Every January, the same thing happens in thousands of hourly jobs —kitchens, warehouses, stores, cleaning, caregiving—: the year’s first pay stub brings a surprise. Sometimes a good one, sometimes none at all, because the employer “forgot” to apply the raise. For 2027 we already know the figures in several places, and it’s worth reaching January knowing what you’re owed.
Heads-up on the most important thing in this article: the federal minimum is still $7.25 an hour, unchanged since 2009. Everything rising in 2027 rises because of state and local laws, not Washington D.C. Here’s what each authority officially announced, place by place.
Seattle: $22.14 an hour
The city of Seattle announced this fall that its minimum rises to $22.14 an hour starting January 1, 2027 (today it’s $21.30). The ordinance applies equally to all employers, regardless of size, and the annual adjustment follows inflation in the Seattle-Tacoma-Bellevue area per the CPI-W index. One detail the city stresses: other minimum wage laws don’t change the minimum inside Seattle —the city’s is the one that rules.
California: $17.40 general, and $19.75 for certain farmworkers
The governor announced on July 31, 2026 that California’s statewide minimum rises to $17.40 an hour on January 1, 2027 (today it’s $16.90). The increase is automatic by law, tied to inflation, and applies to all employers regardless of size. The annual minimum salary for certain exempt employees also rises: $72,384 a year.
And there’s a second California figure that directly affects many people in our community: law AB 2646, signed on September 30, 2026, creates a floor of $19.75 an hour starting in 2027 for certain farmworkers —farm employees approved under temporary agricultural hiring programs (like the federal H-2A visa system) and California resident workers doing the same or substantially similar work for the same employer. If you work in the fields in California, check whether your employer falls in this category, because the floor is more than two dollars above the general minimum.
Washington State: $17.73 an hour
The Department of Labor & Industries (L&I) confirmed the statewide minimum rises to $17.73 an hour starting January 1, 2027 (today it’s $17.13). State law requires L&I to recalculate it each year using the federal CPI-W price index. The adjustment also moves other labor figures: minimum salaries for overtime-exempt employees, pay for young workers, and rideshare driver compensation.
Maine: $15.70 an hour
Maine’s Department of Labor announced (release of September 18, 2026) that the state minimum rises to $15.70 an hour starting January 1, 2027 (today it’s $15.10). The direct wage for tipped workers also rises to $7.85 an hour (today $7.55) —and the employer must guarantee that, tips included, the worker reaches at least $15.70. Plus, the salary threshold for overtime exemption rises to $905.79 a week.
Arizona: $15.65 an hour
Arizona’s Industrial Commission published its official poster with the new minimum: $15.65 an hour starting January 1, 2027 (today it’s $15.15). The annual adjustment comes from Proposition 206’s inflation formula, and for tipped workers the minimum is $12.65 an hour.
Who it applies to (and who it doesn’t)
The minimum wage covers hourly employees. But there’s a common trap in our community: if you’re paid as an independent contractor (on a 1099 instead of a W-2), the minimum doesn’t protect you the same way —contractors negotiate their rate; there’s no legal floor. If you do the same work as an employee, with a schedule and a boss, but you’re paid as a contractor, you may be misclassified.
What to do today, in order
- Find out the exact minimum for your state and your city (some cities, like Seattle, pay more than their state). Each labor department’s official pages have the figure.
- In January, check your first pay stub of the year and verify your hourly pay reflects the new rate. It’s the most common mistake: the raise exists, but it wasn’t applied.
- If you work for tips or are a contractor, check the special rules: the tip credit and proper classification change what you’re owed.
- Keep your pay stubs. If you discover you were underpaid, they’re your proof.
This content is informational and is not tax or legal advice. For your particular case, consult official sources or an authorized professional.
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