EMPLOYMENT LAW NEWS

Colorado’s New Minimum Wage Rates for 2026

Dana Holle


By Dana Holle, GovDocs Counsel and Manager
Employment Law and Compliance

Updated in January 2026

Colorado's New Minimum Wage Rates for 2026

As of Jan. 1, 2026, Colorado’s minimum wage increased to $15.16 per hour ($12.14 tipped), with higher rates in several local jurisdictions, including Denver, Boulder, and Edgewater. Employers must ensure they pay the highest applicable wage rate and comply with updated exempt salary thresholds.

What is the Colorado Minimum Wage in 2026?

The new year brings several new minimum wage rates to state and local jurisdictions across the United States. This holds true in Colorado, where over the last several years, the state’s minimum wage rate has adjusted annually for cost-of-living increases.  

Colorado’s new minimum wage for 2026 is $15.16, breaking the $15 threshold for the first time.  

Colorado’s Rulemaking Process

Unlike most state and local jurisdictions, Colorado engages in a rulemaking process with the public prior to announcing its official minimum wage rates for the upcoming year. 

Typically, in late September, Colorado’s Division of Labor Standards and Statistics (“Division”) initiates the rulemaking process for several of its wage and hour rules. A hearing date is then set with a public comment period on the proposed changes. After comments are considered and the public hearing takes place, the Division officially publishes the updates, usually in November or December.    

In this instance, the Division completed its rulemaking in mid-December when it adopted its minimum wage rate changes under the Publication and Yearly Calculation of Adjusted Labor Compensation Order (“PAY CALC Order”), now in effect as of Jan. 1, 2026.   

Learn More About State Minimum Wage Rates for 2026 

2026 PAY CALC Order

Under the 2026 PAY CALC Order, which annually publishes adjustments to the state’s minimum pay and income levels for the upcoming year, Colorado’s minimum wage rates increased on Jan. 1, 2026, to:   

  • $15.16 for standard employees (up from $14.81)  
  • $12.14 for tipped employees (up from $11.79)  

The minimum wage for non-emancipated minors ($12.89 per hour) and minimum pay for agricultural range workers ($620.52 per week) also updated as of Jan. 1, 2026.   

Exempt Salary Threshold Updates

Additionally, the exempt salary threshold increased for administrative, executive, and professional employees, referred to as “EAP” employees in Colorado. On Jan. 1, 2026, EAP employees must now be paid $1,111.23 per week, rounded to $57,784 annually, and meet the applicable job duties test to be considered exempt from minimum wage and overtime requirements.   

Other updates include increases to the exempt pay levels for highly technical computer employees, either $34.85 per hour or the EAP salary level, and for highly compensated employees, $130,014 annually and at least the EAP salary weekly. Certain covered drivers, driver’s helpers, seasonal camp staff, and outdoor education field staff under Colorado’s minimum wage law also have updated pay levels for 2026.   

Minimum Wage Updates in Colorado’s Local Jurisdictions

Colorado employers must also direct their attention to local jurisdictions that updated their minimum wage rates on Jan. 1, 2026. 

As a refresher, in 2019, Colorado reversed course and adopted House Bill 19-1210, which repealed its previous law prohibiting local governments from adopting their own minimum wage ordinances. In the first few years post-repeal, only Denver adopted a minimum wage ordinance with a higher wage than the state. However, this changed in 2023 when both Edgewater and unincorporated Boulder County and adopted their own local minimum wage ordinances. Then, the City of Boulder followed suit in 2024.  

As of Jan. 1, 2026, the new local minimum wage rates are as follows:  

  • Boulder County – $16.82 ($13.80 tipped)   
  • Boulder – $16.82 ($13.80 tipped)   
  • Denver – $19.29 ($16.27 tipped)  
  • Edgewater – $18.17 ($13.50 tipped)  
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As a reminder, when employees are subject to federal, state, and local minimum wage laws, employers should pay the higher, most favorable minimum wage rate to their employees. Nevertheless, competing minimum wage rates only adds another layer of complexity to the difficult task of monitoring wage rates throughout the state.   

Managing Updates to Minimum Wage Rates

With no time to waste, employers in Colorado should confirm compliance with the new state minimum wage and any applicable city or county wage rate changes. While tracking, reviewing, and communicating minimum wage rate requirements is often a challenging task for multi-state employers, minimum wage management is the first step to ensure success with minimum wage compliance.  

This Employment Law News blog is intended for market awareness only, it is not to be used for legal advice or counsel.

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