Twenty states throughout the country are increasing their minimum wage rates starting on January 1st, 2021. Many of these increases are due to the 6.8% increase in the Consumer Price Index. In addition, several municipalities are increasing their minimum wage. Here is a list of those changes:
The minimum wage is $12.80/hour; $9.80 for tipped workers. The minimum wage increases to $13/hour in Tuscon on April 1st, 2022 because of the approval of Proposition 206.
The state minimum wage has separate rates depending on the size of the employer:
California’s minimum wage rates are:
- $14/hour (small employers, 25 or fewer employees)
- $15/hour (large employers, 26 or more employees)
This rate makes California the first state to reach a $15/hour minimum wage.
Several cities in California are increasing their minimum wage effective January 1st, 2022.
- Belmont – $16.20/hour
- Burlingame – $15.60/hour
- Cupertino – $16.40/hour
- Daly City – $15.53/hour
- East Palo Alto – $15.60/hour
- El Cerrito – $16.37/hour
- Half Moon Bay – $15.56/hour
- Hayward – $15.56/hour (large employers, 26 or more employees); $14.52/hour (small employers, 25 or fewer employees)
- Los Altos – $16.40/hour
- Menlo Park – $15.75/hour
- Mountain View – $17.10/hour
- Novato – $15.77/hour (100 or more employees); $15.53/hour (large, 26-99 employees); $15/hour (small, 1-25 employees)
- Oakland – $15.06/hour; $16.38/hour (hotel workers with health benefits); $21.84/hour (hotel workers without health benefits. This is the highest minimum wage in the country.)
- Palo Alto – $16.45/hour
- Petaluma – $15.85/hour
- Redwood City – $16.20/hour
- Richmond – $15.54/hour
- San Carlos – $15.77/hour
- San Diego – $15/hour
- San Jose – $16.20/hour
- San Mateo – $16.20/hour
- Santa Clara – $16.40/hour
- Santa Rosa – $15.85/hour
- Sonoma – $16/hour (large employers, 26 or more employees); $15/hour (small employers, 25 or fewer employees)
- South San Francisco – $15.80/hour
- Sunnyvale – $17.10/hour
- West Hollywood – $15.50/hour (large employers, 50 or more employees); $15/hour (small employers, 49 or fewer employees); $17.64/hour (hotel workers)
The minimum wage is $12.86/hour, $9.54/hour for tipped workers.
In addition, the minimum wage in Denver increases to $15.87/hour.
Senate Bill 15 signed into law on July 21st, 2022, moves the minimum wage in stages to $15/hour by 2025. The first increase starts January 1st, 2022 at $10.50/hour; Tipped employees still are at the federal rate of $2.23/hour.
The minimum wage is $12/hour; $7.20/hour for tipped workers.
The minimum wage is $12.75/hour; $6.38/hour for tipped workers.
Maryland’s minimum wage rates are:
- $12.20/hour (small employers, 14 or fewer employees)
- $12.50/hour (large employers, 15 or more employees)
Tipped employees remain at $3.63/hour.
The minimum wage is $14.25/hour; $6.15/hour for tipped workers.
The minimum wage is $9.87/hour; $3.75/hour for tipped workers. 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 2022, minimum wage rates in Minnesota are $10.33/hour (large employer); $8.42/hour (small employer)
The minimum wage is $11.15/hour; $5.575/hour for tipped workers (half the minimum wage)
The minimum wage is $9.20/hour.
New Jersey’s minimum wage rates are:
- $11.90/hour (small employers, five or fewer employees)
- $13/hour (large employers, six or more employees)
The minimum wage is $11.50/hour; $2.80/hour for tipped workers (half the minimum wage)
New York’s minimum wage changes on December 31st, 2021 to $13.20/hour; $11/hour – resort service employees with tips; $11/hour general service employees with tips; $8.80/hour – food service employees with tips.
Ohio’s minimum wage rates are tied to employers’ gross receipts. Employers with gross receipts of $342,000 or more must pay a minimum wage of $9.30/hour. Companies with less than $342,000 pay the federal minimum wage of $7.25/hour. Tipped workers earn $4.65/hour.
The minimum wage is $9.95/hour; $4.975/hour for tipped workers (half the minimum wage)
The minimum wage is $11/hour; $2.13/hour for tipped workers (federal level)
The minimum wage is $12.55/hour; $6.28/hour for tipped workers
The minimum wage is $14.49/hour.
- Seattle – $17.27/hour (large employers, 501 or more employees and small employers of 500 employees or fewer employees who do not pay $1.52/hour toward medical benefits); $15.75 (500 employees or fewer employees and pays $1.52/hour toward medical benefits)
- SeaTac – $17.54/hour for hospitality and transportation industry employers.
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 firstname.lastname@example.org 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.