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DC Minimum Wage 2026: $18.40 an Hour and Tipped Wage Rules

The DC minimum wage is $18.40 an hour as of July 1, 2026, up from $17.95. It applies to all employers in Washington, D.C., regardless of size. Tipped workers can be paid a base wage of $10.30 an hour, but only if tips bring their total pay up to at least $18.40; otherwise, the employer must make up the difference. The rate rises every July 1 with inflation. This guide explains who is covered, how the tipped wage works, overtime rules, and what to do if your employer underpays you.

DC minimum wage: quick facts

TopicDetails
Minimum wage (from July 1, 2026)$18.40 per hour
Previous rate (July 1, 2025)$17.95 per hour
Tipped base wage (from July 1, 2026)$10.30 per hour, with tips making up the rest
Employer sizeApplies to all employers, regardless of size
Annual adjustmentEvery July 1, based on local inflation
Overtime1.5 times the regular rate after 40 hours a week
Enforcement agencyDC Department of Employment Services (DOES), Office of Wage-Hour

What is the DC minimum wage in 2026?

According to the DOES 2026 minimum wage notice, the DC minimum wage rose from $17.95 to $18.40 per hour on July 1, 2026. The increase applies to all workers, regardless of the size of the employer. As a result, a full-time worker at the minimum wage earns about $38,272 a year before taxes.

D.C. law adjusts the rate each July 1 using the Consumer Price Index for the Washington area. Therefore, the next change is expected on July 1, 2027, and DOES usually announces it in the spring.

Tipped minimum wage in DC

Employers can pay tipped workers, such as servers and bartenders, a lower base wage of $10.30 per hour as of July 1, 2026, up from $10.00. However, the base wage plus tips must equal at least $18.40 an hour. If tips fall short in a week, the employer must pay the difference.

What happened to Initiative 82?

In 2022, D.C. voters approved Initiative 82, which planned to phase out the separate tipped wage by 2027. In 2025, however, the D.C. Council changed that plan. Under the amended law, the tipped base wage rises more slowly and is capped at 75% of the full minimum wage, a level expected to be reached in 2034. In other words, D.C. still has a tipped wage, but it continues to rise over time.

Who is covered by the DC minimum wage?

  • Employees who spend more than half their working time in the District
  • Employees based in D.C. who do not spend more than half their working time in any other single state
  • Full-time, part-time and temporary workers, regardless of employer size

Some workers are exempt, such as bona fide executive, administrative and professional employees, certain outside salespeople, and some students working for their own school. In addition, D.C. government contractors and grant recipients may owe a higher living wage under a separate law.

Overtime and other pay rules

  • Overtime: Most workers must receive 1.5 times their regular rate for hours over 40 in a workweek.
  • Paid sick leave: D.C. requires most employers to provide paid sick and safe leave.
  • Pay notices: Employers must give workers written notice of their pay rate and payday.
  • Posters: Employers must display the current D.C. minimum wage poster where employees can see it.

What to do if you are paid less than the minimum wage

  1. Keep records. Save pay stubs, schedules and notes of the hours you worked.
  2. Raise it with your employer. Mistakes sometimes happen, especially right after the July 1 increase.
  3. File a complaint with DOES. The Office of Wage-Hour handles complaints. You can call 202-671-1880 or email owh.ask@dc.gov.
  4. Consider legal help. D.C. wage theft law allows workers to recover unpaid wages plus additional damages, and it protects workers from retaliation for complaining.

If you are owed money from an employer, our guide to being a claimant explains how claims work.

How DC compares with Maryland, Virginia and federal law

JurisdictionMinimum wage
Washington, D.C.$18.40 (from July 1, 2026)
Maryland$15.00
VirginiaBelow $13, adjusted each January
Federal minimum wage$7.25

When federal, state and local minimum wages differ, the employer must pay the highest rate that applies. The U.S. Department of Labor keeps a list of state minimum wage laws. For D.C. business taxes, see our guide to DC sales tax.

Conclusion: the DC minimum wage in brief

The DC minimum wage is $18.40 an hour from July 1, 2026, one of the highest in the country. Tipped workers can earn a $10.30 base wage, but tips must bring them to at least $18.40, and the amended Initiative 82 schedule will keep raising the tipped wage until it reaches 75% of the full rate.

If your pay falls short, keep records and contact DOES or a licensed employment attorney. More plain-English guides are in our Law section.

Frequently asked questions

What is the minimum wage in DC right now?

$18.40 per hour, effective July 1, 2026.

What is the DC tipped minimum wage?

$10.30 per hour as of July 1, 2026, as long as tips bring total pay to at least $18.40 an hour.

When does the DC minimum wage go up?

Every July 1, based on inflation in the Washington area. The next increase is expected on July 1, 2027.

Does the DC minimum wage apply to small businesses?

Yes. It applies to all employers, regardless of size.

Where do I report unpaid wages in DC?

Contact the DOES Office of Wage-Hour at 202-671-1880 or owh.ask@dc.gov.

Sources

  • DC Department of Employment Services: 2026 Minimum Wage Increase Notice
  • U.S. Department of Labor: State minimum wage laws
  • Ballotpedia: Initiative 82 and the 2025 D.C. Council amendment
  • D.C. Code Title 32, Chapter 10 (Minimum Wage Revision Act)

Last updated: October 14, 2026.