Virginia Minimum Wage Rises in 2026: Here is the New Hike Rate

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Virginia Minimum Wage 2026: Virginia workers will earn more money from the start of 2026. The Virginia Department of Labor and Industry has confirmed that the state’s minimum wage will increase to $12.77 per hour on January 1, 2026. This new rate will apply to all employers who have workers covered under the state’s minimum wage law. The change follows existing rules and does not depend on any new legislation. The state updates the wage step by step to match rising living costs and economic conditions across the United States.

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Officials say this increase helps workers keep up with daily expenses while also keeping Virginia attractive for companies that want to hire people and grow their business in the state.

Why the Minimum Wage is Going Up?

The minimum wage increase is linked directly to inflation. Each year, Virginia reviews wages using the Consumer Price Index for Urban Consumers, known as CPI-U. This data comes from the US Department of Labor and tracks how prices change over time. According to DOLI Commissioner Gary G. Pan, the law is clear about how this works. He said, “Virginia’s Minimum Wage Act allows for a gradual adjustment of the minimum wage based on economic conditions.”

In 2025, the minimum wage in Virginia stands at $12.41 per hour. The CPI-U showed a 2.9% rise in prices for 2024. When the state applied this % increase to the current wage, it reached the new figure of $12.77 per hour. This rate will stay in place until January 1, 2027, when the next review happens.

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Who is Eligible for the New Wage?

Most workers in Virginia will benefit from this change. This includes full-time, part-time, and temporary employees. Some jobs do not fall under the rule, such as certain seasonal roles or specific occupations listed as exemptions under state law.

Tipped workers follow a slightly different system. Employers can still pay a base wage of $2.13 per hour under federal law. However, when tips are added, the total pay must reach at least $12.77 per hour. If tips fall short, the employer must make up the difference.

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