New Mexico Minimum Wage (2026)
Built & reviewed by Nandu Kannan · Overtime rules cited to primary statutes
New Mexico's minimum wage is $12.00 an hour in 2026. New Mexico's $12.00 is a statewide floor; Santa Fe and Las Cruces set higher local rates.
New Mexico minimum-wage pay calculator
Pre-set to New Mexico's $12.00 minimum. Change the hours, add overtime, and see weekly, monthly and annual gross pay update instantly.
Gross pay before taxes, at New Mexico's minimum wage. Overtime at 1.5× the regular rate (federal FLSA); some states add daily overtime — see the state overtime calculator. Not payroll advice.
Tipped minimum wage in New Mexico
The tipped minimum cash wage in New Mexico is $3.00 an hour in 2026. Employers may claim a tip credit of up to $9.00 an hour against the full $12.00 minimum.
How the tip credit works: the employer pays the cash wage, and your tips count toward the minimum. If your cash wage plus tips don't add up to the full $12.00 for every hour worked, your employer must make up the difference.
Tipped rates as of January 2026, from the U.S. Department of Labor — Minimum Wages for Tipped Employees. Local and industry rules can differ and rates change — verify with your state labor office before relying on these figures.
When will New Mexico's minimum wage go up?
New Mexico has no scheduled minimum-wage increase. New Mexico holds at $12.00 with no scheduled increase. The statewide rate is not indexed to inflation (a 2025 CPI-indexing bill was not enacted), though Santa Fe and Las Cruces raise their local minimums separately.
Want to see the next change in every state? See our 2026–2027 minimum wage increases by state.
Scheduled increases verified as of June 2026, from the U.S. Department of Labor and the EPI Minimum Wage Tracker. Future inflation-indexed rates are set by the state later and are not predicted here. Dates and amounts can change — verify with your state labor office before relying on them.
New Mexico minimum wage vs. the federal minimum
The federal minimum wage is $7.25 an hour. New Mexico's effective minimum is $12.00 — $4.75 above the federal floor. Where state and federal minimums differ, employers must pay whichever is higher.
Minimum-wage pay & overtime
At $12.00 an hour, overtime (1.5×) is $18.00 per hour. 1.5× after 40 hours in a workweek. No daily overtime. Run your own numbers with the New Mexico overtime calculator or convert it to a yearly figure with the salary to hourly calculator.
Frequently asked questions
What is the minimum wage in New Mexico in 2026?
The minimum wage in New Mexico is $12.00 per hour as of 2026. New Mexico's $12.00 is a statewide floor; Santa Fe and Las Cruces set higher local rates.
How much is New Mexico's minimum wage per year?
At $12.00 an hour, full-time (40 hours a week, 52 weeks) is about $24,960 a year before taxes, or $480 a week.
Is New Mexico's minimum wage higher than the federal minimum?
Yes. New Mexico's $12.00 is above the federal minimum of $7.25. When state and federal minimums differ, employers must pay the higher rate.
What is overtime pay on New Mexico's minimum wage?
Overtime is 1.5× your regular rate, so a minimum-wage worker at $12.00 earns $18.00 per overtime hour. 1.5× after 40 hours in a workweek. No daily overtime.
What is the tipped minimum wage in New Mexico?
The tipped minimum cash wage in New Mexico is $3.00 an hour in 2026. Employers may claim a tip credit of up to $9.00 an hour, but the cash wage plus tips must still reach the full $12.00 minimum — if it falls short, the employer must make up the difference.
Do tipped workers get full minimum wage in New Mexico?
Not always in direct cash. New Mexico lets employers pay a lower cash wage of $3.00 and count tips toward the minimum (a "tip credit"). But your cash wage plus tips must add up to at least the full $12.00 minimum for every hour — if it doesn't, your employer must pay the difference.
When does New Mexico's minimum wage increase?
New Mexico has no scheduled minimum-wage increase. New Mexico holds at $12.00 with no scheduled increase. The statewide rate is not indexed to inflation (a 2025 CPI-indexing bill was not enacted), though Santa Fe and Las Cruces raise their local minimums separately.
What will New Mexico's minimum wage be in 2027?
Under current law New Mexico's minimum wage is expected to be about $12.00 an hour in 2027, unchanged from 2026, because there is no inflation indexing beyond any already-scheduled step. New Mexico holds at $12.00 with no scheduled increase. The statewide rate is not indexed to inflation (a 2025 CPI-indexing bill was not enacted), though Santa Fe and Las Cruces raise their local minimums separately.
Rate as of January 2026, from the U.S. Department of Labor. Cities and counties may set higher local minimums, and rates change — confirm with your state labor office. General information, not legal or payroll advice.
Related
What's a minimum-wage paycheck after taxes in New Mexico?
Minimum wage by state · New Mexico overtime · Overtime by state · Salary to Hourly
States with a similar minimum wage
Nevada — $12.00 · South Dakota — $11.85 · Minnesota — $11.41 · Virginia — $12.77 · Alaska — $13.00