The ‘Big Money Show’ panel discusses President Donald Trump’s bullish economic forecast, rising real wages, private sector job growth and how the upcoming tax refund could change the mid-2026 fiscal year.
American workers at the bottom end of the pay scale are set to see minimum wage hikes in 19 states take effect on New Year’s Day, and three more states are also planning minimum wage increases later in 2026.
While 20 states choose to leave their minimum wage at least the federal minimum of $7.25 an hour, most states set a higher minimum that can be adjusted from time to time to account for inflation or to respond to changes in state workers’ compensation laws.
The minimum wage helps support workers at the lower end of the pay scale, although critics note that higher minimum wage levels raise business costs and can suppress job growth as firms look to fill jobs that could be done by lower-wage workers.
Here’s a look at which states will be raising their minimum wages in 2026 and when those changes will take place.
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The minimum wage will increase on New Year’s Day in 19 states, including California. (Robert Gauthier/Los Angeles Times via Getty Images/Getty Images)
The minimum wage increases on January 1
Arizona: $15.15 per hour, although local rates may vary.
California: $16.90 per hour.
Colorado: $15.16 per hour, local rates may vary.
Connecticut: $16.94 per hour.
Hawaii: $16 per hour.
Maine: $15.10 per hour.
In MichiganCost: $13.73 per hour.
Minnesota: $11.41 per hour, local rates may vary.
Missouri: $15 an hour.
Montana: $10.85 per hour.
Nebraska: $15 per hour.
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New Jersey: $15.92 an hour for firms with six or more employees; $15.23 for seasonal workers or firms with fewer than six employees; $14.20 agricultural workers; $18.92 for direct care workers in a long-term care facility.
New York: $17 an hour in New York City, Long Island and Westchester; $16 for the rest of the country; Home care aides may have different minimum wage rates.
In Ohio: $11 an hour, although small firms that meet the wage requirements may pay the federal minimum.
Rhode Island: $16 per hour.
South Dakota: $11.85 per hour.
Vermont: $14.42 per hour.
Virginia: $12.77 per hour.
Washington: $17.13 per hour, local rates may be higher.
New York’s minimum wage regime has a different minimum wage in different parts of the state, including New York City. (Gary Hershorn/Getty Images/Getty Images)
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The minimum wage increases later in 2026
Alaska: Increases from $13 to $14 an hour starting July 1.
In Florida: Increases to $15 an hour on September 30.
In Oregon: Standard rate of $15.05 an hour will be adjusted based on CPI inflation data on July 1; The Portland municipal average is $16.30 an hour, and the nonurban county average is $14.05 an hour.
Florida’s minimum wage will increase on September 30. (Jeffrey Greenberg/Academic Images/Global Image Group/Getty Images)
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