In 2020, 21 states will increase their minimum wage requirements for workers beginning January 1, 2020 and Connecticut, Nevada, and Oregon (and possibly Delaware) will have increases later in the year.
Affordable housing managers responsible for determining the income of applicants and residents need to be aware of state and local minimum wage laws in order to ensure the most accurate possible projection of income.
States with Minimum Wage in Excess of Federal $7.25 per Hour (as of 1/1/20)
- Alaska: $10.19
- Arizona: $12.00
- Arkansas: $10.00
- California: $13.00 – applies only to employers with 26 or more employees. Employers in CA with 25 or fewer employees have a minimum wage of $12.00 per hour.
- Colorado: $12.00
- Connecticut: $11.00 ($12.00 effective 9/1/20)
- Delaware: $9.25
- District of Columbia: $14.00 ($15.00 effective 7/1/20)
- Florida: $8.56
- Hawaii: $10.10
- Illinois: $9.25
- Maine: $12.00
- Maryland: $11.00
- Massachusetts: $12.75
- Michigan: $9.65
- Minnesota: $10.00 – this is the rate for large employers (employers with $500,000 or more gross revenue). Small employers have a minimum wage of $8.15 per hour.
- Missouri: $9.45
- Montana: $8.65
- Nebraska: $9.00
- Nevada: $8.25 for employees who are not offered health insurance. On July 1, 2020, minimum wage for employees with health insurance will increase to $8.00 and those without health insurance to $9.00.
- New Jersey: $11.00
- New Mexico: $9.00
- New York: $11.80 statewide ($15.00 in New York City)
- Ohio: $8.70
- Oregon: $11.25 (Portland, $13.25 on July 1) – effective July 1, 2020, statewide minimum will be $12.00 ($11.50 for nonurban counties).
- Rhode Island: 10.50
- South Dakota: $9.30
- Vermont: $10.96
- Washington: $13.50
- West Virginia: $8.75
Certain occupations are exempt from federal minimum wage laws, but states have their own exemptions. Anytime an applicant or resident reports or has a verification of income that is 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.