New Mexico minimum wage 2026
The minimum wage in New Mexico is $12.00 an hour in 2026. New Mexico's $12.00 has been fixed since January 1, 2023, when the last step of a 2019 law took effect; there is no inflation index. Minors and students have earned the same rate as adults since 2021, and several cities and counties, including Albuquerque, Las Cruces and Santa Fe, set rates of their own.
Contents11 sections
At a glance
| Minimum wage now | $12.00 an hour, since January 1, 2023132 |
|---|---|
| Next change | No statewide increase is in law. |
| Tipped employees | $3.00 cash wage, tip credit up to $9.00321 |
| Overtime | 1.5 times the regular rate after 40 hours a week5 · details |
| Full-time pay | $480 a week, $24,960 a year at 40 hours a week before taxes · calculate for your hours |
| Enforced by | New Mexico Department of Workforce Solutions, Labor Relations Division, 505-841-4400 |
What to know about the New Mexico minimum wage
New Mexico's $12.00 rate dates from a 2019 law, Senate Bill 437, which phased the wage up to that level on January 1, 2023, the last step being from $11.50 in 2022.3 The law has no inflation clause, and bills to go further, such as a 2025 proposal for $17 with indexing, did not pass, so $12.00 has held since 2023.
Two changes made the state rate more uniform. In 2021, Senate Bill 35 repealed the lower $8.50 rate for high school students and brought workers 18 and under who are not in school under the Act; the Department of Workforce Solutions' summary poster says there is no separate rate for students or minors.2 Tipped workers who receive more than $30 a month in tips may be paid $3.00 in cash, up from $2.80 in 2022, with tips covering the rest; they keep all tips, and pooling is allowed only among wait staff.
New Mexico also leaves room for local wages. The only state preemption clause was temporary and expired on January 1, 2010, and Albuquerque, Las Cruces, Santa Fe and Santa Fe County have their own ordinances.1 The Department of Workforce Solutions enforces the highest applicable rate. Underpaid workers can recover the unpaid wages plus interest and an additional amount equal to twice the unpaid wages, and employers must post the Act or its summary.2
Tipped employees
| Tip credit | Allowed |
|---|---|
| Minimum cash wage | $3.00 an hour321 |
| Maximum tip credit | $9.00 an hour |
Employees who regularly receive more than $30 a month in tips may be paid a cash wage of $3.00 in 2026. Tips belong to the employee, and pooling is allowed only among wait staff.
An employer that takes a tip credit must make up the difference whenever wages plus tips fall short of the full minimum wage for the workweek. See the tipped minimum wage guide.
Overtime and salaried staff
| Weekly overtime | After 40 hours in a workweek, at 1.5 times the regular rate5 |
|---|---|
| Daily overtime | None in state law |
| Exempt salary | The federal level, $684 a week ($35,568 a year) |
Time and a half after 40 hours a week under the New Mexico Minimum Wage Act.
Overtime at the minimum wage of $12.00 is $18.00 an hour. Salaried managers, administrators and professionals are exempt from overtime only if they meet the duties tests and are paid at least the exempt salary. See overtime rules in every state or calculate pay with overtime.
How the rate changes
The rate is set in NMSA 50-4-22 and changes only when the Legislature amends it. Bills to raise it and add inflation indexing, such as 2025 House Bill 246, did not pass.
Indexed to inflation: no. Not indexed; the rate changes only by legislation.5
Rate history
Who is covered
The Minimum Wage Act covers private employers of every size, and the minimum rate also binds the state and local governments. Exclusions in NMSA 50-4-21(C) include executive, administrative and professional employees and supervisors, federal employees, nonprofit volunteers, workers paid by commission, piecework or flat rate, registered apprentices and learners, certified youth-camp staff, and several kinds of agricultural work.
- Overtime is one and a half times the regular rate after 40 hours in a seven-day week; agricultural employers are exempt from overtime.
- The Healthy Workplaces Act has required paid sick leave statewide since July 1, 2022.
Local rates in New Mexico
Cities and counties may set higher minimum wages. The only preemption clause, NMSA 50-4-22.1(A), was temporary and expired on January 1, 2010, and the New Mexico Department of Workforce Solutions enforces the highest applicable rate.
Places with their own rate
- Santa Fe$15.40
- Santa Fe County (unincorporated areas)$15.40
- Las Cruces$13.01
- Albuquerque$12.00
Each local page lists that place's tiers, next change and who is covered.
Largest cities in New Mexico
- AlbuquerqueLocal $12.00
Cities of New Mexico among the 50 most populous in the US (U.S. Census Bureau, Vintage 2025 estimates for July 1, 2025). “Local” marks a city with its own minimum wage, “Regional” a state wage region, and “Federal rate” a city where the federal $7.25 is the rate that applies.
Neighboring states
If you live near a state line, the rate that applies is the one where you do the work, not where you live or where the employer is based.
| State | Per hour now |
|---|---|
| Colorado | $15.16 |
| Arizona | $15.15 |
| Oklahoma | $7.25 |
| Texas | $7.25 |
| Utah | $7.25 |
Compare every state on the ranked list and map.
Get help or file a claim
If you are paid less than the minimum wage that applies to your job, you can file a wage claim with the agency below. Federal law prohibits firing or otherwise retaliating against a worker for complaining about federal minimum wage rights.
| Agency | New Mexico Department of Workforce Solutions, Labor Relations Division |
|---|---|
| Phone | 505-841-4400 |
| The law | NMSA 1978 § 50-4-21 (definitions/exemptions); NMSA 1978 § 50-4-22 (minimum wages); NMSA 1978 § 50-4-22.1 (expired temporary preemption; saving clause) |
| Federal | U.S. Department of Labor, Wage and Hour Division, 1-866-487-9243 |
Sources
- 1 New Mexico Department of Workforce Solutions, Minimum Wage Information Checked Oct 9, 2026 · Back to text ↑
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