be $2 above the state minimum wage.  The $2 threshold will continue to adjust with state minimum wage changes starting January 1, 2026.
  • Seattle – $19.97/hour (large employers with 501 or more employees and small employers of 500 employees or fewer employees who do not pay $2.19/hour toward medical benefits); $17.25 (500 employees or fewer employees and pay $2.19/hour toward medical benefits)
  • SeaTac – $19.71/hour for hospitality and transportation industry employers.
  • Tukwila – Less than a year after their previous ordinance to have their minimum wage match SeaTac’s minimum wage, Tukwila passed a new tiered minimum wage.

The new minimum wages in Tukwila, starting January 1, 2024, are:

    • Large Employers (more than 500 employees worldwide, and all franchisees associated with a franchisor or a network of franchises with franchisees that employ more than 500 employees in aggregate) – $20.29/hour
    • Mid-size Employers (at least 15 employees regardless of where those employees are employed or have annual gross revenue over $2 million) – $18.29/hour.

Employers with less than 15 employees pay at the state minimum wage.  The Mid-Size Employer rate will go to $19.29/hour starting July 1, 2024.

What to do next

If your company is affected by minimum wage changes, notify your workforce management and payroll company as soon as possible.  These laws affect payroll, reporting, and forecasting.  If you need help, please contact Time Equipment Company at or 800-997-8463.

*This information simplifies complex Acts as it is understood by Time Equipment Company. It is not to be taken as legal advice. The regulations for this program are changing. For further information contact your state or local Department of Labor.