Market Insights

Here Are the 26 States With Minimum Wage Increases in 2023

UPDATED ON
January 25, 2023
Abbey Dean
Abbey Dean
— Written By
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Employees in more than half of all states will benefit from a higher minimum wage in 2023.  

As a reminder, the federal minimum wage is $7.25 an hour—a rate that has not changed since 2009.  

What States Will Increase the Minimum Wage?  

Here is a complete list of the states that raised their minimum wage as of January 1, 2023.

Note that some states’ minimum wage increases are tied to cost of living and inflation; those states have an asterisk next to their name.  

Alaska*

Alaska raised the minimum wage from $10.34 per hour to $10.85 per hour.

Arizona*

Arizona raised the minimum wage from $12.80 per hour to $13.85 per hour.  

California*

California raised the minimum wage from $15 to $15.50.  

Colorado*

Colorado raised the minimum wage from $12.56 to $13.65.

Delaware

Delaware raised the minimum wage from $10.50 per hour to $11.75 per hour. Due to legislation signed in July 2021, Delaware’s minimum wage will reach $15 per hour by 2025.  

Florida

Florida raised its minimum wage from $10 per hour to $11 per hour.  

Illinois

Illinois raised the minimum wage from $12 per hour to $13 per hour. By 2025, the minimum wage is scheduled to reach $15.  

Maine*

Maine raised the minimum wage from $12.75 to $13.80 per hour.

Maryland

Maryland raised the minimum wage from $12.50 per hour to $13.25 per hour.

Massachusetts

Massachusetts raised the minimum wage from $14.25 per hour to $15 per hour.

Michigan

Michigan raised the minimum wage from $9.87 per hour to $10.10 per hour. Another increase could occur in February 2023.  

Minnesota*

Minnesota raised the minimum wage from $10.33 to $10.59 per hour.

Missouri

Missouri raised the minimum wage from $11.15 to $12 per hour.

Montana*

Montana raised the minimum wage from $9.20 to $9.95 per hour.

New Jersey*

New Jersey raised the minimum wage from $13 per hour to $14.13 per hour.

New Mexico

New Mexico raised the minimum wage from $11.50 per hour to $12 per hour.

New York*

New York raised the minimum wage from $13.20 to $14.20 per hour. For fast food workers however, the minimum wage per hour is now $15.  

Ohio*

Ohio raised the minimum wage from $9.30 per hour to $10.10 per hour.

Rhode Island

Rhode Island raised the minimum wage from $12.25 per hour to $13 per hour. In 2025, the state minimum wage is expected to increase to $15 per hour.

South Dakota*

South Dakota raised the minimum wage from $9.95 per hour to $10.80 per hour.

Vermont*

Vermont raised the minimum wage from $12.55 per hour to $13.18 per hour.

Virginia

Virginia raised the minimum wage from $11 per hour to $12 per hour.  

Washington*

Washington raised the minimum wage from $14.49 per hour to $15.74 per hour.

Later Minimum Wage Increases in 2023

What’s more, three other states have planned increases that will take effect later this year.

Connecticut  

Connecticut will raise the minimum wage from $14 per hour to $15 per hour in June 2023.

Nevada

Nevada will raise the minimum wage from $10.50 per hour to $11.25 per hour in July 2023.

Oregon

In Oregon, the state minimum wage is tiered. The state minimum wage is highest in the Portland Metro area at $14.75 per hour, while the lowest in rural areas is $12.50 per hour. In July 2023, the minimum raise will rise by $1.25 in more populated areas and by $1 in more rural parts of the state. Also starting July 1, 2023, the minimum wage adjustment will be tied to inflation.

What State Has the Highest Minimum Wage?

There is a tie (of sorts) between Washington state and Washington, D.C.

Washington, D.C.—though not a state—boasts a $16.10 per hour minimum wage, which is the highest nationwide.

Washington state, however, holds the title of highest minimum wage by state, boasting a $15.74 per hour wage.

Which State Had the Biggest Minimum Wage Increase?

Nebraska was the state with the largest increase in the state minimum wage. As of January 1, 2023, the minimum rose from $9 per hour to $10.50 per hour.

In November 2022, Nebraska voters passed Initiative 433—a plan to gradually increase the state’s minimum wage to $15 per hour in 2026 in increments of $1.50 per year.  

Which State Had the Smallest Minimum Wage Increase?

Michigan’s minimum wage increase raised the wage by just $0.23 to $10.10. However, sources at Michigan Radio say that a second increase could come later this year.  

Looking for more exclusive content? Check out what’s trending on the Mployer Advisor blog, and check out our related post “Raging Inflation Led Nearly Half of Americans to Halt Their Retirement Savings Last Year.”


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