Effective January 1, 2024, New Jersey’s statewide minimum wage is $15.13 for most employees. A law signed in 2019 gradually raised the minimum wage to $15 per hour by 2024 for most employees. The minimum wage will now continue to increase annually based on any increase in the Consumer Price Index (CPI).

The New Jersey Department of Labor and Workforce Development (NJDOL) sets the minimum wage for the coming year using the rate specified in the law or a calculation based on the CPI, whichever is higher.

Seasonal and small employers were given until 2026 to pay their workers $15 per hour. The minimum hourly wage for these employees increased to $13.73 per hour, up from $12.93.

Agricultural workers are guided by a separate minimum wage timetable and were given until 2027 to reach the $15 per hour minimum wage. Employees who work on a farm for an hourly or piece-rate wage saw their minimum hourly wage increase to $12.81, up from $12.01. Additionally, long-term care facility direct care staff saw their minimum wage rise by $1, to $18.13.

Tipped workers’ minimum cash wage rate remained at $5.26/hour, with employers able to claim a $9.87 tip credit, a $1increase in the maximum allowable tip credit. If the minimum cash wage plus an employee’s tips do not equal at least the state minimum wage, then the employer must pay the employee the difference. For example, if a tipped worker works 40 hours and earns $200 in tips in one week, equaling $5 per hour, the employer must pay the worker $10.13/hour for that week in order to meet the State’s $15.13/hour minimum wage requirement. If, however, a tipped worker works 40 hours and earns $600 in tips in a given week, the employer only has to pay $5.26/hour (the minimum cash wage) for that week because the worker received $15/hour in tips. In that case, the employer was able to use the maximum tip credit of $9.87 since the tips ($15/hour) exceeded $9.87. See Tipped Workers in NJ: Rights and Protections (from the New Jersey Department of Labor & Workforce Development) for more information.

New Jersey employers are also required to give their state employees notices about the employees’ rights under certain state and federal laws. These notices need to be posted and followed.

This information last reviewed: Feb 15, 2024