Minimum Wage in New Mexico
State-specific overview · Employment Law
New Mexico's minimum wage increases annually on January 1 based on inflation adjustments.
How New Mexico treats Minimum Wage
New Mexico ties its minimum wage to the federal minimum wage but increases it annually for inflation using a specific formula. As of 2024, the state minimum wage exceeds the federal rate. Employers must pay the higher of the state or federal minimum wage. The state has no exceptions for tipped employees; all workers receive the same minimum wage floor.
The general definition of Minimum Wage
The lowest hourly wage an employer is legally required to pay employees.
Minimum wage is the lowest hourly rate that employers must pay workers by law. The federal minimum wage in the United States is currently $7.25 per hour, but many states and cities have set their own higher minimums. Employers cannot pay workers less than the applicable minimum wage, even if the worker agrees to it. The minimum wage applies to most employees, though some categories (like certain trainees or workers with disabilities) may have exceptions. Violations can result in lawsuits, penalties, and back-pay owed to employees.
Read the full Minimum Wage entry →This page is a plain-English reference and is not legal advice. State laws change frequently. For specific situations consult a licensed attorney in New Mexico.