Washington State Minimum Wage 2024 and 2025: Everything You Need to Know

All workers in Washington State (WA) are entitled to receive an hourly Minimum Wage rate according to Washington Labor Laws and the Fair Labor Standards Act (FLSA). This Minimum Wage requirement includes a special wage rate for minors. In addition, the cities of Seattle and SeaTac have their own minimum wage as well.

Employees must be compensated for all hours worked in Washington State, and such compensation must be compliant with Washington Minimum Wage Law.

Effective 01/01/2024:

In areas outside Seattle, SeaTac, and Tukwila, the Washington State Minimum Wage is $16.28 per hour, effective as of 01/01/2024.

Minimum wage is the cornerstone for all Washington Payroll Laws, and so it is crucial to keep your business up to date.

Effective 01/01/2023:

In areas outside Seattle and SeaTac, the Washington State Minimum Wage is $15.74 per hour, effective as of 01/01/2023.  

Washington State Minimum Wage in 2024

In addition to the state as a whole, both Seattle and SeaTac also increased their local minimum wage rates for 2024 (see below sections).

Additionally, Tukwila set its own minimum wage standard as of January 1st, 2024.

Washington State Minimum Wage Schedule

Every September, the Washington State Department of Labor and Industries evaluates the cost-of-living and adjust the minimum wage accordingly. Each year, a minimum wage update will be announced on September 30th, and take effect on January 1st of the following year.

Important to note for Washington State Employers is that all tips and services charges must be paid to the employee, and they can not be counted toward an employee's hourly minimum wage.

Employers must also ensure they understand Federal Overtime-Exempt requirements as well as state overtime requirements, in order to fully manage compliance with wage and payroll requirements.

Washington State Minimum Wage in 2025

In areas outside Seattle, SeaTac, and Tukwila, the Washington State Minimum Wage will increase to $16.66 per hour on January 1st, 2025.

Seattle, SeaTac, and Tukwila are also expected to increase their local minimum wage rates (see below).

WA Minimum Wage Qualifications

Most agricultural and non-agricultural jobs qualify for the minimum wage. However, there are certain exemptions. 

Exemptions to WA Minimum Wage

Employers can apply for a sub-minimum wage certificate for the following types of workers:

• Certificated on-the-job learners (no less than 85%)
• Certificated student workers and student learners (no less than 75%)
• Certificated workers with disabilities
• Certain apprentices
• Certain minors
• Jobs exempt from the Minimum Wage Act

Special Wage Rate for Minors

In Washington State, employees who are between the ages of 14 and 15 may be compensated at a wage rate of no less than 85% of the minimum wage. 

Local Washington State Minimum Wage Rates

The cities of Seattle, SeaTac, and Tukwila currently have separate minimum wage rates.

Seattle Minimum Wage

The Seattle Minimum Wage is $19.97 per hour, effective as of 01/01/2024 for all businesses with 501 or more employees (large employers). 

For Seattle businesses with 500 employees or less (small employers), employers may compensate employees at a wage rate of $17.25 per hour, if the employer pays $2.72 per hour toward medical benefits, or the employee earns at least that much per hour in tips.

As of January 1st, 2025, all employers in Seattle will be subject to the same new minimum wage rate of $20.76 per hour.

SeaTac Minimum Wage

The SeaTac Minimum Wage is $19.71 per hour for Hospitality and Transportation Industry employers only, as of 01/01/2024.

On January 1st, 2025, the minimum wage rate for Hospitality and Transportation Industry employers will increase to $20.17 per hour.

Tukwila Minimum Wage

Tukwila Minimum Wage applies to employers who have 15 or more workers worldwide and earn more than $2 million in annual gross revenue in Tukwila.

The minimum wage differs depending on employer size. For employers with over 500 employees (large employers), the minimum wage is $20.29 per hour in Tukwila. 

For mid-sized employers, (employers covered under the law with 500 employees or fewer) the minimum wage is $19.29 per hour.

As of January 1st, 2025, the following minimum wage updates will take place:

• Large Employers: $21.10
• Mid-Sized Employers: $20.10

As of July 1st, 2025, the minimum wage rate for mid-sized employers will increase again to $21.10, the same as large employers. 

Bellingham Minimum Wage

As of May 1st, 2024, the minimum wage in Bellingham is $17.28 per hour. 

As of January 1st, 2025, the minimum wage will increase to $17.66 per hour. It will increase again on May 1, 2025 to be $2 more than the state minimum wage. If nothing changes, that will be $18.66 per hour. 

Going forward past May 2025, Bellingham minimum wage will increase January 1st of each year, to be $2 above the state rate. 

Burien Minimum Wage

As of October 28th, 2024, Burien passed its own minimum wage law that applies to employers with over 20 employees. The rates will go into effect on January 1st, 2025. 

The applicable wage rate depends on the "Level" of the employer, which depends on the following:

• Level 1 - State Minimum Wage + $4.50 - all employers, including franchisees, that employ more than 500 full-time employees in King County or franchisors who employ more than 500 FTEs in the aggregate.
• Level 2 - State Minimum Wage + $3.50 - all employers, including franchisees, that employ 21 – 499 full-time employees in King County
• Level 3 - State Minimum Wage - all employers with 20 or fewer full-time employees

Renton Minimum Wage

The city of Renton passed its own minimum wage rule on July 1st, 2024.

Currently, for the rest of 2024, the minimum wage in Renton depends on the employer's size. 

For large employers (more than 500 employees worldwide and certain franchises) the minimum wage is $20.29. For mid-sized employers (at least 15 but no more than 500 employees worldwide or over $2 million of annual gross revenue in Renton) the minimum wage is $18.29. Important to note is that employers who are not defined as a "Large" or "Mid-Sized" employer are exempt from Renton minimum wage.

As of January 1st, 2025, the rates will increase as follows:

• Large Employers -  $20.90
• Mid-Sized Employers - $18.90

On July 1st, 2025, the mid-sized employer rate will increase again to $19.90. 

Staying Prepared for Washington State Minimum Wage Updates

If the business you work in is located in Washington State, or even more importantly Seattle, SeaTac, or Tukwila, it is going to need to prepare for an increase in the minimum wage every year.

Companies with a plethora of workers who are compensated at the minimum wage will experience a rise in staffing costs, which can be disruptive to business operations if unprepared.

Here are some things the business should do to prepare for the future Washington State Minimum Wage Updates:

• Review & Update Budgets
• Review HCM Technology and Payroll Solutions
• Review & Document Policies

Businesses can also stay ahead of minimum wage updates by utilizing a labor law poster subscription service.

Get Help with WA Minimum Wage Compliance

Managing compliance with minimum wage might seem straightforward initially, "pay employees at least this much", but in a state like Washington with varying rules depending on employee type and business location, things can get tricky. 

For instance, regardless of Washington State At-Will Employment, employers may not fire or otherwise retaliate against an employee who exercises a protected right, files or intends to file a complaint, or who has discussed potential violations of their rights under Washington State Minimum Wage.

Business that are struggling with minimum wage compliance may want to consider reaching out to a Washington Payroll company for assistance. 

To learn more about how PayNW is helping countless businesses in Washington with minimum wage compliance through modern payroll software, contact us today.

Watch our payroll demo video below, and learn more about how our payroll software can help ensure that you are meeting minimum wage requirements.