Minnesota Minimum Wage 2026: $11.41 Now, $11.87 on January 1, 2027

Minnesota’s minimum wage is $11.41 an hour in 2026, and it’s the same for every employer in the state [1]. On January 1, 2027, it rises to $11.87 [1][2]. Minnesota is one of the states that don’t let employers count tips toward the minimum, so tipped workers get the full rate plus their tips [1][3].

How the rate is set

Minnesota adjusts its minimum wage for inflation every year. By August 31, the Commissioner of Labor and Industry figures the inflation rate, and the minimum rises by that amount or 5%, whichever is less [3]. The new rate takes effect the next January 1, and it can’t go down [3]. The 2027 increase is 3.99% [2].

Training wage

For the first 90 consecutive days on the job, employers can pay workers under 20 a training wage : $9.31 an hour in 2026 and $9.68 in 2027 [1][2][3].

Tips don’t count

Minnesota law says no employer may “directly or indirectly credit, apply, or utilize gratuities” toward the minimum wage [3]. Servers, bartenders and other tipped workers must get at least $11.41 an hour from the employer, plus any tips they earn [1].

Local minimum wages

Minneapolis. $16.37 an hour in 2026 and $17.02 from January 1, 2027, regardless of employer size or the worker’s age [5]. It rises every January 1 with inflation, capped at 5% [5]. It covers anyone who works at least 2 hours in Minneapolis in a week, even for an employer based outside the city [5].

St. Paul. The rate depends on business size [6]:

• Macro (10,001+ workers) and large (101 to 10,000): $16.37 since January 1, 2026.
• Small (6 to 100): $16.37 since July 1, 2026.
• Micro (5 or fewer): $14.25 since July 1, 2026, and $15.00 from July 1, 2027.

St. Paul’s macro and large businesses move to the city rate on January 1, 2027, and small businesses on July 1, 2027 [6]. Check the city’s rate table for the dollar amount.

Who isn’t covered

The state minimum wage law excludes some workers. Among them [4]:

• executive, administrative and professional employees, and outside salespeople,
• volunteers for nonprofit organizations,
• elected officials and unpaid members of public boards,
• taxicab drivers and babysitters who work as sole practitioners,
• seasonal staff at organized resident or day camps,
• some farm workers, including small salaried farm crews,
• workers whose hours are set by federal transportation rules.

If you’re paid less than you’re owed

1. Contact the state. Call the Department of Labor and Industry’s Labor Standards unit at 651-284-5075 or email dli.laborstandards@state.mn.us. An investigator will reach out and take your information by phone: your employer’s name and contact details, your pay rate, unpaid hours and missed pay dates [7].

2. Sue your employer. Minnesota lets workers sue directly in district court [8]. You can recover the unpaid wages, overtime and tips, plus an equal amount as liquidated damages [8]. You can’t give up this right by agreeing to work for less [8].

The deadline is generally two years. It’s three years if the nonpayment was willful, or if the employer doesn’t hand over payroll records when the department asks [9].

Other states

Comparing Minnesota with its neighbors? See the minimum wage in every state on BestAmerica.