Minnesota’s Minimum Wage Set To Go Up!

Minnesota is set to see a significant rise in the state's minimum wage soon.

Minnesota currently operates a dual minimum wage system based on employer size and worker characteristics.

Large businesses in Minnesota with annual revenues exceeding $500,000 are required to pay their employees at least $10.85 per hour.

A lower minimum wage of $8.85 per hour applies to three categories:

• employees of small businesses
• workers under 18 years of age
• and individuals working on J-1 visas.

On Jan 1, 2025, Minnesota's minimum wage is set to increase to $11.13 per hour.

That could add up to a 26% raise for some workers in the state.

This change reflects ongoing efforts to address income inequality and ensure livable wages for employees.

The wage hike is part of Minnesota's indexed minimum wage system which adjusts the rate annually based on inflation.

This approach helps maintain the purchasing power of low-wage workers over time, as their earnings keep pace with rising living costs.