In 2019, a number of states' minimum wage rates will increase. The below chart summarizes the rates that will increase for certain states (and several localities) at any time during 2019, including all state changes that will become effective next year.

Minimum Wage Increases for 2019

The federal minimum wage will remain at $7.25 per hour for non-tipped employees and $2.13 per hour for tipped employees.

The following chart lists the minimum wage increases for 2019 (and future years if available), along with the related changes in the maximum tip credit and minimum cash wage for tipped employees.

State
Minimum Wage
Maximum Tip Credit
Minimum Cash Wage

(Tipped Employees)

Alaska

$9.84 (current) 
$9.89 (effective 1/1/2019)
Tip credit not allowed Tip credit not allowed
Arizona $10.50 (current)
$11.00 (effective 1/1/2019)
$12.00 (effective 1/1/2020)

Not applicable to "small businesses" that have less than $500,000 in annual gross revenues and are exempt from paying minimum wage under federal law (29 U.S.C. § 206(a)). Ariz. Rev. Stat. § 23-362(B) and (C).
$3.00 (current) (unchanged) $7.50 (current)
$8.00 (effective 1/1/2019)
$9.00 (effective 1/1/2020)

The minimum cash wage may be $3.00 per hour less than the minimum wage.
Arkansas $8.50 (current)
$9.25 (effective 1/1/2019)
$10.00 (effective 1/1/2020)
$11.00 (effective 1/1/2021)
$5.87 (current)
$6.62 (effective 1/1/2019)
$2.63 (current) (unchanged)
California Employers with 26 or more employees:
$11.00 (current)
$12.00 (effective 1/1/2019)
$13.00 (effective 1/1/2020)
$14.00 (effective 1/1/2021)
$15.00 (effective 1/1/2022)

Employers with 25 or fewer employees:
$10.50 (current)
$11.00 (effective 1/1/2019)
$12.00 (effective 1/1/2020)
$13.00 (effective 1/1/2021)
$14.00 (effective 1/1/2022)
$15.00 (effective 1/1/2023)

Los Angeles:
Employers with 26 or more employees:
$13.25 (current)
$14.25 (effective 7/1/2019)
$15.00 (effective 7/1/2020)
$15.00 (effective 7/1/2021)

Employers with 25 or fewer employees:
$12.00 (current)
$13.25 (effective 7/1/2019)
$14.25 (effective 7/1/2020)
$15.00 (effective 7/1/2021)

San Diego:
$11.50 (current)
$12.00 (effective 1/1/2019)

Santa Monica:
Employers with 26 or more employees:
$13.25 (current)
$14.25 (effective 7/1/2019)
$15.00 (effective 7/1/2020)
$15.00 (effective 7/1/2021)

Employers with 25 or fewer employees:
$12.00 (current)
$13.25 (effective 7/1/2019)
$14.25 (effective 7/1/2020)
$15.00 (effective 7/1/2021)
Tip credit not allowed Tip credit not allowed
Colorado $10.20 (current)
$11.10 (effective 1/1/2019)
$12.00 (effective 1/1/2020)
$3.02 (current) (unchanged) $7.18 (current)
$8.08 (effective 1/1/2019)
$8.98 (effective 1/1/2020)
Delaware $8.25 (current)
$8.75 (effective 1/1/2019)
$9.25 (effective 10/1/2019)
$6.02 (current)
$6.52 (effective 1/1/2019)
$7.02 (effective 10/1/2019)
$2.23 (current) (unchanged)
District of Columbia $13.25 (current)
$14.00 (effective 7/1/2019)
$15.00 (effective 7/1/2020)
$9.36 (current)
$9.55 (effective 7/1/2019)
$10.00 (effective 7/1/2020)
$3.89 (current)
$4.45 (effective 7/1/ 2019)
$5.00 (effective 7/1/2020)
Florida $8.25 (current)
$8.46 (effective 1/1/2019)
$3.02 (current) (unchanged)
$5.23 (current)
$5.44 (effective 1/1/2019)
Illinois Chicago:
$12.00 (current)
$13.00 (effective 7/1/2019)

Cook County:
$11.00 (current)
$12.00 (effective 7/1/2019)
Chicago:
$5.75 (current)
TBD (effective 7/1/2019)

Cook County:
$5.90 (current)
TBD (effective 7/1/2019)
Chicago:
$6.25 (current)
TBD (effective 7/1/2019)

Cook County:
$5.10 (current)
TBD (effective 7/1/2019)
Maine $10.00 (current)
$11.00 (effective 1/1/2019)
$12.00 (effective 1/1/2020)
$5.00 (current)
$5.50 (effective 1/1/2019)
$6.00 (effective 1/1/2020)
$5.00 (current)
$5.50 (effective 1/1/2019)
$6.00 (effective 1/1/2020)
Maryland Montgomery County: Employers with 51 or more employees:
$12.25 (current)
$13.00 (effective 7/1/2019)

Employers with 50 or fewer employees:
$12.00 (current)
$12.50 (effective 7/1/2019)
Montgomery County:
Employers with 51 or more employees:
$8.25 (current)
$9.00 (effective 7/1/2019)

Employers with 50 or fewer employees:
$8.50 (effective 7/1/2019)
Montgomery County:
Employers with 51 or more employees:
$4.00 (current) (unchanged)

Employers with 50 or fewer employees:
$4.00 (current) (unchanged)

Massachusetts $11.00 (current)
$12.00 (effective 1/1/2019)
$12.75 (effective 1/1/2020)
$13.50 (effective 1/1/2021)
$14.25 (effective 1/1/2022)
$15.00 (effective 1/1/2023)
$7.25 (current)
$7.65 (effective 1/1/2019)
$7.80 (effective 1/1/2020)
$7.95 (effective 1/1/2021)
$8.10 (effective 1/1/2022)
$8.25 (effective 1/1/2023)
$3.75 (current)
$4.35 (effective 1/1/2019)
$4.95 (effective 1/1/2020)
$5.55 (effective 1/1/2021)
$6.15 (effective 1/1/2022)
$6.75 (effective 1/1/2023)
Michigan $9.25 (current)

$9.45 (est. effective late 3/2019)*

$9.65 (effective 1/1/2020)
$9.87 (effective 1/1/2021)
$10.10 (effective 1/1/2022)
$10.33 (effective 1/1/2023)
$10.56 (effective 1/1/2024)
$10.80 (effective 1/1/2025)
$11.04 (effective 1/1/2026)
$11.29 (effective 1/1/2027)
$11.54 (effective 1/1/2028)
$11.79 (effective 1/1/2029)
$12.05 (effective 1/1/2030)

*Pursuant to amended legislation signed into law on December 14, 2018; expected to go into effect in late March 2019, depending on the date the current legislative session ends.
$5.73 (current)
$5.86 (est. effective late 3/2019)*

The tip credit will continue to be the difference between the tipped minimum cash wage rate and the applicable minimum wage rate.
$3.52 (current)
$3.59 (est. effective late 3/2019)*

The tipped minimum cash wage is equal to 38 percent of the applicable minimum wage rate.
Minnesota

Large Employers (annual gross sales of $500,000 or more):
$9.65 (current)
$9.86 (effective 1/1/2019)

Small Employers (annual gross sales of less than $500,000):
$7.87 (current)
$8.04 (effective 1/1/2019)

Minneapolis:
Large Employers (more than 100 total employees):
$11.25 (current)
$12.25 (effective 7/1/2019)
$13.25 (effective 7/1/2020)
$14.25 (effective 7/1/2021)
$15.00 (effective 7/1/2022)

Small Employers (100 or fewer total employees):
$10.25 (current)
$11.00 (effective 7/1/2019)
$11.75 (effective 7/1/2020)
$12.50 (effective 7/1/2021)
$13.50 (effective 7/1/2022)
Tip credit not allowed Tip credit not allowed
Missouri
$7.85 (current)
$8.60 (effective 1/1/2019)
$9.45 (effective 1/1/2020)
$10.30 (effective 1/1/2021)
$11.15 (effective 1/1/2022)
$12.00 (effective 1/1/2023)

Not applicable to retail and service businesses whose annual gross sales are less than $500,000.
$3.92 (current)
$4.30 (effective 1/1/2019)
$3.93 (current)
$4.30 (effective 1/1/2019)
Montana $8.30 (current)
$8.50 (effective 1/1/2019)
Tip credit not allowed Tip credit not allowed
New Jersey $8.60 (current)
$8.85 (effective 1/1/2019)
$6.47 (current)
$6.72 (effective 1/1/2019)
$2.13 (current) (unchanged)
New Mexico Albuquerque:
$8.95 (current)
$9.20 (effective 1/1/2019)

Employers providing healthcare and/or childcare benefits of at least $2,500:

$7.95 (current)
$8.20 (effective 1/1/2019)
Albuquerque:
$3.60 (current)
$3.70 (effective 1/1/2019)

Employers providing healthcare and/or childcare benefits of at least $2,500:
$2.60 (current)
$2.70 (effective 1/1/2019)
Albuquerque:
$5.35 (current)
$5.50 (effective 1/1/2019)
New York $10.40 (current)
$11.10 (effective 12/31/2018)
$11.80 (effective 12/31/2019)
$12.50 (effective 12/31/2020)

Fast Food Workers:
$11.75 (current)
$12.75 (effective 12/31/2018)
$13.75 (effective 12/31/2019)
$14.50 (effective 12/31/2020)
$15.00 (effective 7/1/2021)

New York City:
Employers with 11 or more employees:
$13.00 (current)
$15.00 (effective 12/31/2018)

Employers with 10 or fewer employees:
$12.00 (current)
$13.50 (effective 12/31/2018)
$15.00 (effective 12/31/2019)

Fast Food Workers (NYC):
$13.50 (current)
$15.00 (effective 12/31/2018)

Nassau, Suffolk, and Westchester Counties:
$11.00 (current)
$12.00 (effective 12/31/2018)
$13.00 (effective 12/31/2019)
$14.00 (effective 12/31/2020)
$15.00 (effective 12/31/ 2021)
Hospitality Industry
Currently varies based on position within the hospitality industry and type of employer.

Tipped Service Employees:
$1.75 (current)
$1.85 (effective 12/31/2018)

Tipped Food Service Workers:
$2.90 (current)
$3.60 (effective 12/31/2018)

New York City:
Employers with 11 or more employees:
Tipped Service Employees:
$2.15 (current)
$2.50 (effective 12/31/2018)

Tipped Food Service Workers:
$4.35 (current)
$5.00 (effective 12/31/2018)

Employers with 10 or fewer employees:
Tipped Service Employees:
$2.00 (current)
$2.25 (effective 12/31/2018)

Tipped Food Service Workers:
$4.00 (current)
$4.50 (effective 12/31/2018)

Nassau, Suffolk, and Westchester Counties:
Tipped Service Employees:
$1.85 (current)
$2.00 (effective 12/31/2018)

Tipped Food Service Workers:
$3.50 (current)
$4.00 (effective 12/31/2018)

All service employees must meet tip thresholds for employer to claim tip credit.
Hospitality Industry
Currently varies based on position within the hospitality industry and type of employer.
Tipped Service Employees:
$8.65 (current)
$9.25 (effective 12/31/2018)

Tipped Food Service Workers:
$7.50 (current)
$7.50 (unchanged) (12/31/2018)

New York City:
Employers with 11 or more employees:
Tipped Service Employees:
$10.85 (current)
$12.50 (effective 12/31/2018)Tipped Food Service Workers:
$8.65 (current)
$10.00 (effective 12/31/2018)

Employers with 10 or fewer employees:
Tipped Service Employees:
$10.00 (current)
$11.25 (effective 12/31/2018)

Tipped Food Service Workers:
$8.00 (current)
$9.00 (effective 12/31/2018)

Nassau, Suffolk, and Westchester Counties:
Tipped Service Employees:
$9.15 (current)
$10.00 (effective 12/31/2018)

Tipped Food Service Workers:
$7.50 (current)
$8.00 (effective 12/31/2018)
All service employees must meet tip thresholds for employer to claim tip credit.
Ohio
$8.30 (current)
$8.55 (effective 1/1/2019)

Small Employers (annual gross receipts of $314,000 or less per year after 1/1/2019):
$7.25 (effective 1/1/2019)
$4.15 (current)
$4.25 (effective 1/1/2019)
$4.15 (current)
$4.30 (effective 1/1/ 2019)
Oregon Standard Minimum Wage Rate:
$10.75 (current)
$11.25 (effective 7/1/2019) $12.00 (effective 7/1/2020) $12.75 (effective 7/1/2021) $13.50 (effective 7/1/2022)

Portland Metro Employers (i.e., employers located within the urban growth boundary of a metropolitan service district):
$12.00 (current)
$12.50 (effective 7/1/2019) $13.25 (effective 7/1/2020) $14.00 (effective 7/1/2021) $14.75 (effective 7/1/2022)

Employers in Nonurban Counties:
$10.50 (current)
$11.00 (effective 7/1/2019) $11.50 (effective 7/1/2020) $12.00 (effective 7/1/2021) $12.50 (effective 7/1/2022)
Tip credit not allowed Tip credit not allowed
Rhode Island $10.10 (current)
$10.50 (effective 1/1/2019)
$6.21 (current)
$6.61 (effective 1/1/2019)
$3.89 (current) (unchanged)

South Dakota

$8.85 (current)

$9.10 (effective 1/1/2019)

$4.42 (current)

$4.55 (effective 1/1/2019)

$4.43 (current)

$4.55 (effective 1/1/2019)

 

Vermont $10.50 (current)
$10.78 (effective 1/1/2019)
$5.25 (current)
$5.39 (effective 1/1/2019)

Applies only to "service or tipped employees," defined as employees of a hotel, motel, tourist place, or restaurant who regularly earn more than $120 per month in tips for direct and personal customer service.
$5.25 (current)
$5.39 (effective 1/1/2019)

Applies only to "service or tipped employees," defined as employees of a hotel, motel, tourist place, or restaurant who regularly earn more than $120 per month in tips for direct and personal customer service.
Washington $11.50 (current)
$12.00 (effective 1/1/2019)
$13.50 (effective 1/1/2020)

Seattle:
Large Employers (more than 500 employees worldwide), regardless of payments toward an employee's medical benefits (no longer a 2-tiered system for large employers as of 2019):
$15.45 (current)
$16.00 (effective 1/1/2019)

Small Employers (500 or fewer employees worldwide) who do not contribute towards an individual employee's medical benefits:
$14.00 (current)
$15.00 (effective 1/1/2019)
$15.75 (effective 1/1/2020)

Small Employers (500 or fewer employees worldwide) who do pay toward an individual employee's medical benefits:
$11.50 (current)
$12.00 (effective 1/1/2019)
$13.50 (effective 1/1/2020)

Tacoma:
$12.00 (current)
$12.35 (effective 1/1/2019)
Tip credit not allowed Tip credit not allowed

We will continue to monitor and update you on any developments regarding state and local minimum wage rates.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.