Research Summary: The federal minimum wage has stayed stagnant at $7.25 since 2009, leading many states to take the matter into their own hands. After all, the cost of living continues to rise, more so in some states compared to others.
Today, over half of all US states, 31 to be exact, have opted to raise their internal minimum wage higher than the federal requirement. Knowing that, we’ve investigated all of the essential facts about the minimum wage in the US, and according to our extensive research, these are all of the states with their own minimum wage laws:
| State | Minimum Wage (2022) |
|---|---|
| Alabama | $7.25 |
| Alaska | $10.34 |
| Arizona | $12.80 |
| Arkansas | $11.00 |
| California | $15.00 |
| Colorado | $12.56 |
| Connecticut | $14.00 |
| Delaware | $10.50 |
| D.C. | $15.20 |
| Florida | $10.00 |
| Georgia | $7.25 |
| Hawaii | $10.10 |
| Idaho | $7.25 |
| Illinois | $12.00 |
| Indiana | $7.25 |
| Iowa | $7.25 |
| Kansas | $7.25 |
| Kentucky | $7.25 |
| Louisiana | $7.25 |
| Maine | $12.75 |
| Maryland | $12.50 |
| Massachusetts | $14.25 |
| Michigan | $10.10 |
| Minnesota | $10.33/$8.42 |
| Mississippi | $7.25 |
| Missouri | $11.15 |
| Montana | $9.20 |
| Nebraska | $9.00 |
| Nevada | $9.75/$8.75 |
| New Hampshire | $7.25 |
| New Jersey | $13.00 |
| New Mexico | $11.50 |
| New York | $13.20 |
| North Carolina | $7.25 |
| North Dakota | $7.25 |
| Ohio | $9.30/$7.25 |
| Oklahoma | $7.25 |
| Oregon | $13.50 |
| Pennsylvania | $7.25 |
| Rhode Island | $12.25 |
| South Carolina | $7.25 |
| South Dakota | $9.95 |
| Tennessee | $7.25 |
| Texas | $7.25 |
| Utah | $7.25 |
| Vermont | $12.55 |
| Virginia | $11 |
| Washington | $14.49 |
| West Virginia | $8.75 |
| Wisconsin | $7.25 |
| Wyoming | $7.25 |
Minimum Wage By State Trends
Given that the federal minimum wage has stayed stagnant for some time, the majority of states have decided to create their own minimum wages. States do this for a variety of economic and humanitarian reasons, with some arguing that Americans need at least $15 per hour to tackle the cost of living, while others simply hope a higher minimum wage will stimulate the economy.
States That Will Increase Their Minimum Wage In 2023
There are 13 states that will be increasing their minimum wage in 2023. These include:
-
California: From $15.00 for businesses with 26+ employees to $15.00 for all employers
-
Connecticut: From $14.00 to $15.00
-
Delaware: From $10.50 to $11.75
-
Florida: From $11.00 to $12.00
-
Illinois: From $12.00 to $13.00
-
Massachusetts: From $14.25 to $15.00
-
Michigan: From $9.87 to $10.10
-
Missouri: From $11.15 to $12.00
-
Nevada: From $9.50 to $11.25
-
New Jersey: From $13.00 to $14.00
-
New Mexico: From $11.50 to $12.00
-
Rhode Island: From $12.25 to $13.00
-
Virginia: From $11.00 to $12.00
Minimum Wage Increase Timeline
Between 2017-2021, an average of 18-21 states per year have been increasing their minimum wages (many of these being the same state each year). During this time, the fight for $15, which began in 2012, has also been gaining ground.
In 2018, for example, Massachusetts became the third state (behind California and New York in 2016) to implement a gradual minimum wage increase to $15 per hour.
Then between 2019-2021, similar policies have also been adopted by New Jersey (2019), Illinois (2019), Maryland (2019), Connecticut (2019), Florida (2020), Delaware (2021), and Rhode Island (2021).
Benefits of Minimum Wage Increases
Besides having the popular support of 62% of Americans, raising the minimum wage also has noticeable benefits. From stimulating the economy to helping poor Americans off their feet, here are some of the biggest upsides:
-
Raising the federal minimum wage to $15 per hour would increase the income of 27.3 million workers and lift 1.3 million families out of poverty.
-
59% of women (19 million) would receive a pay raise if the minimum wage was raised to $15 per hour.
-
31% of Black workers and 26% of Hispanic workers would see their wages increase under a $15 minimum wage.
-
A meager $1 increase in minimum wage increases consumer spending by an average of $2,080 per year.
Minimum Wage By State FAQ
-
Which states will increase to a $15 minimum wage?
There are nine states that will increase their minimum wage going forward. Here are those states and the effective date of the new minimum wage:
-
Connecticut (2023)
-
Delaware (2025)
-
Florida (2026)
-
Illinois (2025)
-
Maryland (2025)
-
Massachusetts (2023)
-
New Jersey (2024)
-
Rhode Island (2025)
-
Virginia (2026)
-
-
What percentage of Americans make minimum wage?
Roughly 1.5% of all Americans make the federal minimum wage. While this might not seem like a large portion of the population, it actually equates to just over a million workers. However, this isn’t to say that the number of minimum-wage workers hasn’t decreased over time.
For example, in 2015, around 2.5% of male workers in the U.S. worked for minimum wage, while 4.1% of female workers did the same. That means that just within the past five years, the number of Americans who earn minimum wage has fallen by more than half.
-
What percentage of American workers make less than $15 an hour?
Over a third of the total workforce make less than $15 per hour. That translates to roughly 52 million Americans who make less than $15 per hour.
Given that California is the only state with a minimum wage of $15 in 2022, Americans who make less than that amount are spread all throughout the country. This can be especially detrimental in states with a high cost of living, even if those states have a minimum wage higher than the federal requirement.
Unsurprisingly, that’s why 62% of all Americans now support raising the federal minimum wage to at least $15 per hour.
-
When was the minimum wage last raised in the United States?
The minimum wage was last raised in 2009. Between 2007-2009, the minimum wage saw small, consistent raises. In 2007, the federal minimum wage was $5.85, but by 2009, it was raised from $6.55 to the $7.25 it is today.
This represented a 24% increase in three years. However, within the past 13 years, the wage hasn’t been raised again.
-
What state has the highest minimum wage?
California has the highest minimum wage at $15 per hour. This is then followed by Washington ($14.49) and Connecticut ($14), both of whom will also be raising their minimum wage to $15 dollars over the next year.
-
What state has the lowest minimum wage?
Georgia and Wyoming have the lowest minimum wage of $5.15 per hour; however, this number is overridden by the $7.25 federal minimum wage. That means that, effectively, these two states function no differently than the other 17 states that still maintain the federal minimum wage of $7.25.
-
How does increasing the minimum wage affect employment?
Raising the minimum wage has the potential to make employment more competitive. This is because it increases the cost of hiring low-wage workers, so many companies will choose to hire fewer workers to offset the higher costs. Unfortunately, this can actually increase jobless and unemployed Americans.
At the same time, the Americans with jobs will likely have a higher standard of living based on their new wages.
Conclusion
Despite rising inflation, the federal minimum wage has remained unchanged for 13 years. Today, states are divided between the 19 that have maintained a minimum wage of $7.25 and the 31 others that have chosen to raise their statewide minimum wage.
Currently, between 18-21 states are increasing their minimum wage each year, with wages trending toward $15 per hour. Looking forward to 2023, nine states will be gradually shifting their minimum wage to reach $15, joining states like California, which have already done so.
And these trends will likely continue, as 62% of Americans now support raising the minimum wage to $15 per hour.
Author
Jack Flynn is a writer for Zippia. In his professional career he’s written over 100 research papers, articles and blog posts. Some of his most popular published works include his writing about economic terms and research into job classifications. Jack received his BS from Hampshire College.
