New Mexico's Minimum Wage Remains at $12.00, Santa Fe to Increase to $17.50 in 2027
New Mexico's statewide minimum wage has been $12.00 per hour since January 1, 2023, and is not currently indexed to inflation, with no scheduled increases. For tipped employees, the cash wage is $3.00 per hour, provided that tips bring their total earnings to at least $12.00 per hour. Secondary school students working outside school hours can be paid $8.50 per hour. While the state rate remains unchanged, the City of Santa Fe has a higher living wage of $15.40 per hour, which will increase to $17.50 on January 1, 2027. After this, Santa Fe's rate will adjust annually based on a blend of inflation and local rents. In Albuquerque, the state's $12.00 rate effectively applies, as the city's own indexed rate for 2026 is lower at $11.85, or $10.85 with qualifying benefits.