Ohio Minimum Wage Will Rise to $11.40 in 2027
The pay increase for Ohio workers takes effect January 1, 2027, as mandated by annual inflation adjustments.
Updated on Oct. 2, 2026 in Employment
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Starting January 1, 2027, the minimum wage for non-tipped workers in Ohio will increase to $11.40 per hour. This 3.5% adjustment applies to employees at businesses with annual gross receipts exceeding $420,000.
Why it matters
This annual raise is required by a 2006 voter-approved constitutional amendment designed to keep local wages aligned with inflation. It ensures that qualifying workers see their base pay scale with changes in the cost of living.
The state minimum wage for non-tipped employees is rising to $11.40 per hour, a 3.5% increase based on inflation data from the period ending August 2026. Tipped employees will see their base pay increase to $5.70 per hour.
The players
Ohio House Commerce and Labor Committee
A legislative body that oversees bills related to workplace regulations and labor standards.
The details
The new wage levels reflect a 3.5% increase calculated from the Consumer Price Index for Urban Wage Earners and Clerical Workers during the period of September 2025 through August 2026. While the state-mandated rate rises, workers at smaller businesses with annual gross receipts of $420,000 or less remain tied to the federal minimum wage of $7.25 per hour. Employers are required to display the official 2027 Ohio Minimum Wage poster to ensure transparency for their staff.
Timeline
2006: Voters approved the constitutional amendment for wage adjustments.
September 2025 - August 2026: The inflation measurement period for the 2027 increase.
February 2025: House Bill 34 was introduced to the legislature.
January 1, 2027: The new minimum wage rate takes effect.
Money Landscape
This adjustment continues the state's long-standing policy of automatic inflation-based wage scaling set by voters in 2006. It ensures minimum pay remains responsive to economic shifts rather than requiring new legislative action each year.
Workers should review their pay stubs beginning in January to ensure their hourly rate reflects the new $11.40 minimum if their employer exceeds the $420,000 revenue threshold. If you have questions about your specific pay classification, consult with a qualified professional or labor advisor.
The takeaway
The state minimum wage increase marks a predictable shift for workers and employers as of the new year. Ensure your payroll information remains current and check your employer's revenue status if you currently earn at or near the federal minimum wage.
Further reading
For more information on labor regulations, visit the Ohio Employment section.
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Should minimum wage in your area continue to be automatically adjusted for inflation every year?
