Do you know the 2027 New York minimum wage? As in previous years, different rates apply depending on where employees work and, in some cases, the industry. But this year brings an unusual development: the general minimum wage will remain unchanged on January 1.
New York’s inflation-based increase has been paused under an exception in the law. Home care aides will receive an increase, however, and Governor Hochul has proposed legislation that could raise other rates later in 2027.
The tables below compare the 2026 rates with the rates currently announced for January 1, 2027.
Standard New York Minimum Wage
For most private employers, the following 2027 New York minimum wage rates apply beginning January 1.
General Minimum Wage Rate Schedule
| Location | 2026 | January 1, 2027 |
|---|---|---|
| NYC, Long Island, & Westchester | $17.00 | $17.00 |
| Remainder of New York State | $16.00 | $16.00 |
The applicable rate depends on where an employee performs the work, rather than where the employer’s main office is located. NYDOL’s guidance addresses employees who work in more than one minimum wage region.
These general rates also apply to covered non-teaching employees of public school districts and BOCES. Most other governmental employees are excluded from New York’s minimum wage law, although federal requirements may apply.
Why Isn’t the Minimum Wage Increasing?
After scheduled increases through 2026, New York’s minimum wage was set to begin annual inflation adjustments in 2027. The adjustment uses the Consumer Price Index for Urban Wage Earners and Clerical Workers in the Northeast region.
But the law also contains economic conditions, commonly called “off-ramps,” that prevent an automatic increase. One of those conditions has been triggered for 2027. As a result, the general minimum wage will stay at its 2026 level on January 1.
Minimum Wage for Tipped Employees in the Hospitality Industry
New York maintains separate minimum wage rules for employees in restaurants and hotels. For qualifying tipped employees, employers may count a limited portion of employees’ tips toward the minimum wage requirement.
The hospitality industry has separate cash wage and tip credit schedules for food service workers and service employees. These rates will also remain unchanged on January 1, 2027.
Food Service Workers
Food service workers primarily serve food or beverages and regularly receive tips. Examples include waitstaff, bartenders, and bussing personnel. Delivery workers are excluded from this classification.
Hospitality Industry Tipped Minimum Wage Rate Schedule
(Food Service Workers)
| Location | 2026 | January 1, 2027 |
|---|---|---|
| NYC, Long Island, & Westchester | $11.35 Cash / $5.65 Tip Credit | $11.35 Cash / $5.65 Tip Credit |
| Remainder of New York State | $10.70 Cash / $5.30 Tip Credit | $10.70 Cash / $5.30 Tip Credit |
Service Employees
The next schedule applies to qualifying tipped service employees who are not food service workers or fast food employees. Eligibility depends on receiving tips at or above a separate minimum tip threshold.
Hospitality Industry Tipped Minimum Wage Rate Schedule
(Service Employees)
| Location | 2026 | January 1, 2027 |
|---|---|---|
| NYC, Long Island, & Westchester | $14.15 Cash / $2.85 Tip Credit | $14.15 Cash / $2.85 Tip Credit |
| Remainder of New York State | $13.30 Cash / $2.70 Tip Credit | $13.30 Cash / $2.70 Tip Credit |
These schedules do not automatically authorize an employer to take a tip credit. Employers must satisfy the applicable requirements, including restrictions involving non-tipped work and minimum tip thresholds. Overtime for tipped employees is generally calculated using one and one-half times the full minimum wage, less the permitted tip credit—not one and one-half times the reduced cash wage.
Minimum Wage for Home Care Aides
Unlike the general minimum wage, the home care aide minimum wage will increase on January 1, 2027.
Home Care Aide Minimum Wage Rate Schedule
| Location | 2026 | January 1, 2027 |
|---|---|---|
| NYC, Long Island, & Westchester | $19.65 | $20.00 |
| Remainder of New York State | $18.65 | $19.00 |
Home care aide rates follow a separate inflation adjustment, subject to a cap of $3 above the general minimum wage. The general minimum wage off-ramp does not prevent this increase.
Overtime Threshold
New York’s minimum salary requirements for the executive and administrative overtime exemptions increase proportionately when the general minimum wage increases. With the January 2027 increase paused, the existing thresholds remain applicable under current requirements.
Executive & Administrative Exemption Weekly Salary Threshold Schedule
| Location | 2026 | January 1, 2027 |
|---|---|---|
| NYC, Long Island, & Westchester | $1,275.00 | $1,275.00 |
| Remainder of New York State | $1,199.10 | $1,199.10 |
Meeting the salary threshold is only part of qualifying for an exemption. Employees must also satisfy the applicable duties and other requirements.
New York does not impose a minimum salary requirement for its professional exemption. However, most professional employees must satisfy the federal salary or fee requirement, currently $684 per week. Different rules apply to qualifying teachers and practitioners of law or medicine.
Could the Rates Increase Later in 2027?
Governor Hochul has proposed changing the off-ramp provisions to allow an inflation-based increase effective March 1, 2027. Under the proposal, the general minimum wage would increase to $17.60 in NYC, Long Island, and Westchester, and $16.55 elsewhere. Home care aide rates would rise to $20.30 and $19.30, respectively. Other rates, including the exemption salary thresholds, would likely also increase in proportion to the corresponding minimum wage increase.
These are proposed rates, not enacted requirements. The Legislature would have to approve the changes. Employers should monitor the proposal before treating the January rates as their payroll requirements for the entire year.
Prepare Now for the 2027 New York Minimum Wage
Even with the general minimum wage holding steady in January, employers should review their compensation practices before the new year.
You may need to:
- Increase covered home care aides’ hourly wages effective January 1;
- Confirm that employees receive the proper rate for their work location;
- Review tip credits and overtime calculations;
- Check exempt employees’ salaries and job duties; and
- Monitor the proposed March increase and any resulting changes to wage orders.
For historical rates and additional background, see our New York Minimum Wage Guide. You can also follow Horton Law on LinkedIn for updates on New York employment law.
