New York minimum wage in 2026 (and 2027)

Two rates, set by region

New York's minimum wage comes in two regional rates set by the state: $17.00 for the five boroughs of New York City, Nassau and Suffolk counties on Long Island, and Westchester, and $16.00 everywhere else, from Buffalo and Rochester to Albany and Syracuse.

Food service workers who receive tips can be paid a lower cash wage: $11.35 an hour downstate (a $5.65 tip credit) and $10.70 upstate (a $5.30 credit). Only hospitality employers may use a tip credit, and other tipped job categories such as service employees have different rules. If tips do not cover the gap, you pay it.

City and county minimum wages in New York

Why there is no 2027 raise

After the last scheduled step, New York indexed its minimum wage to inflation with a safeguard: the increase is skipped in years when certain economic conditions are met. That off-ramp was triggered for 2027, so the Department of Labor's table dated January 1, 2027 shows the same $17.00 and $16.00. The Governor has proposed changing the off-ramp, but that is a proposal, not law, as of October 2026.

Home care aides are the exception, rising to $20.00 downstate and $19.00 elsewhere on January 1, 2027.

New York minimum wage per week, month and year

Annual amounts use a 2,080-hour year:

• NYC, Long Island, Westchester: $17.00 x 2,080 = $35,360.00 a year, $2,946.67 a month, $680.00 a week.
• Rest of state: $16.00 x 2,080 = $33,280.00 a year, $2,773.33 a month, $640.00 a week.
• Food service cash wage, downstate: $11.35 x 2,080 = $23,608.00 a year before tips.

Time and a half after 40 hours makes an overtime hour $25.50 at the downstate minimum.

Employer cost on a $17.00 New York worker

New York taxes the first $17,600 of each worker's pay for unemployment, against $7,000 for FUTA, so the state bill ($721.60) is far larger than the federal one. Two insurance programs add cost too. Paid Family Leave is withheld from the worker at 0.432% of wages, up to $411.91 a year. Disability benefits insurance is bought through an insurer; the worker pays 0.5% of wages up to $0.60 a week and you fund the rest, so get a premium quote. New York City and Yonkers also withhold local income tax, covered in our NYC and Yonkers tax guide. Full registration steps are in the New York payroll tax guide.

Paying New York staff correctly

The two-rate system catches employers with sites in both regions, or with staff who move between them. Payroll software that ties each employee to a work location handles it. Gusto lists Simple at $49 a month plus $6 per person and Plus, which adds time tracking, at $80 plus $12 per person (checked October 16, 2026). Alternatives are ranked in the payroll software rankings and price a hire with the employee cost calculator.

Neighboring rates: New Jersey is $15.92 for most employers and Pennsylvania is $7.25.