New York minimum wage regions
Three regions, two rates. Here’s which New York minimum wage applies to your employees in 2027, and the exceptions to watch.
This is general information, not tax or legal advice — talk with your tax advisor about your own situation.
New York doesn’t have a single minimum wage. The state is split into New York minimum wage regions, and the rate you pay depends on where your employees work and, for some jobs, the kind of work they do.
On January 1, 2027 the general rates stay the same as 2026. Here’s what each region pays, who has a different rate, and what to check before your first payroll of the year.
The New York minimum wage regions and their 2027 rates
The New York State Department of Labor sets minimum wage rates for three regions. Two of them share the same rate.
- New York City: the five boroughs, which are Bronx, Queens, Richmond (Staten Island), Kings (Brooklyn) and New York (Manhattan) counties.
- Long Island and Westchester: Nassau, Suffolk and Westchester counties.
- Rest of New York State: every other county in the state.
| Region | Minimum wage from Jan 1, 2027 |
|---|---|
| New York City | $17.00 an hour |
| Long Island and Westchester | $17.00 an hour |
| Rest of New York State | $16.00 an hour |
Rates can rise each year with inflation, but state law includes conditions, known as off-ramps, that can stop an automatic increase. One of those conditions was met for 2027, so the general rates don’t change on January 1. The Governor has proposed changing the off-ramp rules, so keep an eye out for updates.
Which rate applies to your employees
The minimum wage is based on where an employee performs the work, not where your main office is. A company based on Long Island with employees working upstate pays those employees the rest-of-state rate at minimum, and the reverse is true too.
When an employee works in two regions, say Westchester and New York City, you can pay the higher rate for all hours, or pay each hour at the rate for the region where it was worked. If you pay different rates, you need records of the hours worked at each rate, and every rate the employee earned has to appear on their pay stub.
The Department of Labor’s Minimum Wage Lookup Tool is the quickest way to confirm a rate for a specific location and type of work.
If you run payroll with PayNortheast, each employee’s minimum wage is set up by region when they’re added, so the right rate follows them from the first pay run.
Tipped workers have their own rates
Hospitality employers can pay tipped employees a lower cash wage and take a tip credit, as long as tips bring the employee up to the full minimum wage. Only hospitality employers are allowed to take a tip credit.
| From Jan 1, 2027 | NYC, Long Island and Westchester | Rest of state |
|---|---|---|
| Tipped service employees | $14.15 cash wage, $2.85 tip credit | $13.30 cash wage, $2.70 tip credit |
| Tipped food service workers | $11.35 cash wage, $5.65 tip credit | $10.70 cash wage, $5.30 tip credit |
Home care aides are the exception for 2027
Home care aides are the one group whose minimum wage does go up on January 1, 2027: to $20.00 an hour in New York City, Long Island and Westchester, and $19.00 an hour in the rest of the state. Home care rates are adjusted for inflation but capped at $3.00 above the standard minimum wage.
Overtime still applies on top of these rates. Non-exempt employees earn one and a half times their regular rate of pay for hours over 40 in a workweek. When an employee is paid different rates for different hours, the regular rate is their gross earnings divided by the hours worked.
How PayNortheast handles New York minimum wage
Minimum wage is part of how we set up payroll. Your dedicated account manager helps match each employee to the right region and pay type, and real people review every payroll. It’s part of our New York payroll services for employers across the state.
- Minimum wage set by region: New York City, Long Island and Westchester, or the rest of the state.
- Tipped wages and tip credits applied for hospitality employers, with reported tips included in every pay run.
- Federal, New York State and local payroll taxes calculated, deposited and filed.
Before your first payroll of 2027
- Confirm the region for every work location, especially if employees split time between locations.
- Check tipped cash wages and tip credits if you run a restaurant or other hospitality business.
- Update home care aide pay rates to the new January 1 minimums.
- Post the current minimum wage poster for your industry where employees can see it.
Every business is a little different. If you’re unsure how these rules apply to yours, talk with your tax advisor or the Department of Labor.
Sources: New York State Department of Labor, Minimum Wage; New York State Department of Labor, Minimum Wage Frequently Asked Questions