As Temps Rise, So Do Minimum Wage Rates Across the Country

Jun 2, 2023 | Domestic Workers' Rights, GTM Blog, Tax & Wage Laws

minimum-wage-july-2023

It’s that time of year again for many minimum wage rates to increase. Now is a good time to check the hourly rate you’re paying a nanny, senior caregiver, or housekeeper and make sure it’s still compliant with the law.

It’s that time of year again for many minimum wage rates to increase.

Now is a good time to check the hourly rate you’re paying a nanny, senior caregiver, or housekeeper and make sure it’s still compliant with the law.

Why household employers should pay attention to minimum wage rates

The federal Fair Labor Standards Act states that nannies and other household employees are required 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 with some now approaching $20/hour. The highest applicable minimum wage of the federal, state, and local rates applies.

You may also see larger-than-normal minimum wage rate increases as some are tied to the consumer price index or inflation. As those factors rise, so does the minimum wage.

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, 2023

State/County/City

Current Hourly Rate

Rate on July 1, 2023

California – Alameda $15.75 $16.62
California – Berkeley $16.99 $18.07
California – Emeryville $17.68 $18.67
California – Freemont $16 $16.80
California – Los Angeles (city) $16.04 $16.78
California – Los Angeles (county) $15.96 $16.90
California – Malibu $15.96 $16.90
California – Milpitas $16.40 $17.20
California – Pasadena $16.11 $16.93
California – San Francisco (city and county) $16.99 $18.07
California – Santa Monica (for small employers) $15.96 $16.90
California – West Hollywood $17 $19.08
Illinois – Cook County $13.35 $13.70
Maryland – Montgomery County $14 $14.50
Minnesota – Minneapolis (less than 100 employees) $13.50 $14.50
Minnesota – St. Paul (less than 6 employees) $10.75 $11.50
Nevada $10.50 & $9.50* $11.25 & $10.25*
Oregon – Portland $14.75 $15.45
Oregon – Standard $13.50 $14.20
Oregon – Non-urban counties $12.50 $13.20
Washington, D.C. $16.10 $17
Washington State – Tukwila $15.74 $16.99

* – In Nevada, the lower rate applies if your employee receives qualified health benefits.

GTM can help

Managing nanny payroll and taxes on your own can get tricky. Especially with all of the ever-changing tax, wage, and labor laws that you need to follow. Let GTM Payroll help remove the risks, hassles, and worries of nanny payroll. We’ll make payday a breeze with direct deposit for your employee so they’re paid on time, every time. We’ll also take care of all taxes and remit them to state and federal agencies. To learn more or sign up, call (800) 929-9213 and get a complimentary, no-obligation consultation with a household employment expert. Or schedule time with us at your convenience.

Download The Complete Guide to Household Payroll

Get our complimentary guide and learn everything you need to know about paying your employees legally and filing your taxes the right way.

Free Consultation

On your household
employment
situation

Learn More

 

 

Free Consultation

On your household
employment
situation

Learn More

Subscribe to our Blog

The weekly Household Employer Digest delivered to your inbox.

Learn more and subscribe.

Get a Free Consultation

Get help from our experts on how to manage your household tax and payroll.

Call Today!
800-929-9213

Mon – Fri 8:30 am – 8 pm ET

Pin It on Pinterest

Share This