Under the terms of the New York State Budget, the minimum wage will rise under a phased-in schedule in different regions of the state. The budget language amended section 652 of the Labor Law, and follow the schedule detailed in the table below.

General Minimum Wage Rate Schedule








NYC – Large Employers (11 or more)







NYC – Small Employers (10 or less)







Long Island & Westchester







Remainder of New York State







* Annual increases for the rest of the state will continue until the rate reaches $15 minimum wage (and $10 tipped wage). Starting 2021, the annual increases will be published by the Commissioner of Labor on or before October 1. They will be based on percentage increases determined by the Director of the Division of Budget, based on economic indices, including the Consumer Price Index.


Effect on Tipped Employees

While the minimum wage for tipped employees of $7.50 per hour is not scheduled to increase until 12/31/19, the Tip Credit amount will rise at the same rate as the minimum wage ($0.70 on 12/31/17 and $0.70 on 12/31/18).

For example, food service workers can continue to be paid at $7.50 per hour, but the tip credit will increase to $2.90 per hour on 12/31/17. That means that these workers will need to earn at least $2.90 in tips for each hour worked in order for the employer to pay them at $10.40 per hour.
For more information, visit:

NY Dept of Labor – Labor Standards website on Wage & Hour Law