Minimum wage in New Mexico

New Mexico's basic minimum wage is $12.00 an hour. That is $4.75 above the federal minimum wage of $7.25. Employers may pay tipped employees a cash wage of $3.00 and count tips toward the rest, with a tip credit of up to $9.00. Against New Mexico's $12.00 floor for FLSA-covered employers, among its 5 neighbors Colorado ($15.16) and Arizona ($15.15) are higher and Oklahoma ($7.25), Texas ($7.25) and Utah ($7.25) are lower.

Verified against the U.S. Department of Labor on (DOL's state table updated ). Source: State Minimum Wage Laws, Minimum Wages for Tipped Employees.

At a glance

Key minimum wage facts for New Mexico
ItemValue
State minimum wage$12.00
Against the federal $7.25$4.75 above federal
Floor for FLSA-covered employers$12.00 (the higher of the state and federal rates)
Scheduled changeNone listed by DOL
Overtime threshold in state lawWeekly - 40
Tipped cash wage$3.00
Maximum tip credit$9.00

Rates as DOL lists them

Basic minimum rates in New Mexico with their conditions
Rate per hourApplies to
$12.00No condition stated by DOL

Premium pay after designated hours: Weekly - 40. DOL footnote 1: The overtime premium rate is one and one-half times the employee's regular rate, unless otherwise specified.

Scheduled increases

DOL lists no scheduled increase and no indexing formula for New Mexico. A change would require new legislation or a ballot measure.

Tipped employees

New Mexico requires a cash wage above the federal tipped minimum of $2.13; the employer may count tips toward the rest, up to the tip credit shown.

Tipped employee minimum wage in New Mexico
RowCombined cash and tip minimumMaximum tip creditMinimum cash wageTipped employee defined by monthly tips of
New Mexico$12.00$9.00$3.00More than $30

A dash means DOL left the cell blank. DOL's general footnote 1: Other additional deductions are permitted, for example for meals and lodging.

Neighbors and the federal floor

Minimum wage in the states bordering New Mexico
StateState rateFloor for FLSA-covered employers
New Mexico$12.00$12.00
Colorado$15.16$15.16
Arizona$15.15$15.15
Oklahoma$7.25$7.25
Texas$7.25$7.25
Utah$7.25$7.25
Federal (FLSA)$7.25$7.25

More than one law can apply

DOL states that where federal, state and local minimum wage laws all cover an employer, the employer must pay the highest applicable rate. Whether a particular job is covered by the Fair Labor Standards Act, by New Mexico's law, or by a city or county ordinance depends on facts this site does not assess. City and county rates are not in DOL's table and are not shown here. This page describes published rates and is not legal advice; for how to raise an underpayment, see FastGuide.

Take-home pay and benefits calculators for New Mexico

FastCalc, a sister site, has these calculators for New Mexico. Each takes your own figures; this site computes nothing.

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