Hawaii Minimum Wage 2026: $16.00, No Change in 2027, $18.00 in 2028

Hawaii’s minimum wage is $16.00 an hour, effective January 1, 2026. It does not change in 2027; the next and final scheduled step is $18.00 on January 1, 2028. Hawaii sets fixed amounts in statute rather than adjusting for inflation. Tipped employees can be paid $14.75 only if their wages plus tips reach at least $23.00 an hour. The rate is the same on every island.

Hawaii at a glance

How Hawaii sets its minimum wage

Hawaii does not index its minimum wage to inflation. The rate is written into HRS 387-2 as a schedule of fixed amounts and dates, and it changes only when the Legislature amends that schedule. The current schedule comes from Act 114 of 2022, which set four steps:

The figures in the last two columns are the ones printed in the Department of Labor and Industrial Relations (DLIR) tip credit notice. There is no step in 2027: the rate stays at $16.00 from January 1, 2026 through December 31, 2027. The statute as published today still shows this schedule, so nothing on the calendar has moved. The state’s December 15, 2025 announcement of the $16.00 rate also notes that Act 115 of 2025 set a minimum civil penalty of $500 for wage and hour violations.

Hawaii tipped minimum wage

Hawaii allows a small tip credit, with a condition attached. Under HRS 387-2(b), an employer may pay a tipped employee up to $1.25 an hour less than the minimum wage in 2026 and 2027, a cash wage of $14.75, but only if the combined amount the employee receives in wages and tips “is at least $7.00 more than the applicable minimum wage.” In 2026 that means wages plus tips must reach at least $23.00 an hour ($16.00 + $7.00). A “tipped employee” is one who customarily and regularly receives more than $20 a month in tips (HRS 387-1).

If an employee’s tips average less than the amount needed, the employer can take only a smaller credit, down to none. DLIR’s notice includes tables for the partial credit. From January 1, 2028 the maximum credit rises to $1.50, a cash wage of $16.50, and the combined floor to $25.00. If you use the credit, keep records that show the $7.00 test was met.

Local rates

DLIR lists a single statewide rate on its minimum wage page, and we found no county minimum wage ordinance, so $16.00 applies on every island. Rates on federal contracts and prevailing wages on public works are separate.

Exceptions

• Guaranteed salary of $4,000 a month or more. HRS 387-1 excludes employees paid a guaranteed compensation of $4,000 or more a month from the state minimum wage and overtime law, along with bona fide executive, administrative, supervisory and professional employees. DLIR confirms the $4,000 figure in its wage and hour FAQs.
• Listed occupations. The same section also excludes, among others, family members of the employer, golf caddies, students employed by their nonprofit school, casual domestic service and some agricultural and aquaculture work.
• No youth or training rate. Hawaii has no general lower rate for teenagers or new hires. Minors do need a state work certificate before they start.
• Federal coverage. Employees covered by the federal FLSA are paid at least the Hawaii rate, because the state rate is higher than the $7.25 federal minimum.

What this means for hiring

Because Hawaii’s schedule is fixed, 2027 budgeting is simple: $16.00 all year, then $18.00 from January 1, 2028. That 2028 step is the one to plan for now, especially for multi-year pay bands and for roles already paid just above $16.00, since a $2.00 jump will compress the gap between entry-level and experienced staff. Hawaii employers also carry costs beyond the wage: prepaid health coverage for employees who work 20 or more hours a week (DLIR) and temporary disability insurance.

Employers with 50 or more employees must put the hourly rate or salary range in the job listing. To price a Hawaii hire at the wage you actually pay, use our employee cost calculator. Breaks, overtime, final pay and hiring rules are on our Hawaii labor laws page.

Frequently asked questions

Part of Boostpoint’s minimum wage by state series.