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Minimum wage is going up in NYC, NJ in 2026. Is a bigger boost ahead?
By
Ryan Kost
Published Dec 30, 2025
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By
Ryan Kost
Published Dec 30, 2025
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Minimum wage workers will see a 50-cent pay bump starting Jan. 1 — that will mean $17 an hour for those working in New York City as well as Nassau, Suffolk and Westchester counties, and $16 for workers in the rest of the state.
Those New Yorkers will now be making more than double the federal minimum wage, which has remained at $7.25 per hour since 2009. Rates for tipped employees, however, are slightly lower.
New Jersey's minimum wage increases every year based on inflation. So, as of Jan. 1, most workers will see a 43-cent increase or $15.92 per hour.
“This increase will provide vital support to all Garden State workers by making the dream of a livable wage reality,” New Jersey Labor Commissioner Robert Asaro-Angelo said in a statement.
As with New York, there are various exceptions to the rule, including for those who make tips and both farm and long-term care facility workers.
New York’s increase for 2026 is the final half-dollar increase in a plan Gov. Kathy Hochul rolled out beginning in 2024. Starting in 2027, the state’s minimum wage will increase annually at a rate tied to the Consumer Price Index.
But there could be another boost for New York City residents if Mayor-elect Zohran Mamdani can make good on a campaign promise to bring a $30 minimum wage to the city by 2030.
During his campaign, Mamdani pointed to estimates from the Massachusetts Institute of Technology Living Wage Calculator that a single adult with no children needs to earn at least $28 to get by in the city. That prompted him to propose an ambitious program that would see the city’s minimum wage increase to $20 an hour in 2027 followed by yearly increases until it reaches $30 by 2030. Smaller businesses would have more time to reach $30.
After 2030, New Yorkers would see annual increases tied to cost of living or productivity increases — whichever is higher.
Historically, the state Legislature has set minimum wages across the state, but a spokesperson for Mamdani told the news organization City & State that they believed there was a path forward for the mayor to play a role.
Mamdani’s transition team did not respond to repeated requests for comment.
Tagged
Politics
Workforce
economy
new jersey
new york city
new york state
Ryan Kost
Ryan Kost is a reporter on the day-of news desk, where he covers breaking news and writes enterprise stories about jails, courts, prosecutors and government accountability. His work focuses on the public institutions that shape life in New York. Before joining the newsroom, he lead a multi-part investigation with Columbia Journalism Investigations and New York Focus into how New York prosecutors handle wrongful conviction claims. He's also been a staff writer at The San Francisco Chronicle, The Associated Press and The Oregonian. Got a tip? Signal: ryankost.20
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Gothamist is funded by sponsors and member donations
Gothamist is funded by sponsors and member donations
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