Montgomery County Minimum Wage to Increase July 1 to Keep Pace with Inflation

 

The County’s minimum wage will increase on July 1, 2025, in accordance with County law that ties annual wage adjustments to inflation. The change affects employers of all sizes across Montgomery County.

Starting July 1:

• Large employers (51 or more employees) must pay at least $17.65 per hour.
• Mid-sized employers (11-50 employees) must pay at least $16.00 per hour.
• Small employers (10 or fewer employees) must pay at least $15.50 per hour.

This year’s increase reflects a 2.9% increase in the regional consumer price index for the Washington, D.C.-Arlington-Alexandria area, slightly above last year’s 2.8%.

The County’s minimum wage law, enacted in 2017 and sponsored by then-Councilmember and now County Executive Marc Elrich, phases in wage increases based on business size and indexes future increases to inflation. Under Section 27-68 of the County Code, the minimum wage is recalculated annually based on the Consumer Price Index and takes effect every July 1.

The 50-cent increase means that employees working 40 hours per week will earn approximately $20 more each week, or over $1,000 more annually.

More information about the minimum wage in Montgomery County is available on the County’s website.