In 2026, 21 states will have new minimum wage rates. The federal minimum wage remains unchanged at $7.25 and applies in 20 states, mainly in the South. It was last raised on July 24, 2009.

Affordable housing managers responsible for determining applicants' and residents' income must be aware of state and local minimum wage laws to ensure the most accurate income projections.

States Where Minimum Wage Will Change in 2026

(unless stated otherwise, the change is effective 1/1/26)

• Maine: 3.1% increase, from $14.65 to $15.10
• Vermont: 2.9% increase, from $14.01 to 14.42
• New York: 3% increase, from 16.50 to 17.00
  • In NYC, Long Island, and Westchester
  • Upstate, the wage will increase from 15.50 to 16.00
• Connecticut: 3.6% increase, from 16.35 to 16.94
• New Jersey: 2.8% increase, from 15.49 to 15.92
• Virginia: 2.9% increase, from 12.41 to 12.77
• Florida: 7.1% increase, from 14.00 to 15.00 (effective September 30, 2026)
• Ohio: 2.8% increase, from 10.70 to 11.00
• Michigan: 10% increase, from 12.48 to 13.73
• Minnesota: 2.5% increase, from 11.13 to 11.41
• Missouri: 9.1%, from 13.75 to 15.00
• South Dakota: 3%, from 11.50 to 11.85
• Nebraska: 11.1%, from 13.50 to 15.00
• Montana: 2.8%, from 10.55 to 10.85
• Colorado: 2.4%, from 14.81 to 15.16
• Arizona: 3.1%, from 14.70 to 15.15
• Washington: 2.8%, from 16.66 to 17.13
• Oregon: Effective July 1, 2026, rates will increase in line with inflation. It will be announced closer to July 1.
  • Most counties in Oregon are currently set at $15.05. Portland Metro is $16.30, and non-urban counties are $14.05.
• California: 2.4%, from 16.50 to 16.90
• Alaska: 7.7%, from 13.00 to 14.00 (effective July 1, 2026)
• Hawaii: 14.3%, from 14.00 to 16.00

For the first time, there will be more workers in states with a minimum wage of $15 or higher than in states with the federal minimum of $7.25.

To the best of my knowledge, this list is accurate as of January 1, 2026. However, property operators should confirm the minimum wage in the states and localities where the property is located. Keep in mind that a resident may work in a different locality (or even a different state) from the property's location. For this reason, managers should be aware of the minimum wages in nearby localities.

Certain occupations are exempt from federal minimum wage laws, but states also have their own exemptions. Whenever an applicant or resident reports income or has it verified at less than the federal or state minimum wage, managers should follow up with employers to determine the reason. That reason should be documented in the file.