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New minimum wage to increase in New York: how much and when it takes effect

New York State, as well as NYC, will have a new minimum wage next year. Find out how much the increase will be and when it will come into effect.

New York State, as well as NYC, will have a new minimum wage next year. Find out how much the increase will be and when it will come into effect.

The District of Columbia and 30 states in the country, including New York, currently have a minimum wage higher than the federal minimum wage of $7.25 per hour, which has not increased since 2009.

Some states tie their increases to the cost of living to keep up with inflation, while others have legislation that establishes automatic increases each year. These measures have been adopted, in theory, so as not to affect the purchasing power of workers.

For next year, New York is one of the states preparing for an increase in the minimum wage. Find out how much the base salary will increase and the exact date on which it comes into effect.

New minimum wage in New York: how much it increases and when it takes effect

This year, the minimum wage in New York is $14.20 per hour, but starting Jan. 1, 2024 it will be $15, except for New York City and Nassau, Suffolk and Westchester counties.

Fortunately for many workers, the automatic increases will continue in 2025 and 2026. In May, Governor Kathy Hochul’s office reported that the minimum wage will increase by an additional $0.50 each year.

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Starting in 2027, the state minimum wage will increase based on the Consumer Price Index for Urban Wage Earners and Office Workers (CPI-W) of the Northeast region.

Indexing the minimum wage to inflation will help maintain the purchasing power of workers’ wages year after year. An increase in the minimum wage would overwhelmingly benefit low-income workers, particularly women and people of color, who make up a disproportionate share of minimum wage workers,” a New York government statement notes.

This is how the minimum wage will increase in New York City

This year, the minimum wage in New York City and Nassau, Suffolk and Westchester counties is $15 per hour. Starting Jan. 1, 2024, the minimum wage will increase to $16 in NYC and the aforementioned counties.

Due to scheduled increases, by 2025, the minimum hourly wage in these areas will increase to $16.50 and $17 in 2026.