2026 Vermont Minimum Wage
The 2026 Vermont Minimum Wage is $14.42.
Effective 2026-01-01Source: State Minimum Wage Laws (DOL)Verified 2026-09-01
Compared with 2025
| Item | 2025 | 2026 | Change |
|---|---|---|---|
| Hourly | $14.01 | $14.42 | +$0.41 (+2.9%) |
Who it applies to
Employers of two or more employees in Vermont, and their employees: the Department of Labor's table opens Vermont's entry with that coverage line before giving the basic minimum rate, which many other entries in the table do not do. The entry also records premium pay after designated hours on a weekly basis, states that the Vermont minimum wage is adjusted annually based on a set formula, and states that the State minimum wage is automatically replaced with the federal minimum wage rate if it is higher than the State minimum. The table does not display subminimum rates for minors, students or trainees.
What changed this year, and why
The U.S. Department of Labor's table of state minimum wage laws, updated July 1, 2026, lists Vermont's basic minimum rate as $14.42 per hour, under a coverage line reading that it is applicable to employers of two or more employees. The entry adds that the Vermont minimum wage is adjusted annually based on a set formula, but names no next date and no next amount, and no earlier year of this record is published here, so this page states no year-over-year change.
Common questions
- What is the minimum wage in Vermont in 2026?
- It is $14.42 per hour. That is the basic minimum rate the U.S. Department of Labor lists for Vermont in its State Minimum Wage Laws table, in the version updated July 1, 2026. The entry gives that rate under a coverage line for employers of two or more employees, and the figure published here is read from that entry and from nothing else.
- Does the Vermont minimum wage apply to very small employers?
- The table's Vermont entry opens with a coverage line reading that it is applicable to employers of two or more employees, and gives the basic minimum rate beneath that heading. The Department of Labor's table states no separate rate for employers below that count and does not say what wage law reaches them. The entry records the condition and nothing further about it.
- Is the Vermont minimum wage adjusted every year?
- Yes. The entry states that the Vermont minimum wage is adjusted annually based on a set formula. The table names neither the inputs to that formula nor the date on which an adjusted rate takes effect, and it gives no future amount, so this page publishes only the rate the table listed as of July 1, 2026.
- What happens if the federal minimum wage is higher than Vermont's?
- The entry states that the State minimum wage is automatically replaced with the federal minimum wage rate if it is higher than the State minimum. That clause sits in Vermont's entry itself and is not one the table attaches to most other jurisdictions. As the table stands, Vermont's basic minimum rate of $14.42 per hour is above the federal rate the same table cites for states with no minimum wage law of their own.
- Does the Vermont minimum wage change again during 2026?
- The table lists no dated step for Vermont inside the year. The entry states an annual adjustment based on a set formula but attaches no effective date or later amount to it, so nothing in the source names a further change within 2026. A new rate would appear here only after the department republishes the table and this record is verified against it again.
- Does Vermont require overtime pay after a set number of hours?
- The entry records premium pay after designated hours and states a weekly hour threshold, with no daily threshold beside it. The table's own footnote says the overtime premium rate is time and one-half the employee's regular rate unless otherwise specified. The hour count stays in the department's table; this page publishes the verified hourly rate rather than restating the threshold.
- Is there a separate tipped minimum wage in Vermont?
- The Department of Labor's state table lists one basic minimum rate per hour for Vermont and no separate cash wage for tipped employees, so this page does not publish one. The same table states plainly that differential provisions are not displayed in it, naming subminimum rates for minors and students and training wages for new hires as its examples.
- Where does the $14.42 figure on this page come from?
- From the Wage and Hour Division's State Minimum Wage Laws table at dol.gov, in the snapshot captured for this record, where the Vermont entry gives the basic minimum rate per hour as $14.42. The division notes on the same page that it tries to ensure the information is accurate and that individuals should consult the relevant state labor office for official information.
Every amount on this page is a published figure rather than yours. The Minimum wage pay calculator takes the number you enter and works it out against them, showing which published figure it used.
Minors, students and training wages: who may be paid less than the rate on this page
The federal minimum wage shown on this page is the general floor, but the Fair Labor Standards Act allows certain workers to be paid less. States may establish subminimum wage rates for minors and students, grant exemptions that keep some workers outside minimum wage coverage entirely, or authorize a lower training wage for newly hired employees. These special categories are not reflected in the rate displayed here. Employers who hire young workers, learners, or trainees must check whether their state permits a reduced wage for those groups and, if so, what conditions and time limits apply. The $14.42 hourly rate on this page is the baseline that applies to covered, nonexempt adult workers unless a specific statutory exception lowers the obligation for a particular class of employee.
Some states set subminimum rates for minors and/or students or exempt them from coverage or have a training wage for new hires.
State Minimum Wage Laws (DOL)
When a city or county sets a higher minimum wage
The $14.42 hourly minimum wage on this page is the federal or statewide floor, but cities and counties are free to set a higher local minimum wage that applies within their boundaries. When a local rate exceeds the state rate shown here, employers in that jurisdiction must pay the local amount to covered workers. These local variations are not displayed in the table on this page, so the figure shown may understate what an employee is actually owed in a particular city or county. Workers and employers in areas with a local minimum wage ordinance should verify whether their municipality or county has adopted a higher rate and whether any industry-specific or small-business exemptions apply to that local floor.
Some local governments set minimum wage rates higher than their respective state minimum wage. Such differential provisions are not displayed in this table.
State Minimum Wage Laws (DOL)
Overtime is paid at one and one-half times the regular rate
Covered, nonexempt employees who work beyond the weekly overtime threshold are entitled to premium pay. The overtime premium rate is one and one-half times the employee's regular rate, unless otherwise specified. The regular rate includes all remuneration for employment paid to the worker, not just the hourly minimum wage, so the overtime amount may exceed the minimum-wage floor multiplied by one and one-half if the employee receives commissions, bonuses, or other pay that must be factored into the regular rate calculation. Overtime is calculated on a workweek basis, based on hours actually worked. Some state laws or industry-specific rules may impose different overtime triggers, such as daily overtime after a certain number of hours in a single day.
The overtime premium rate is one and one-half times the employee's regular rate, unless otherwise specified.
State Minimum Wage Laws (DOL)
Who to ask about this rate, and where to take a wage complaint
The Wage and Hour Division tries to ensure that the information on this page is accurate, but individuals should consult the relevant state labor office for official information. State labor offices are the authoritative source for the minimum wage rates, exemptions, and subminimum wage provisions that apply in a particular jurisdiction. Workers who believe they have been paid below the legal minimum, or employers who need guidance on coverage and recordkeeping requirements, should contact their state labor office directly. The U.S. Department of Labor's Wage and Hour Division also maintains resources and a toll-free help line for questions about federal minimum wage, overtime, and other Fair Labor Standards Act requirements.
The Wage and Hour Division tries to ensure that the information on this page is accurate, but individuals should consult the relevant state labor office for official information.
State Minimum Wage Laws (DOL)
State minimum wage laws that give more than the federal rate
Vermont pays $14.42 an hour, above the federal minimum, and state law also provides that the federal figure takes over should the federal one ever be the greater. Both halves matter. Today the state figure is the higher, so $14.42 is what an employer in Vermont owes and the federal rate has no practical effect. The other clause is insurance: if Congress raised the federal minimum past $14.42, Vermont would follow it up without needing to legislate. Nothing in either rule lets an employer pay the lower of the two. Where federal and state minimum wage law both apply to a job, the employee is owed the higher rate, and that is the whole of the interaction.
The Vermont minimum wage is adjusted annually based on a set formula. The State minimum wage is automatically replaced with the federal minimum wage rate if it is higher than the State minimum.
State Minimum Wage Laws (DOL)
How the rate is adjusted each year, and who announces it
Under Vermont law, the state minimum wage rate is adjusted annually using a fixed formula tied to inflation, so the hourly floor rises each year to reflect changes in the cost of living. The adjustment is automatic; employers in Vermont do not need to wait for new legislation. For 2026, the adjusted rate is $14.42 per hour. In addition, Vermont's minimum wage is automatically replaced by the federal minimum wage rate if the federal rate ever exceeds the state rate, ensuring that workers in the state always receive the higher of the two amounts.
The Vermont minimum wage is adjusted annually based on a set formula.
State Minimum Wage Laws (DOL)
How each figure was verified
Each number below was read from a stored copy of the document named beside it, and checked to occur word for word in the quoted sentence. The digest is of that stored text.
State Minimum Wage Laws (DOL)
- Hourly
Vermont Applicable to employers of two or more employees Basic Minimum Rate (per hour): $14.42
Other years
Every Vermont Minimum Wage year · Minimum Wage in every state