Minimum Wage Rates for Household Employees Set to Rise this Summer

Jun 23, 2022 | Hiring an Employee, Household Payroll & Taxes, Tax & Wage Laws

Summer is a popular time for minimum wage rate increases that apply to nannies and other household employees. It’s important to check the rate you’re paying a household worker to make sure it is not a wage violation. Rates are on the rise in several states and cities across the country.

It’s that time of year again. Beach. Barbeques. Vacation. And minimum wage hikes for nannies and household employees.

July 1 is a popular time for states and cities to increase their minimum wage rates. Major cities like Chicago, Los Angeles, and San Francisco are will impose rate hikes, so it’s a good time to check the hourly rate you’re paying to a nanny, senior caregiver, or housekeeper and make sure it’s still compliant with the law.

Why the minimum wage rate is important to household employers

The federal Fair Labor Standards Act states that nannies and other household employees need to be paid hourly (not a salary) and at least the prevailing minimum wage rate. While the federal rate has remained unchanged at $7.25/hour for several years, many states, counties, and cities have increased their rates above the federal level. The highest applicable minimum wage applies.

States and cities also have annual, built-in increases that boost their minimum wage rates so it is important to understand when and by how much these rates will climb.

Get a complete listing of all state, county, and local minimum wage rates for nannies and other household employees.

Minimum wage increases on July 1, 2022

Alameda, California

Increases to $15.75/hour

Berkeley, California

Increases to $16.99/hour

Chicago, Illinois

Increases to $15.40/hour for all domestic workers (regardless of the number employed by the family)

Connecticut

Increases to $14/hour

District of Columbia

Increases to $16.10/hour

Emeryville, California

Increases to $17.68/hour

Foster City, California

Increases to $15.75/hour

Fremont, California

Increases to $16/hour

Los Angeles, California (city)

Increases to $16.04

Los Angeles, California (county)

Increases to $15.96/hour

Malibu, California

Increases to $15.96/hour

Maryland – Montgomery County

Increases to $14/hour (for employers with 10 or fewer workers)

Milpitas, California

Increases to $16.40/hour

Minneapolis, Minnesota

Increases to $13.50/hour (for employers with 100 or fewer workers)

Nevada

Increases to $10.50/hour (without employee health benefits) and $9.50/hour (with qualified employee health benefits)

Oregon

Portland: Increases to $14.75/hour

Standard: Increases to $13.50/hour

Non-urban counties: Increases to $12.50/hour

To determine which rate applies to your county, visit Oregon Minimum Wage Rate Summary.

Pasadena, California

Increases to $16.11/hour

St. Paul, Minnesota

Increases to $10.75/hour (for employers with five or fewer workers)

San Francisco, California

Increases to $16.99/hour.

Santa Monica, California

Increases to $15.96/hour.

West Hollywood, California

Increases to $16/hour (for employers with less than 50 workers)

Minimum wage increase on September 30, 2022

Florida

Increases to $11/hour

GTM can help

Have questions about paying your nanny? Get help from a household employment expert who will answer your questions about employing someone to work in your home. The consultation is free and there is no obligation. Just call (800) 929-9213 or schedule time with us at your convenience.