DC's minimum wage hits $17.95/hour, indexed annually.
The District of Columbia maintains one of the nation's highest minimum wages, reaching $17.95 per hour effective July 1, 2025. This rate is subject to annual indexing based on the CPI-U-W for the Washington-Arlington-Alexandria metropolitan area, ensuring wages keep pace with inflation. For tipped workers, the base wage is $10.00 per hour through July 1, 2026, as the District navigates a partial repeal of Initiative 82.
DC Minimum Wage
Ensures all non-exempt employees earn a statutory minimum hourly rate, adjusted annually for inflation.
What those rules do as a District of Columbia shift is created.
When a shift is created or updated in the District of Columbia, Teambridge automatically applies the current minimum wage requirements. This includes verifying the base hourly rate, ensuring proper tip credit calculations, and flagging any potential underpayments based on the latest CPI-U-W adjustments.
Prevent underpayment
Teambridge immediately blocks any attempt to schedule an employee at an hourly rate below the current DC statutory minimum wage of $17.95, or the applicable tipped minimum wage of $10.00, ensuring compliance from the outset.
Flag tip credit miscalculation
For tipped employees, the system flags if the combined tipped wage plus actual tips fall below the full minimum wage, alerting managers to potential make-up pay requirements.
Automate annual adjustments
On July 1st each year, Teambridge automatically updates the minimum wage rate based on the official CPI-U-W indexing, applying the new rate to all future shifts without manual intervention.
Stop worrying about District of Columbia compliance.
Teambridge automates the complex web of local labor laws so you can focus on your business. From minimum wage to paid leave, we've got you covered.
The District of Columbia sets a high minimum wage indexed to inflation.
The District of Columbia's minimum wage is among the highest in the nation, designed to provide a living wage in a high-cost urban environment. It features annual adjustments based on consumer price index data to maintain its purchasing power.
DC Code § 32–1003. Minimum wage.
Except as otherwise provided in this chapter, the employer of any employee employed in the District of Columbia shall pay the employee wages at a rate of not less than $17.95 an hour, beginning July 1, 2025, or the rate established by subsection (b) of this section, whichever is greater.
The minimum wage rate established by this section shall be increased annually on July 1 of each year, beginning July 1, 2017, by an amount equal to the annual percentage increase, if any, in the Consumer Price Index for All Urban Consumers (CPI-U) for the Washington-Arlington-Alexandria, DC-VA-MD-WV Metropolitan Statistical Area, or any successor index, as published by the Bureau of Labor Statistics of the United States Department of Labor for the preceding calendar year.
Standard Minimum Wage
As of July 1, 2025, the standard minimum wage in the District of Columbia is $17.95 per hour. This rate applies to most employees within the District, with specific exceptions for certain categories such as student learners or individuals with disabilities who may be paid a sub-minimum wage under a certificate from the Department of Employment Services (DOES).
Annual adjustments occur every July 1st, reflecting changes in the Consumer Price Index for All Urban Consumers (CPI-U-W) for the local metropolitan area. This mechanism ensures that the minimum wage keeps pace with the cost of living, providing a predictable and sustainable increase for workers.
Tipped Minimum Wage and Initiative 82
For tipped employees, the minimum cash wage is $10.00 per hour through July 1, 2026. This rate is part of a transitional period following the partial repeal of Initiative 82. Initiative 82 initially aimed to gradually eliminate the tipped minimum wage, moving towards a single minimum wage for all workers. However, subsequent legislative action modified this timeline.
Under the revised schedule, the tipped minimum wage will increase progressively, aiming to reach 75% of the standard minimum wage by 2034. Employers are required to ensure that the combination of the cash wage and tips received by an employee equals or exceeds the standard minimum wage. If an employee's tips, combined with the employer's cash wage, do not meet the standard minimum wage, the employer must make up the difference.
Teambridge handles DC minimum wage, so you don't have to.
Teambridge's compliance engine is pre-loaded with the District of Columbia's minimum wage laws, including annual indexing and tipped wage rules. We automate the enforcement of these regulations at every stage of the employee lifecycle, from scheduling to payroll.
Real-time rate validation
When you create a shift, Teambridge automatically checks the assigned hourly rate against the current DC minimum wage. If the rate is below $17.95 (or $10.00 for tipped roles), the system flags it immediately, preventing non-compliant scheduling.
Automated tip credit tracking
For tipped employees, Teambridge tracks the base wage and provides tools to help monitor actual tips received. If an employee's total compensation falls short of the full minimum wage, the system alerts you to the make-up pay requirement, ensuring compliance with the Initiative 82 transition.
Seamless CPI-U-W indexing
Every July 1st, Teambridge automatically updates the DC minimum wage rate based on the official CPI-U-W adjustment published by the Bureau of Labor Statistics. Your system is always current without any manual input or research on your part.
Comprehensive compliance logs
Maintain detailed records of all wage calculations, including minimum wage adherence and tip credit adjustments. Teambridge generates audit-ready reports, simplifying compliance verification and demonstrating due diligence.
People also ask.
What is the current minimum wage in DC?
As of July 1, 2025, the standard minimum wage in the District of Columbia is $17.95 per hour.
How often does DC's minimum wage change?
The District's minimum wage is adjusted annually on July 1st, based on the Consumer Price Index for All Urban Consumers (CPI-U-W) for the Washington-Arlington-Alexandria metropolitan area.
What is the tipped minimum wage in DC?
The tipped minimum wage in DC is $10.00 per hour through July 1, 2026. Employers must ensure that an employee's cash wage plus tips equals or exceeds the standard minimum wage.
What is Initiative 82 and how does it affect the minimum wage?
Initiative 82 was a ballot measure to gradually eliminate the tipped minimum wage in DC. While partially repealed, its core intent to raise the tipped wage remains, with a revised schedule aiming for the tipped wage to reach 75% of the standard minimum wage by 2034.
Are there any exceptions to DC's minimum wage?
Yes, there are limited exceptions. For instance, certain student learners or individuals with disabilities employed under a special certificate from the Department of Employment Services (DOES) may be paid a sub-minimum wage. However, most employees are covered by the standard rate.
What happens if an employer doesn't pay the DC minimum wage?
Failure to pay the required minimum wage can result in significant penalties under the DC Wage Theft Prevention Amendment Act, including back wages, liquidated damages (potentially quadruple damages), and even personal liability for corporate officers.