This year could be a banner year for minimum wage increases across the country. Some 19 states have implemented higher minimum wages for 2019. Within those states, some municipalities have also taken it upon themselves to address minimum wage.
This post will highlight the changes in each of the 19 states with new minimum rates. If your state is not mentioned, nothing has changed for you at the state level. You still might be subject to higher county or municipal rates.
- Alaska – Minimum wage increased from $9.84 per hour to $9.89.
- Arizona – Minimum wage is $11 per hour. Small businesses with annual gross revenues less than $500,000 are exempt as long as they are also exempt from paying federal minimum wage.
- Arkansas – Minimum wage is now $9.25 per hour. Additional increases are planned for 2020 and 2021.
- California – Businesses with at least 26 employees must now pay $12 per hour; those with 25 or fewer must pay $11 per hour. There are different rates for Los Angeles, San Diego, and Santa Monica.
- Colorado – Minimum wage has increased to $11.10 per hour.
- Delaware – Hourly workers must now earn at least $8.75 per hour.
- Florida – Minimum wage has been increased from $8.25 per hour to $8.46
- Maine – Employers must now pay a minimum of $11 per hour.
- Massachusetts – Minimum wage is now $12 per hour.
- Minnesota – Employers with gross sales of at least $500,000 must now pay $9.86 per hour. Small businesses with lower revenues must pay $8.04 per hour. Different rates apply in Minneapolis.
- Missouri – With the exception of retail and service businesses with gross revenues less than $500,000, employers must now pay $8.60 per hour.
- Montana – The new minimum wage is $8.50 per hour
- New Jersey – Employers must now pay $8.85 per hour.
- New York – Employers outside of New York City must now pay $11.10 per hour except in the fast food industry, where workers must be paid at least $12.75 per hour. There are nearly half-a-dozen additional rates for businesses located in New York City.
- Ohio – Small businesses with annual gross receipts of $314,000 or less now pay $7.25 per hour. All others must pay $8.55.
- Rhode Island – The new minimum wage in Rhode Island is $10.50 per hour.
- South Dakota – Employers in South Dakota must now pay at least $9.10 per hour.
- Vermont – Vermont's new minimum wage is $10.78 per hour.
- Washington – The new minimum wage for Washington state is $12 per hour. However, there are different rates based on employer size and whether or not they make contributions to medical benefits.
Again, the changes listed here are just an overview. There are plenty of states where different minimum wages apply on either a county-wide or local basis. Illinois, Michigan, and Oregon immediately come to mind. We recommend consulting with your state labor department if you are not sure what the minimum wage situation is in your state.
Outsource Your Payroll to Us
We have compiled this information for two reasons. First, we want to help employers know what's going on so that they can maintain compliance. If you have benefited from this information, then we have accomplished that much.
The second reason is to illustrate yet another reason to consider outsourcing your payroll to BenefitMall. We make it our business to stay abreast of changes in the law to ensure that all our clients stay abreast as well. We keep track of this sort of thing so that you don't have to.