Minimum Wage by State 2026: Your Real Take-Home Pay
See the 2026 minimum wage in every state, plus realistic full-time take-home pay after federal tax, FICA, and state income tax. Gross vs. net, explained.
Disclaimer: This article is for educational purposes only and is not tax, legal, or financial advice. Tax rules change periodically, always check current IRS/state guidance or consult a professional.
Quick Answer: Minimum Wage Is Not What You Keep
The 2026 federal minimum wage is still $7.25 per hour, and thirty states plus Washington, D.C. set a higher rate. But the hourly number on a job listing is gross pay, not what lands in your bank account.
A full-time worker at $7.25/hr earns $15,080 gross a year and takes home about $13,926 after FICA, with $0 federal income tax. Two workers earning the exact same wage in different states can end up with different net pay. Use the Pay44 paycheck calculator to see the figure for your state.
Key Takeaways
- The federal minimum wage is frozen at $7.25. It has not changed since July 2009, the longest stretch without an increase in the program’s history.
- State rates range from $7.25 to nearly $18. Washington, D.C. tops the list at $17.95, and Washington state is the highest of the 50 states at $17.13.
- Most minimum wage workers owe $0 federal income tax. Full-time federal-minimum earnings of $15,080 fall under the 2026 standard deduction of $16,100.
- FICA still applies to every dollar. Social Security and Medicare take 7.65% of gross pay no matter how low your wage is.
- State income tax decides the rest. Nine states tax no wage income, so the same hourly rate produces different take-home pay depending on where you work.
What the Federal and State Minimum Wages Are in 2026
The federal minimum wage is $7.25 per hour. It was set there on July 24, 2009, and has not moved since. That is the longest period without an increase since the federal minimum wage began in 1938.
States can set their own higher rates, and most do. In 2026, 30 states plus Washington, D.C. have a minimum wage above the federal floor. Roughly 20 states still use $7.25, either by adopting it directly or by having no state minimum wage law at all.
The top of the range looks very different from the bottom. Washington, D.C. has the highest minimum wage in the country at $17.95 per hour. Washington state is the highest of the 50 states at $17.13, making it the first state to cross the $17.00 mark statewide.
Around 20 states raised their minimum wage in 2026. Most increases took effect on January 1, including California at $16.90, Hawaii at $16.00, Arizona at $15.15, and Connecticut at $16.94. A few states use mid-year dates instead. Alaska rises to $14.00 on July 1, 2026, and Florida steps up to $15.00 on September 30, 2026. If you are reading this in the middle of the year, check whether your state’s increase has already kicked in.
Gross Pay vs. Take-Home Pay: Why the Headline Number Lies
The hourly rate on a job posting is your gross pay, the amount before anything is withheld. What you actually spend is your net pay, and the gap between the two is real money.
Three things come out of a minimum wage paycheck:
- FICA taxes. Social Security takes 6.2% and Medicare takes 1.45%, for a combined 7.65%. No deduction or exemption shelters low earners from this. It applies to your very first dollar of wages.
- Federal income tax. This is calculated on your taxable income, which is gross pay minus the standard deduction. For most full-time minimum wage workers, taxable income is zero, so federal income tax is zero.
- State income tax. This depends entirely on where you live. Nine states do not tax wage income at all. The rest do, at rates that vary.
Here is what that looks like at the federal minimum wage. A full-time schedule of 40 hours per week for 52 weeks at $7.25/hr produces $15,080 in gross annual pay.
- Gross annual pay: $15,080.00
- FICA (7.65%): $1,153.62
- Federal income tax: $0 (earnings fall under the $16,100 standard deduction)
- Take-home pay, no-income-tax state: roughly $13,926.38
The 7.65% FICA bite is the part many workers miss. You can owe nothing in income tax and still see your paycheck shrink before it reaches your bank account. On a 40-hour week at $7.25, that is about $22.19 gone to FICA, leaving roughly $267.81.
Want a per-paycheck breakdown for any wage and state? The Pay44 calculator tools handle hourly input, pay frequency, and pre-tax deductions.
2026 Minimum Wage and Estimated Take-Home Pay by State
The table below shows the 2026 minimum wage for each state, the annual gross at a full-time schedule (40 hours per week, 52 weeks), and an estimated annual net for a single filer. Net figures assume the 7.65% FICA deduction and $0 federal income tax. State income tax, where it applies, is a small additional reduction not reflected in the gross-based net estimate, so treat the net column as a close approximation.
| State | 2026 Minimum Wage | Annual Gross (Full-Time) | Estimated Annual Net |
|---|---|---|---|
| Alabama | $7.25 | $15,080 | ~$13,926 |
| Alaska | $14.00 (from 7/1) | $29,120 | ~$26,892 |
| Arizona | $15.15 | $31,512 | ~$29,101 |
| Arkansas | $11.00 | $22,880 | ~$21,130 |
| California | $16.90 | $35,152 | ~$32,463 |
| Colorado | $15.16 | $31,533 | ~$29,120 |
| Connecticut | $16.94 | $35,235 | ~$32,540 |
| Delaware | $15.00 | $31,200 | ~$28,813 |
| Florida | $15.00 (from 9/30) | $31,200 | ~$28,813 |
| Georgia | $7.25 | $15,080 | ~$13,926 |
| Hawaii | $16.00 | $33,280 | ~$30,734 |
| Idaho | $7.25 | $15,080 | ~$13,926 |
| Illinois | $15.00 | $31,200 | ~$28,813 |
| Indiana | $7.25 | $15,080 | ~$13,926 |
| Iowa | $7.25 | $15,080 | ~$13,926 |
| Kansas | $7.25 | $15,080 | ~$13,926 |
| Kentucky | $7.25 | $15,080 | ~$13,926 |
| Louisiana | $7.25 | $15,080 | ~$13,926 |
| Maine | $15.10 | $31,408 | ~$29,005 |
| Maryland | $15.00 | $31,200 | ~$28,813 |
| Massachusetts | $15.00 | $31,200 | ~$28,813 |
| Michigan | $13.73 | $28,558 | ~$26,374 |
| Minnesota | $11.41 | $23,733 | ~$21,917 |
| Mississippi | $7.25 | $15,080 | ~$13,926 |
| Missouri | $15.00 | $31,200 | ~$28,813 |
| Montana | $10.85 | $22,568 | ~$20,841 |
| Nebraska | $15.00 | $31,200 | ~$28,813 |
| Nevada | $12.00 | $24,960 | ~$23,051 |
| New Hampshire | $7.25 | $15,080 | ~$13,926 |
| New Jersey | $15.92 | $33,114 | ~$30,580 |
| New Mexico | $12.00 | $24,960 | ~$23,051 |
| New York | $16.50 | $34,320 | ~$31,694 |
| North Carolina | $7.25 | $15,080 | ~$13,926 |
| North Dakota | $7.25 | $15,080 | ~$13,926 |
| Ohio | $11.00 | $22,880 | ~$21,130 |
| Oklahoma | $7.25 | $15,080 | ~$13,926 |
| Oregon | $15.05 | $31,304 | ~$28,909 |
| Pennsylvania | $7.25 | $15,080 | ~$13,926 |
| Rhode Island | $16.00 | $33,280 | ~$30,734 |
| South Carolina | $7.25 | $15,080 | ~$13,926 |
| South Dakota | $11.85 | $24,648 | ~$22,762 |
| Tennessee | $7.25 | $15,080 | ~$13,926 |
| Texas | $7.25 | $15,080 | ~$13,926 |
| Utah | $7.25 | $15,080 | ~$13,926 |
| Vermont | $14.42 | $29,994 | ~$27,699 |
| Virginia | $12.77 | $26,562 | ~$24,530 |
| Washington | $17.13 | $35,630 | ~$32,904 |
| West Virginia | $8.75 | $18,200 | ~$16,808 |
| Wisconsin | $7.25 | $15,080 | ~$13,926 |
| Wyoming | $7.25 | $15,080 | ~$13,926 |
| Washington, D.C. | $17.95 | $37,336 | ~$34,480 |
Some states schedule increases mid-year, so the wage shown reflects the 2026 rate after that change. Alaska and Florida are noted in the table. A handful of states also tie future increases to inflation, which can move the figure slightly from one year to the next.
The States Where Minimum Wage Stretches Furthest (and Least)
The gross-wage spread is wide. A full-time minimum wage worker in Washington, D.C. earns $37,336, while a worker in Texas or Mississippi earns $15,080. That works out to a difference of more than $22,000 for the same hours worked.
State income tax can widen or narrow that gap. Consider three workers, all on a full-time minimum wage schedule:
- California at $16.90: high gross pay, but California taxes wage income, so a slice of the paycheck goes to the state.
- Washington at $17.13: high gross pay and no state income tax, so the worker keeps a larger share than a California worker earning a similar rate.
- Texas at $7.25: low gross pay, but no state income tax. The take-home rate is high as a percentage, yet the dollar total is still less than half of either high-wage state.
Nine states levy no income tax on wages in 2026: Texas, Florida, Nevada, Washington, Wyoming, South Dakota, Tennessee, Alaska, and New Hampshire. A minimum wage worker in one of these states keeps slightly more of each paycheck than a worker earning the identical hourly rate in a state that does tax wages.
One caveat matters here. A higher minimum wage does not automatically mean a higher standard of living. States with the highest minimum wages, like Washington, California, and the District of Columbia, also tend to have higher housing and living costs. Comparing two states fairly means looking at what the net pay can actually buy. The Pay44 comparison pages line up two states side by side so the difference is easier to see.
Do Minimum Wage Workers Owe Federal Income Tax?
For a full-time federal-minimum-wage worker, the answer is usually no. Here is the math.
The 2026 standard deduction for a single filer is $16,100. Federal income tax is calculated on taxable income, which is gross pay minus the standard deduction. A full-time worker at $7.25/hr earns $15,080. Subtract the $16,100 deduction and taxable income is zero. Zero taxable income means zero federal income tax.
This is genuinely useful to know. A minimum wage worker filing a return typically owes nothing in federal income tax and may receive a refund of any amount that was withheld during the year.
FICA is the exception. Social Security and Medicare have no standard deduction and no low-income exemption. The 7.65% comes out of every paycheck no matter how small the wage. That is the one tax a minimum wage worker cannot escape.
There is also the Earned Income Tax Credit, or EITC, a refundable credit for low and moderate earners. A worker with qualifying children can receive a substantial EITC. A childless single worker gets a much smaller credit, maxing out around $664 in 2026. Childless low earners are the group most likely to be taxed into or near poverty by FICA, since the EITC does little to offset it for them. If you worked a minimum wage job in 2026, it is worth checking whether you qualify when you file.
Calculate Your Own Minimum Wage Take-Home Pay
Tables give you an estimate. Your real paycheck depends on details a table cannot capture: your exact hours, your pay frequency, your filing status, and any pre-tax deductions.
Here is how to get a precise figure with Pay44:
- Pick your state. This applies the correct state income tax rules, including the nine states with no wage tax.
- Switch to hourly mode. Enter your minimum wage rate and the hours you actually work each week. Part-time hours change the picture significantly.
- Set your filing status. Single, married, or head of household all use different standard deductions and brackets.
- Add any pre-tax deductions. Health insurance premiums or retirement contributions reduce taxable wages and change your net pay.
- Read the breakdown. Pay44 shows the result per pay period, so you can see exactly what each paycheck will be, not just an annual total.
That per-pay-period view is the one that helps with budgeting. Knowing your annual gross is fine for a job offer, but planning rent and groceries means knowing what hits your account every week or every two weeks.
You can run the numbers on the Pay44 home page or browse the full set of calculator tools for hourly, salary, and bonus scenarios. If you want to download the app for on-the-go calculations, head to the download section.
Frequently Asked Questions
What is the minimum wage in 2026?
The federal minimum wage in 2026 is $7.25 per hour, unchanged since July 2009. State minimum wages vary widely: 30 states plus Washington, D.C. set rates above the federal floor, while roughly 20 states still use $7.25. Washington, D.C. is highest overall at $17.95 per hour.
How much do you take home a year on minimum wage after taxes?
A full-time worker at the $7.25 federal minimum wage earns $15,080 gross per year. After the 7.65% FICA deduction (about $1,154) and $0 federal income tax, take-home pay is roughly $13,926 in a state with no income tax. In a state with income tax, the net figure is slightly lower.
Do minimum wage workers pay federal income tax?
Usually not. The 2026 standard deduction for a single filer is $16,100, which is higher than the $15,080 a full-time federal-minimum-wage worker earns. With taxable income at zero, federal income tax is zero. FICA still applies, though, so 7.65% of every paycheck is withheld regardless.
Which state has the highest minimum wage in 2026?
Washington, D.C. has the highest minimum wage in 2026 at $17.95 per hour. Among the 50 states, Washington state is the highest at $17.13 per hour and was the first state to set a statewide minimum wage above $17.00.
Why is take-home pay different in two states with the same minimum wage?
Federal income tax and FICA are the same everywhere, but state income tax is not. Nine states levy no income tax on wages, so a minimum wage worker there keeps more of each paycheck than a worker earning the identical hourly rate in a state that does tax wages.
How much is $7.25 an hour per week after taxes?
At $7.25 per hour for a 40-hour week, gross pay is $290. After the 7.65% FICA deduction of about $22.19 and $0 federal income tax, weekly take-home pay is roughly $267.81 in a no-income-tax state. State income tax, where it applies, reduces this slightly.
Which states are raising the minimum wage in 2026, and when?
Around 20 states raised the minimum wage in 2026. Most increases took effect on January 1, including California ($16.90), Hawaii ($16.00), Arizona ($15.15), and Connecticut ($16.94). Some states use mid-year dates: Alaska rises to $14.00 on July 1, 2026, and Florida rises to $15.00 on September 30, 2026.
Does working minimum wage full-time qualify you for the Earned Income Tax Credit?
It can. A full-time minimum wage worker with low earnings may qualify for the Earned Income Tax Credit. For a childless single worker in 2026, the credit is small, maxing out around $664. Workers with qualifying children can receive substantially larger EITC amounts.
Related Reading
- FICA Taxes Explained: Rates, Limits & Your Paycheck (2026) — A full breakdown of the 7.65% that comes out of every minimum wage paycheck.
- Pay44 Calculator Tools — Hourly, salary, and bonus calculators for any state and filing status.
- State-by-State Comparisons — Line up two states side by side to see how take-home pay differs.
References
- U.S. Department of Labor — State Minimum Wage Laws — Current minimum wage rates for every state and the District of Columbia.
- U.S. Department of Labor — History of the Federal Minimum Wage — Record of federal minimum wage changes, including the July 2009 increase to $7.25.
- National Conference of State Legislatures — State Minimum Wages — State-by-state rates and scheduled increases, including mid-year changes.
- IRS — Tax Inflation Adjustments for Tax Year 2026 — The 2026 standard deduction amounts and other inflation-adjusted figures.
- Center on Budget and Policy Priorities — Policy Basics: The Earned Income Tax Credit — How the EITC works for workers with and without qualifying children.
- HR Dive — Minimum Wage Increases for 2026 — Summary of state minimum wage increases taking effect in 2026.
Frequently Asked Questions
What is the minimum wage in 2026?
The federal minimum wage in 2026 is $7.25 per hour, unchanged since July 2009. State minimum wages vary widely: 30 states plus Washington, D.C. set rates above the federal floor, while roughly 20 states still use $7.25. Washington, D.C. is highest overall at $17.95 per hour.
How much do you take home a year on minimum wage after taxes?
A full-time worker at the $7.25 federal minimum wage earns $15,080 gross per year. After the 7.65% FICA deduction (about $1,154) and $0 federal income tax, take-home pay is roughly $13,926 in a state with no income tax. In a state with income tax, the net figure is slightly lower.
Do minimum wage workers pay federal income tax?
Usually not. The 2026 standard deduction for a single filer is $16,100, which is higher than the $15,080 a full-time federal-minimum-wage worker earns. With taxable income at zero, federal income tax is zero. FICA still applies, though, so 7.65% of every paycheck is withheld regardless.
Which state has the highest minimum wage in 2026?
Washington, D.C. has the highest minimum wage in 2026 at $17.95 per hour. Among the 50 states, Washington state is the highest at $17.13 per hour and was the first state to set a statewide minimum wage above $17.00.
Why is take-home pay different in two states with the same minimum wage?
Federal income tax and FICA are the same everywhere, but state income tax is not. Nine states levy no income tax on wages, so a minimum wage worker there keeps more of each paycheck than a worker earning the identical hourly rate in a state that does tax wages.
How much is $7.25 an hour per week after taxes?
At $7.25 per hour for a 40-hour week, gross pay is $290. After the 7.65% FICA deduction of about $22.19 and $0 federal income tax, weekly take-home pay is roughly $267.81 in a no-income-tax state. State income tax, where it applies, reduces this slightly.
Which states are raising the minimum wage in 2026, and when?
Around 20 states raised the minimum wage in 2026. Most increases took effect on January 1, including California ($16.90), Hawaii ($16.00), Arizona ($15.15), and Connecticut ($16.94). Some states use mid-year dates: Alaska rises to $14.00 on July 1, 2026, and Florida rises to $15.00 on September 30, 2026.
Does working minimum wage full-time qualify you for the Earned Income Tax Credit?
It can. A full-time minimum wage worker with low earnings may qualify for the Earned Income Tax Credit. For a childless single worker in 2026, the credit is small, maxing out around $664. Workers with qualifying children can receive substantially larger EITC amounts.