Montgomery County’s latest minimum wage increases take effect today, Tuesday, July 1, raising hourly pay rates for workers across the county based on employer size. The annual adjustment reflects the Washington region’s inflation rate, as required under County law.
Employers with 51 or more employees must now pay a minimum wage of $18.00 per hour, up from $17.65. Mid-sized employers with 11 to 50 employees must pay at least $16.50 per hour, an increase from $16.00, while small employers with 10 or fewer employees must pay a minimum of $15.95 per hour, up from $15.50.
Tipped employees who earn more than $30 per month in tips must still receive total earnings that equal or exceed the applicable Montgomery County minimum wage. Employers may pay a cash wage of at least $4.00 per hour, provided the employee’s tips bring total hourly earnings to at least the required minimum wage. Restaurant employers using a tip credit must also provide employees with a wage statement each pay period showing their effective hourly rate, including both employer-paid wages and tips.
The increases are part of Montgomery County’s annual minimum wage adjustment process. Beginning July 1, 2027, and each year thereafter, minimum wage rates will continue to increase based on changes in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), with additional adjustments for mid-sized and small employers until their rates match those of larger employers.
