Mid-year State Minimum Wage Increases

This week, several states are increasing their minimum wage and tip credit rates. The chart below details the new hourly rates effective July 1, 2026, unless otherwise indicated. Employers in California health care should also be aware that several industry-specific rates take effect on July 1, 2026.

State minimum wage updates can affect the overtime salary exemption threshold (i.e., the white collar threshold) and creditor garnishment limits. The minimum wage increases affect the white collar thresholds in Alaska and Oregon and the garnishment limits in California, the District of Columbia, and Oregon.

Interested in more state and local payroll coverage? PayrollOrg’s PayState Update eNewsletter is perfect for you.

Lorelei Abernathy, Esq., is Editor of PayState Update and Editor of Payroll Information Resources for PayrollOrg.