Virginia's Minimum Wage: $12.77 with Codified Phase-Up
Virginia's minimum wage is set at $12.77 per hour as of January 1, 2026, continuing a multi-year phase-up mandated by HB 1 / SB 1. This policy tracks future increases to $13.75 in 2027 and $15.00 in 2028, followed by CPI indexing. Teambridge automates compliance by ensuring all non-exempt workers are paid at or above the current state minimum, with specific considerations for tipped employees.
$12.77 State Floor + Phase-Up Tracking
Enforces $12.77 state minimum wage. Tracks codified phase-up: $13.75 in 2027, $15.00 in 2028, then CPI-indexed. Tipped workers $2.13 federal floor.
What those rules do as a Virginia shift is created.
Teambridge's engine continuously monitors and applies Virginia's wage and hour requirements from the moment a shift is scheduled through payroll processing. Our system ensures compliance with current rates and anticipates future changes, preventing underpayment and miscalculations.
Minimum Wage Validation
Before a shift is confirmed, Teambridge validates that the proposed hourly rate for all non-exempt employees meets or exceeds the current Virginia state minimum wage of $12.77. If the rate is below the threshold, the system flags it for immediate correction.
Future Rate Projections
Teambridge's compliance calendar includes the mandated future minimum wage increases for Virginia: $13.75 starting January 1, 2027, and $15.00 starting January 1, 2028. The system alerts administrators to upcoming rate changes for affected employees, ensuring proactive adjustments.
Tipped Worker Floor
For employees designated as tipped workers, Teambridge ensures their direct wage meets the federal minimum of $2.13 per hour. The system then monitors total compensation, including tips, to ensure it averages at least the full state minimum wage, activating tip credit rules as necessary.
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Virginia mandates a multi-year minimum wage phase-up with CPI indexing.
Virginia's minimum wage laws, primarily governed by the Virginia Minimum Wage Act (§ 40.1-28.9 et seq.), establish a floor for hourly earnings for most employees. The current framework includes a phased increase schedule culminating in CPI indexing.
Virginia Code § 40.1-28.10. Minimum wages.
Every employer shall pay to each of his employees wages at a rate not less than the federal minimum wage, except as otherwise provided in this chapter. The minimum wage shall be: (i) $9.50 per hour effective May 1, 2021; (ii) $11.00 per hour effective January 1, 2022; (iii) $12.00 per hour effective January 1, 2023; (iv) $12.77 per hour effective January 1, 2026; (v) $13.75 per hour effective January 1, 2027; (vi) $15.00 per hour effective January 1, 2028. After January 1, 2029, the minimum wage shall be adjusted annually for inflation based on the consumer price index.
Standard Minimum Wage
As of January 1, 2026, the Virginia state minimum wage is $12.77 per hour. This rate applies to most non-exempt employees in the Commonwealth, superseding the federal minimum wage where the state rate is higher. The law specifically outlines a continued phase-up to $13.75 per hour on January 1, 2027, and $15.00 per hour on January 1, 2028. Starting January 1, 2029, the minimum wage will be annually adjusted based on increases in the Consumer Price Index (CPI).
Tipped Employees
For tipped employees, Virginia follows the federal standard for the cash wage, which is $2.13 per hour. Employers may take a tip credit, meaning the combination of the direct cash wage and tips received must meet or exceed the full state minimum wage of $12.77 per hour. If an employee's tips, combined with their direct wage, do not reach the state minimum wage, the employer is responsible for making up the difference.
Teambridge manages Virginia's minimum wage with precision.
Our platform is engineered to handle the complexities of Virginia's phased minimum wage, ensuring your business remains compliant without manual intervention or constant monitoring of legislative changes.
Automatic Wage Floor Enforcement
Teambridge automatically applies the correct Virginia minimum wage rate ($12.77/hour in 2026) to all eligible employee profiles and pay calculations, flagging any scheduled shifts or proposed wages that fall below this threshold.
Seamless Phase-Up Management
Our system is pre-programmed with Virginia's future minimum wage rates for 2027 ($13.75) and 2028 ($15.00). Teambridge will automatically transition employees to these new rates on their respective effective dates, ensuring uninterrupted compliance.
Accurate Tip Credit Handling
For tipped employees, Teambridge ensures the $2.13 federal cash wage is met and verifies that total earnings (cash wage + tips) average at least the full Virginia minimum wage. Any shortfall is automatically adjusted by the system.
Comprehensive Compliance Records
All wage calculations and adjustments made in response to Virginia's minimum wage law are meticulously recorded, providing a clear, auditable trail for regulatory inquiries and internal reviews.
People also ask.
What is the current minimum wage in Virginia?
As of January 1, 2026, the minimum wage in Virginia is $12.77 per hour. This is part of a phased increase mandated by state law.
Will the Virginia minimum wage increase again?
Yes. The minimum wage in Virginia is scheduled to increase to $13.75 per hour on January 1, 2027, and to $15.00 per hour on January 1, 2028. After 2028, it will be adjusted annually based on the Consumer Price Index (CPI).
What is the minimum wage for tipped employees in Virginia?
For tipped employees, the direct cash wage requirement in Virginia is $2.13 per hour, which aligns with the federal minimum. However, the employer must ensure that the employee's total compensation (direct wage plus tips) averages at least the full Virginia state minimum wage ($12.77 in 2026).
Are there any exceptions to Virginia's minimum wage law?
Certain employees may be exempt, including some farm laborers, outside salespeople, and employees in recreational or educational camps. Additionally, some small businesses may have limited exemptions, though most employers are covered. Consult the Virginia Department of Labor and Industry for specific exemptions.
What happens if an employer pays less than the minimum wage?
Under Virginia's new wage statute restructuring (HB 238, effective July 1, 2026), knowing violations of wage laws, including minimum wage, can result in significant penalties, including treble damages (three times the amount of unpaid wages) and attorney's fees for the employee. Employers are also subject to administrative penalties.
Does Teambridge track future minimum wage increases?
Yes, Teambridge is pre-programmed with all mandated future minimum wage increases for Virginia. Our system automatically updates employee pay rates on the effective dates of these changes, ensuring continuous compliance without manual intervention.