Minimum Wage by State: The $10.68 Gap Nobody Talks About

Jul 29, 2026 2 min read Paycheck Calculator 2026
Minimum Wage by State: The $10.68 Gap Nobody Talks About
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Two workers, same job, same hours, same effort. One earns $7.25 an hour. The other earns $17.95. The only difference between them is which state line they happen to live on.

Here's the full 2026 picture.

THE FEDERAL FLOOR HASN'T MOVED IN 17 YEARS

The federal minimum wage has been $7.25 an hour since July 2009. It has not been raised once since then — the longest stretch without an increase in the history of the federal minimum wage. A full-time worker at this rate earns $15,080 a year before taxes.

THE HIGHEST RATES IN THE COUNTRY

Washington, D.C. currently holds the highest minimum wage in the nation at $17.95 an hour. Washington State follows closely at $17.13. Beyond the state level, some individual cities go even further — Tukwila, Washington requires large employers to pay $21.65 an hour, among the highest mandated minimum wages anywhere in the US.

Nineteen states plus D.C. now require at least $15.00 an hour, including California, New York, New Jersey, Massachusetts, Illinois, and Colorado.

THE LOWEST RATES IN THE COUNTRY

Twenty states remain anchored to the federal $7.25 floor, with no state minimum wage law raising it further. Georgia and Wyoming technically list a state minimum of just $5.15 an hour on the books — but because the vast majority of employers are covered by the federal Fair Labor Standards Act, those workers are still legally entitled to at least $7.25.

THE GAP THIS CREATES

At full-time hours, the difference between the lowest and highest minimum wage states is over $22,000 a year in gross pay — before any cost of living is factored in. And higher minimum wage states often also carry a significantly higher cost of living, so the real financial gap between states is more complicated than the hourly number alone suggests.

WHY THIS MATTERS BEYOND MINIMUM WAGE JOBS

Minimum wage increases tend to compress the entire lower half of the pay scale — when the wage floor rises, jobs paying just above minimum often see pressure to increase as well to maintain a gap. If you work in retail, food service, hospitality, or entry-level roles, your state's minimum wage trajectory directly affects your own negotiating position, even if you're already earning above it.

What's the minimum wage where you live — and does it feel like enough?

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