Millions of workers in 19 states will see their pay increase as minimum wage hikes take effect on January 1, 2026. Over 8.3 million employees are expected to gain a combined $5 billion. Several states, including Washington and New York, will have the highest minimum wages. The report also highlights the states where minimum wage will reach or surpass $15 per hour for the first time.
Millions of workers will get a nice boost to their paychecks as minimum wage increases take effect in 19 states on Jan. 1. This new pay increase impacts over 8.3 million employees, who will gain a combined $5 billion during 2026, according to the Economic Policy Institute .
RELATED: New laws taking effect in 2026: What you need to knowStarting today, there will be more workers in states with a $15 or higher minimum wage than in states with the federal minimum of $7.25, the EPI noted. Here's a list of the states raising their minimum wages in 2026.With the new hike in minimum wage, workers are going to experience a rise in pay in these states in 2026. Washington is the state with the highest minimum wage, offering employees $17.13 per hour.Meanwhile, workers in New York have the second-highest wage hike with a minimum hourly wage of $17 for workers in New York City, Long Island and Westchester. Outside those locales, workers in New York will receive at least $16 per hour.RELATED: SNAP junk-food purchase restrictions take effect Jan. 1 in five states, others to follow in 2026 — see whereThe Economic Policy Institute notes in its report that in 2026, minimum wage rates in Arizona, Colorado, Hawaii, Maine, Missouri, and Nebraska will reach or surpass $15 an hour for the first time. This means that 17 states and Washington D.C. will reach that milestone. Additionally, Florida's minimum wage will increase to $15 on Sept. 30, 2026. The state's minimum wage will increase by $1.00 until the minimum wage reaches $15.00 per hour on September 30, 2026. Resuming in 2027, the minimum wage will be adjusted annually for inflation.Moreover, 20 states with over 60 million workers chose to leave their minimum wage at the federal minimum of $7.25 an hour. The EPI noted that the federal minimum wage has not increased from $7.25 an hour in over 15 years, during which time its value fell by more than 30%.
Minimum Wage Pay Increase Employment Economic Policy Institute 2026
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Health subsidies expire, launching millions of Americans into 2026 with steep insurance hikesEnhanced tax credits that have helped Americans offset the cost of Affordable Care Act health insurance for the last four years expired overnight.
Read more »
Arizona Minimum Wage to Rise in 2026, Tucson to See Higher IncreaseArizona's minimum wage will increase to $15.15 per hour starting January 1, 2026, with Tucson seeing a higher increase to $15.45 due to a local proposition. This change aims to improve the financial well-being of low-wage workers and is welcomed by employees and community members.
Read more »
Health subsidies expire, launching millions of Americans into 2026 with steep insurance hikesEnhanced tax credits that have helped Americans offset the cost of Affordable Care Act health insurance for the last four years expired overnight.
Read more »
Health subsidies expire, launching millions of Americans into 2026 with steep insurance hikesThe change represents a failure by lawmakers to address an affordability issue that many Americans have raised as a top concern ahead of the 2026 midterms.
Read more »
Millions to Benefit: Minimum Wage Hikes Take Effect in 19 States on January 1, 2026Over 8.3 million workers will see a pay increase as minimum wage hikes go into effect in 19 states on January 1, 2026, according to the Economic Policy Institute. This shift highlights a growing trend of states taking the lead on wage adjustments.
Read more »
Health subsidies expire, launching millions of Americans into 2026 with steep insurance hikesIn the end, no one’s efforts were enough to save the subsidies before their expiration date. A House vote expected in January could offer another chance, but success is far from guaranteed.
Read more »