State-by-State Guide to 2024 Minimum Wage Rate Increases

Dec 22, 2023 | Domestic Workers' Rights, GTM Blog, Tax & Wage Laws

Did you know that nearly half of U.S. states will boost their minimum wage rate at some point in 2024? Most increases will happen on January 1. Do not get caught with a costly wage violation if your nanny’s pay rate slips below minimum wage. Here is a state-by-state guide to 2024 minimum wage rates.

Minimum wage rates are on the rise for 2024 in many states, counties, and cities across the country.

Nannies and other household employees are covered by the Fair Labor Standards Act, which means they must be paid the prevailing minimum wage rate.

The federal minimum wage rate was raised to $7.25/hour in 2009. Since then, states, counties, and cities have established their own, higher rates, which then became the applicable rate. In fact, half of the U.S. states will increase their minimum wage rates in 2024.

In California, for example, right now the minimum wage rate is $15.50/hour for employers with 25 or fewer employees. That supersedes the federal rate and becomes the applicable rate for household employers. However, if you live in San Fransisco, Los Angeles, or more than 25 other California cities with a higher local minimum wage, then that city rate applies. For example, Los Angeles has a $16.78/hour rate, which would be the hourly minimum wage for a nanny working in that city.

It is important to keep an eye on the minimum wage especially if you pay close to or at that rate. Some states and cities automatically increase their rates annually.

Paying anything less than minimum wage is a wage violation and can cause trouble for the family with household help. A household employer can be sued by their worker for back wages and be fined by their state’s labor agency for not following minimum wage rates.

To help keep you compliant, here are the states and cities increasing their minimum wage rates in 2024. To see all states and cities, visit our Minimum Wage Rates page.

States and cities increasing their minimum wage rates in 2024

These rates are effective on January 1, 2024, unless otherwise noted.

State	2024 Hourly Rate
Arizona	$14.35
California	$16
Colorado – Boulder County	$15.69
Colorado – Denver	$18.29
Colorado – Edgewater	$15.02
Connecticut	$15.69
Delaware	$13.25
Florida	$13 (effective September 30, 2024; until then $12/hr)
Hawaii	$14
Illinois	$14
Maine	$14.15
Maine – Portland	$15
Maine – Rockland	$15
Maryland	$15
Michigan	$10.30
Minnesota – Minneapolis	$15.57 (effective July 1, 2024)
Minnesota – St. Paul	$12.25 (for 5 or fewer employees; effective July 1, 2024; until then $11.50/hr)
Missouri	$12.30
Montana	$10.30
Nebraska	$12
Nevada	$12 (effective July 1, 2024)
New Jersey	$13.73 (for 5 or fewer employees)
New Mexico – Las Cruces	$12.36
New York State	$15 ($17.55/hour for home health care aides)
New York – NYC, Long Island, Westchester	$16 ($18.55/hour for home health care aides)
Oregon	May be adjusted on July 1, 2024, based on an increase, if any, to the Consumer Price Index for All Urban Consumers.
South Dakota	$11.20
Vermont	$13.67
Washington	$16.28
Washington – Seattle	$19.97 (or $17.25/hour if the employer pays $2.72/hour towards an employee’s medical benefits)

More than 20 California cities will increase their minimum wage rate in 2024. Visit our Minimum Wage Rates page for details.

GTM can help

Need help understanding how to pay your nanny the right way? Besides minimum wage rates, you need to know overtime rules, domestic worker protections, paid leave laws, and more. Leave all of that to the household employment experts at GTM Payroll Services. We will pay your nanny, withhold and remit state and federal taxes, and handle all of the paperwork. Want to learn more? Call us at (800) 929-9213 for a complimentary, no-obligation consultation, or schedule time with us at your convenience.