As 2026 begins, Missouri employers must be aware of a notable change to payroll practices. The state’s minimum wage has increased, effective January 1, 2026, marking the completion of a phased wage boost approved by Missouri voters years ago.
Missouri Minimum Wage and Tipped Employee Pay
Effective January 1, 2026, Missouri’s minimum wage will increase to $15.00 per hour for most workers. That’s up from $13.75 per hour in 2025.
For tipped employees, employers must pay at least 50% of the minimum wage, $7.50 per hour, plus any amount necessary to bring the employee’s total compensation to at least $15.00 per hour.
Note: According to the Missouri Department of Labor & Industrial Relations, under recent changes to Missouri law, specifically House Bill 567 signed in July 2025, future annual adjustments for inflation will no longer occur starting in 2027. The $15 minimum wage will remain in effect unless the law is changed again.
Who Must Comply
Most employers in Missouri must pay workers at least $15.00 per hour. However, some smaller employers, such as retail or service businesses with annual gross receipts under $500,000, may be exempt from the state minimum wage requirement. In that case, they may pay wages negotiated with their workers, provided they still meet the federal minimum wage.
Additionally, the federal Fair Labor Standards Act (FLSA), which sets federal minimum wage provisions, may impose higher or different wage standards depending on the employer or job category. Businesses should always confirm whether federal requirements apply.
What Employers Should Do Now
To stay compliant and protect your workforce in 2026, here are a few practical steps:
- Update payroll and timekeeping systems to reflect the new minimum wage.
- Display the updated Missouri Minimum Wage Notice where employees can easily view it.
- Check your business to see if you are subject to the state or federal wage laws to ensure full compliance.
- Stay informed by subscribing to a Labor Law Poster Replacement Service to ensure you stay in compliance in 2026.
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