ECONOMY

States Increase Minimum Wages Effective January First, 2026

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Sources: 6

60-Second Summary

United States. State governments and labor agencies announced nationwide minimum wage increases effective Jan. 1, 2026. Ohio will raise non-tipped pay to $11.00 and tipped to $5.50, with the applicability threshold rising to $405,000. Connecticut will adjust to $16.94 using the Employment Cost Index. Missouri will set $15.00 after Proposition A, with automatic increases later repealed. South Dakota’s rates rise to $11.85 and tipped $5.925 under its CPI-based law. Agencies attributed changes to inflation metrics calculated by federal indices and state statutes. Employers and workers will experience adjusted pay rules starting Thursday. Based on 6 articles reviewed and supporting research.

About this summary

This 60-second summary was prepared by the JQJO editorial team after reviewing 6 original reports from DRGNews, WFMJ, https://www.cleveland19.com, WTNH, Springfield News-Leader and WKEF.

Timeline of Events

Nov 2006: Ohio voters adopt a constitutional amendment linking minimum wage to inflation.
Jan 1, 2016: South Dakota begins annual CPI-based adjustments per state law.
2019: Connecticut passes law tying annual increases to the Employment Cost Index.
2024: Missouri voters approve Proposition A setting $15.00 for Jan. 1, 2026.
Sept 2024–Aug 2025: States use CPI/ECI measurements to calculate 2026 wage increases announced before Jan. 1, 2026.