In 2022, while the federal minimum wage will remain at $7.25 per hour for non-tipped employees and $2.13 per hour for tipped employees, several states' minimum wage rates will increase. The chart below lists the state (and certain major locality) minimum wage rate increases for 2022-and future years if available-along with the related changes in the maximum tip credit and minimum cash wage for tipped employees.

NOTE: Where a state or locality has implemented a minimum wage that is higher than the federal rate, covered employers are required to pay the applicable state or local minimum wage. Alaska ($10.34), Arkansas ($11.00), District of Columbia ($15.20), Hawaii ($10.10), Nebraska ($9.00), and West Virginia ($8.75) currently have minimum wage rates that are higher than the federal rate. These states are not represented in the chart below because their minimum wage rates are not scheduled to increase in 2022.

State Minimum Wage Maximum Tip Credit Minimum Cash Wage (Tipped Employees)
Arizona $12.15 (current)

$12.80 (effective January 1, 2022)

Flagstaff:
$15.00 (current)

$15.50 (effective January 1, 2022)

Tucson:
Ballot initiative approved November 2, 2021:
$13.00 (effective April 1, 2022)

$13.50 (effective January 1, 2023)

$14.25 (effective January 1, 2024)

$15.00 (effective January 1, 2025)

 $3.00 (current) (set tip credit amount)

Flagstaff:
$3.00 (current)

$2.50 (effective January 1, 2022)

Tucson:
$3.00 (state rate)

 $9.15 (current)

$9.80 (effective January 1, 2022)

Flagstaff:
$12.00 (current)

$13.00 (effective January 1, 2022)

Tucson:
$10.00 (effective April 1, 2022)

$10.50 (effective January 1, 2023)
California Employers with 26 or more employees:
$14.00 (current)$15.00 (effective January 1, 2022)Employers with 25 or fewer employees:
$13.00 (current)$14.00 (effective January 1, 2022)$15.00 (effective January 1, 2023)

Oakland:
 $14.36 (current)

$15.06 (effective January 1, 2022)

San Diego:
 $14.00 (current)

$15.00 (effective January 1, 2022)

San Jose:
 $15.45 (current)

$16.20 (effective January 1, 2022)

West Hollywood:
New legislation passed November 15, 2021:

Employers with 50 or more employees:

$15.50 (effective January 1, 2022)

$16.50 (effective July 1, 2022)

$17.50 (effective January 1, 2023)

Employers with 49 or fewer employees:

$15.00 (effective January 1, 2022)

$16.00 (effective July 1, 2022)

$17.00 (effective January 1, 2023)

Hotel employers (as defined):

$17.64 (effective January 1, 2022)

TBD (effective July 1, 2022)

*Reminder: This list of California localities with published January 2022 increases is not exhaustive; others may see increases in 2022 as well.

 Tip credit not allowed. Tip credit not allowed.
Colorado $12.32 (current)

$12.56 (effective January 1, 2022)

Denver:
$14.77 (current)

$15.87 (effective January 1, 2022)

 $3.02 (current) (no change)

Denver:
$3.02 (current) (state rate; no change)

 $9.30 (current)

$9.54 (effective January 1, 2022)

Denver:
$11.75 (current)

$12.85 (effective January 1, 2022)
Connecticut $13.00 (current as of August 1, 2021)

$14.00 (effective July 1, 2022)

$15.00 (effective June 1, 2023)

 Tipped service employees other than bartenders:
$6.62 (current as of August 1, 2021)$7.62 (effective July 1, 2022)$8.62 (effective June 1, 2023)

Bartenders:
$4.77 (current as of August 1, 2021)

$5.77 (effective July 1, 2022)

$6.77 (effective June 1, 2023)

 Tipped service employees other than bartenders:
$6.38 (current) (set cash wage amount)Bartenders:
$8.23 (current) (set cash wage amount)
Delaware $9.25 (current)

$10.50 (effective January 1, 2022)

$11.75 (effective January 1, 2023)

$13.25 (effective January 1, 2024)

$15.00 (effective January 1, 2025)

Training and Youth Minimum Wage Rate*: $8.75 (current)
*Eliminated effective December 29, 2021.

 $7.02 (current)

$8.27 (effective January 1, 2022)

 $2.23 (current) (no change)
Florida $10.00 (current as of September 30, 2021)

$11.00 (effective September 30, 2022)

$12.00 (effective September 30, 2023)

$13.00 (effective September 30, 2024)

$14.00 (effective September 30, 2025)

$15.00 (effective September 30, 2026)

 $3.02 (current) (no change) $6.98 (current as of September 30, 2021)

$7.98 (effective September 30, 2022)

$8.98 (effective September 30, 2023)

$9.98 (effective September 30, 2024)

$10.98 (effective September 30, 2025)

$11.98 (effective September 30, 2026)
Illinois $11.00 (current)

$12.00 (effective January 1, 2022)

$13.00 (effective January 1, 2023)

$14.00 (effective January 1, 2024)

$15.00 (effective January 1, 2025)

Chicago:
Employers with 21 or more total employees:
$15.00 (current as of July 1, 2021)

Employers with 4-20 total employees:
$14.00 (current as of July 1, 2021)

$14.50 (effective July 1, 2022)

$15.00 (effective July 1, 2023)

Cook County:
$13.00 (current) (no change)

 $4.40 (current)

$4.80 (effective January 1, 2022)

$5.20 (effective January 1, 2023)

$5.60 (effective January 1, 2024)

$6.00 (effective January 1, 2025)

Chicago:
Employers with 21 or more total employees:
$6.00 (current as of July 1, 2021)

Employers with 4-20 total employees:
$5.60 (current as of July 1, 2021)

$5.80 (effective July 1, 2022)

$6.00 (effective July 1, 2023)

Cook County:
$6.70 (current as of July 1, 2021)

$5.80 (effective January 1, 2022)

 $6.60 (current)

$7.20 (effective January 1, 2022)

$7.80 (effective January 1, 2023)

$8.40 (effective January 1, 2024)

$9.00 (effective January 1, 2025)

Chicago:
Employers with 21 or more total employees:
$9.00 (current as of July 1, 2021)

Employers with 4-20 total employees:
$8.40 (current as of July 1, 2021)

$8.70 (effective July 1, 2022)

$9.00 (effective July 1, 2023)

Cook County:
$6.30 (current as of July 1, 2021)

$7.20 (state rate) (effective January 1, 2022)
Maine $12.15 (current)

$12.75 (effective January 1, 2022)

Portland:
$12.15 (current)

$13.00 (effective January 1, 2022)

 $6.07 (current)

$6.37 (effective January 1, 2022)

Portland:
$6.07 (current)

$6.50 (effective January 1, 2022)

 $6.08 (current)

$6.38 (effective January 1, 2022)

Portland:
$6.08 (current)

$6.50 (effective January 1, 2022)
Maryland Employers with 15 or more employees:
$11.75 (current)$12.50 (effective January 1, 2022)$13.25 (effective January 1, 2023)$14.00 (effective January 1, 2024)$15.00 (effective January 1, 2025)

Employers with 14 or fewer employees:
$11.60 (current)

$12.20 (effective January 1, 2022)

$12.80 (effective January 1, 2023)

$13.40 (effective January 1, 2024)

$14.00 (effective January 1, 2025)

$14.60 (effective January 1, 2026)

$15.00 (effective July 1, 2026)

Montgomery County:
Employers with 51 or more employees:
$15.00 (current as of July 1, 2021)

Employers with 11-50 employees:
$14.00 (current as of July 1, 2021)

$14.50 (effective July 1, 2022)

$15.00 (effective July 1, 2023)

Employers with 10 or fewer employees:
$13.50 (current as of July 1, 2021)

$14.00 (effective July 1, 2022)

$14.50 (effective July 1, 2023)

$15.00 (effective July 1, 2024)

 Employers with 15 or more employees:
$8.12 (current)$8.87 (effective January 1, 2022)$9.62 (effective January 1, 2023)Employers with 14 or fewer employees:
$7.97 (current)$8.57 (effective January 1, 2022)

$9.17 (effective January 1, 2023)

Montgomery County:
Employers with 51 or more employees:
$11.00 (current as of July 1, 2021)

Employers with 11-50 employees:
$10.00 (current as of July 1, 2021)

$10.50 (effective July 1, 2022)

$11.00 (effective July 1, 2023)

Employers with 10 or fewer employees:
$9.50 (current as of July 1, 2021)

$10.00 (current as of July 1, 2022)

$10.50 (effective July 1, 2023)

$11.00 (effective July 1, 2024)

 $3.63 (current) (set cash wage amount)

Montgomery County:
$4.00 (current) (no change)
Massachusetts $13.50 (current)

$14.25 (effective January 1, 2022)

$15.00 (effective January 1, 2023)

 $7.95 (current)

$8.10 (effective January 1, 2022)

$8.25 (effective January 1, 2023)

 $5.55 (current)

$6.15 (effective January 1, 2022)

$6.75 (effective January 1, 2023)
Michigan $9.65 (current)

$9.87 (effective January 1, 2022)

 

 $5.98 (current)

$6.12 (effective January 1, 2022)

 $3.67 (current)

$3.75 (effective January 1, 2022)
Minnesota Large employers (annual gross revenues of $500,000 or more):
$10.08 (current)$10.33 (effective January 1, 2022)Small employers (annual gross revenues of less than $500,000):
$8.21 (current)

$8.42 (effective January 1, 2022)

Minneapolis:
Large employers (more than 100 total employees):
$14.25 (current as of July 1, 2021)

$15.00 (effective July 1, 2022)

Small employers (100 or fewer total employees):
$12.50 (current as of July 1, 2021)

$13.50 (effective July 1, 2022)

$14.50 (effective July 1, 2023)

Saint Paul:
Macro businesses (10,001 or more total employees):
$12.50 (current)

$15.00 (effective July 1, 2022)

Large businesses (101-10,000 total employees):
$12.50 (current as of July 1, 2021)

$13.50 (effective July 1, 2022)

$15.00 (effective July 1, 2023)

Small businesses (6-100 total employees):
$11.00 (current as of July 1, 2021)

$12.00 (effective July 1, 2022)

$13.00 (effective July 1, 2023)

$14.00 (effective July 1, 2024)

$15.00 (effective July 1, 2025)

Micro businesses (Five or fewer employees):
$10.00 (current as of July 1, 2021)

$10.75 (effective July 1, 2022)

$11.50 (effective July 1, 2023)

$12.25 (effective July 1, 2024)

$13.25 (effective July 1, 2025)

$14.25 (effective July 1, 2026)

$15.00 (effective July 1, 2027)

 Tip credit not allowed. Tip credit not allowed.
Missouri $10.30 (current)

$11.15 (effective January 1, 2022)

$12.00 (effective January 1, 2023)

 $5.15 (current)

$5.57 (effective January 1, 2022)

$6.00 (effective January 1, 2023)

 $5.15 (current)

$5.58 (effective January 1, 2022)

$6.00 (effective January 1, 2023)
Montana $8.75 (current)

$9.20 (effective January 1, 2022)

 Tip credit not allowed. Tip credit not allowed.
Nevada Employers offering qualified health insurance benefits:
 $8.75 (current as of July 1, 2021)$9.50 (effective July 1, 2022)$10.25 (effective July 1, 2023)

$11.00 (effective July 1, 2024)

Employers that do not offer qualified health insurance benefits:
$9.75 (current as of July 1, 2021)

$10.50 (effective July 1, 2022)

$11.25 (effective July 1, 2023)

$12.00 (effective July 1, 2024)

 Tip credit not allowed. Tip credit not allowed.
New Jersey Employers with six or more employees:
$12.00 (current)$13.00 (effective January 1, 2022)$14.00 (effective January 1, 2023)

$15.00 (effective January 1, 2024)

Employers with five or fewer employees and seasonal employers:
$11.10 (current)

$11.90 (effective January 1, 2022)

$12.70 (effective January 1, 2023)

$13.50 (effective January 1, 2024)

$14.30 (effective January 1, 2025)

$15.00 (effective January 1, 2026)

 Employers with six or more employees:
$7.87 (current) (no change)$8.87 (effective January 1, 2023)$9.87 (effective January 1, 2024)

Employers with five or fewer employees and seasonal employers:
$6.97 (current)

$6.77 (effective January 1, 2022)

$7.57 (effective January 1, 2023)

$8.37 (effective January 1, 2024)

 $4.13 (current)

$5.13 (effective January 1, 2022)

$5.13 (effective January 1, 2023)

$5.13 (effective January 1, 2024)
New Mexico $10.50 (current)

$11.50 (effective January 1, 2022)

$12.00 (effective January 1, 2023)

Santa Fe (city):
 $12.32 (current)*

*March 2022 increase expected.

Santa Fe (county-unincorporated area only):
$12.32 (current)*

*March 2022 increase expected.

 $7.95 (current)

$8.70 (effective January 1, 2022)

$9.00 (effective January 1, 2023)

Santa Fe (city):
$9.77 (current)

$9.52 (effective January 1, 2022) (due to state minimum cash wage increase)

Santa Fe (county-unincorporated area only):
 $8.63 (current)

 $2.55 (current)

$2.80 (effective January 1, 2022)

$3.00 (effective January 1, 2023)

Santa Fe (city):
$2.55 (state rate) (current)

$2.80 (state rate) (effective January 1, 2022)

Santa Fe (county-unincorporated area only):
$3.69 (current)
New York Statewide (outside NYC and counties below):
$12.50 (current)$13.20 (effective December 31, 2021)Nassau, Suffolk, and Westchester Counties:
$14.00 (current)

$15.00 (effective December 31, 2021)

 Hospitality industry only*

Statewide (outside NYC and counties below):
Tipped service employees:
$2.10 (current)

$2.20 (effective December 31, 2021)

 

Tipped food service workers:
$4.15 (current)

$4.40 (effective December 31, 2021)

Nassau, Suffolk, and Westchester Counties:
Tipped service employees:
$2.35 (current)

$2.50 (effective December 31, 2021)

Tipped food service workers:
$4.65 (current)

$5.00 (effective December 31, 2021)

*See New York State Department of Labor (NYDOL) guidance ("Minimum Wage for Tipped Workers"): As of December 31, 2020, tip credit is not permitted in miscellaneous industries.

 Hospitality industry only*

Statewide (outside NYC and counties below):

Tipped service employees:
$10.40 (current)

$11.00 (effective December 31, 2021)

Tipped food service workers:
$8.35 (current)

$8.80 (effective December 31, 2021)

Nassau, Suffolk, and Westchester Counties:
Tipped service employees:
$11.65 (current)

$12.50 (effective December 31, 2021)

Tipped food service workers:
$9.35 (current)

$10.00 (effective December 31, 2021)

*See NYDOL guidance ("Minimum Wage for Tipped Workers"): As of December 31, 2020, tip credit is not permitted in miscellaneous industries.
Ohio $8.80 (current)

$9.30 (effective January 1, 2022)

Small employers (annual gross receipts of less than $323,000* per year):
$7.25 (current)
*As of January 1, 2022, this threshold increases to $342,000.

 $4.40 (current)

$4.65 (effective January 1, 2022)

 $4.40 (current)

$4.65 (effective January 1, 2022)
Oregon Standard minimum wage rate:
$12.75 (current as of July 1, 2021)$13.50 (effective July 1, 2022)Portland metro employers (i.e., employers located within the "urban growth boundary of a metropolitan service district"):
$14.00 (current as of July 1, 2021)

$14.75 (effective July 1, 2022)

Employers in nonurban counties (as defined by the law):
$12.00 (current as of July 1, 2021)

$12.50 (effective July 1, 2022)

 Tip credit not allowed. Tip credit not allowed.
Rhode Island $11.50 (current)

$12.25 (effective January 1, 2022)

$13.00 (effective January 1, 2023)

$14.00 (effective January 1, 2024)

$15.00 (effective January 1, 2025)

 $7.61 (current)

$8.36 (effective January 1, 2022)

$9.11 (effective January 1, 2023)

$10.11 (effective January 1, 2024)

$11.11 (effective January 1, 2025)

 $3.89 (current) (no change)
South Dakota $9.45 (current)

$9.95 (effective January 1, 2022)

 $4.72 (current)

$4.97 (effective January 1, 2022)

 $4.73 (current)

$4.98 (effective January 1, 2022)
Vermont $11.75 (current)

$12.55 (effective January 1, 2022)

 $5.87 (current)

$6.27 (effective January 1, 2022)

 $5.88 (current)

$6.28 (effective January 1, 2022)
Virginia $9.50 (current as of May 1, 2021)

$11.00 (effective January 1, 2022)

$12.00 (effective January 1, 2023)

$13.50 (effective January 1, 2025)*

$15.00 (effective January 1, 2026)*

*If reenacted by General Assembly before July 1, 2024.

 $7.37 (current as of May 1, 2021)

$8.87 (effective January 1, 2022)

$9.87 (effective January 1, 2023)

 $2.13 (current) (no change)
Washington $13.69 (current)

$14.49 (effective January 1, 2022)

SeaTac:
 $16.57 (current)

$17.53 (effective January 1, 2022)

Applies to "Hospitality and Transportation Industry Employers."

Seattle:
Large employers (more than 500 employees worldwide), regardless of payments toward an employee's medical benefits:
$16.69 (current)

$17.27 (effective January 1, 2022)

Small employers (500 or fewer employees worldwide) who do not contribute at least $1.69* per hour toward an individual employee's medical benefits or in tips:
$16.69 (current)

$17.27 (effective January 1, 2022)

Small employers (500 or fewer employees worldwide) who do pay at least $1.69* per hour toward an individual employee's medical benefits or in tips:
$15.00 (current)

$15.75 (effective January 1, 2022)

*This threshold decreases to $1.52 effective January 1, 2022.

 Tip credit not allowed. Tip credit not allowed.

The increases to minimum wage rates are in bold.

In addition to the above chart, employers may find the interactive map below helpful in preparing for these wage and hour changes in the new year and in coming years. The map provides the minimum wage rate and applicable tip credits-in addition to employers' minimum cash wage obligations-through 2026 for each state and the District of Columbia.

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.