Short answer
The federal minimum wage in the United States is $7.25 per hour. Many states and cities have set higher minimum wages. Workers receive whichever rate is highest where they work.
Key points
- Federal minimum wage is $7.25 per hour, unchanged since 2009.
- States and cities can set higher minimum wages.
- Workers are paid the highest applicable rate where they work.
- Some states have minimum wages above $15 per hour.
- Cost of living and local laws influence local minimum wages.
The minimum wage in the United States is $7.25 per hour at the federal level. However, many states, counties, and cities have established their own minimum wages, often significantly higher than the federal rate. Employees are entitled to the highest minimum wage that applies to their location.
State and local variations
U.S. labor law allows states and municipalities to set minimum wages above the federal floor. As a result, wages vary widely across the country. For example, California, Illinois, and Washington have state minimum wages at or above $15 per hour. In some cities like Seattle and New York City, local laws push the minimum even higher to reflect the high cost of living.
Employers must follow the law that provides the greatest benefit to workers. If a city’s minimum wage is higher than the state or federal rate, employees must be paid the city’s rate. This creates a patchwork of wage levels, meaning two workers doing the same job in different cities may earn different hourly pay.
Frequently asked questions
Why hasn’t the U.S. federal minimum wage changed since 2009?
The federal minimum wage is set by Congress and has not been raised since 2009 due to political disagreement. Proposals to increase it have not passed into law.
Which states have the highest minimum wages?
Several states, including California, Washington, and Massachusetts, have minimum wages above $15 per hour. Some cities within other states also have high rates due to local laws.
Do all workers in the U.S. get minimum wage?
Most workers are entitled to minimum wage, but some exceptions exist, such as for tipped employees, youth workers, or certain disabled workers under special certificates.
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