COLUMBUS — Ohio’s minimum wage will increase on January 1, 2026, following an annual inflation adjustment required under state law, according to the Ohio Department of Commerce.
The minimum wage for non-tipped employees will rise to $11.00 per hour, up from $10.70 in 2025. The tipped minimum wage will increase to $5.50 per hour, up from $5.35. Employers are still required to ensure that tipped employees earn at least the full minimum wage when tips are included.
The adjustment is required under a constitutional amendment approved by Ohio voters in 2006. That amendment mandates that the minimum wage be updated each year based on inflation, using the Consumer Price Index.
Who the Increase Applies To
The updated wage applies to employees working for businesses with annual gross receipts exceeding $405,000, an increase from the current threshold of $394,000.
For businesses earning less than that amount, as well as for 14- and 15-year-old workers, the minimum wage remains tied to the federal rate of $7.25 per hour, unless federal law changes.
State Guidance for Employers
The Ohio Department of Commerce reminded employers that they are responsible for complying with the updated wage rates and posting the required minimum wage notices in the workplace.
Updated posters and compliance resources are available through the department’s Wage and Hour Administration.
Economic Context
State officials said the increase reflects inflation pressures and is intended to help low-wage workers maintain purchasing power as costs for housing, food and utilities remain elevated.
Labor advocates continue to argue that Ohio’s minimum wage remains below a living wage in many parts of the state. Proposals introduced in the Ohio Legislature earlier this year would gradually raise the minimum wage to $15 per hour by the end of the decade, though no such legislation has been enacted.
What Comes Next
The new wage rates take effect statewide on January 1, 2026. Employers are expected to update payroll systems before the start of the new year, while workers earning near the minimum wage can expect a small increase in hourly pay.
Additional details and compliance information are available through the Ohio Department of Commerce