Minimum wage in Rhode Island, 2000–2027
- Minimum wage in 2026
$16 an hour1
- On January 1, 2027
$17 an hour2
Up $1 from today.
- Tipped employees
$3.89 an hour in cash3
Employers may count up to $12.11 an hour of tips toward the minimum wage. Tipped: more than $30 a month in tips.
- Overtime
Premium pay after 40 hours a week1
The Rhode Island minimum wage rose from $5.65 in 2000 to $16 in 2026; $17 from Jan 1, 2027
Line chart of the Rhode Island minimum wage against the federal minimum: $5.65 in 2000, $7.40 in 2010, $11.50 in 2020, $16 in 2026, and $17 in 2027. The federal minimum was $5.15 in 2000 and $7.25 in 2026.
What a full-time minimum-wage employee costs in Rhode Island
At $16 an hour for 40 hours a week, a new employer with 10 staff pays $33,280 in wages and $3,355 on top (10.1%) in payroll taxes and workers' comp. At the 2027 rate of $17 with 2026 payroll tax rates: $38,903 a year.
- Wages (2,080 paid hours a year)
- $33,280
- Social Security (employer share)6.2%5 of $33,280
- $2,063
- Medicare (employer share)1.45%6 of $33,280
- $483
- Workers' compensation (benchmark index rate)$1.38 per $100 of payroll9
- $459
- Total a year
- $36,635
If you also offer single health coverage, the average employer here pays about $7,342 more a year: a $9,388 average premium10 less $2,046 paid by the employee10.
Change the inputs in the Rhode Island employer cost calculator
Frequently asked questions
What is the minimum wage in Rhode Island in 2026?
$16 an hour: $33,280 a year at full time.
What will the minimum wage be in Rhode Island in 2027?
$17 an hour from Jan 1, 2027, after $16 an hour in 2026: $35,360 for a full-time year.
What is the minimum wage for tipped employees in Rhode Island?
$3.89 an hour in cash, with up to $12.11 of tips counted toward Rhode Island's $16.
How much does a minimum-wage employee cost an employer in Rhode Island?
About $36,635 a year full time at $16: $33,280 of pay plus $3,355 on top, $2,896 in payroll taxes and $459 in workers' comp, before any health coverage.
How has the Rhode Island minimum wage changed since 2000?
The Rhode Island minimum wage rose from $5.65 in 2000 to $16 in 2026; $17 from Jan 1, 2027. On the way: $7.40 in 2010 and $11.50 in 2020, per the U.S. DOL.
More minimum wage and employer cost pages
Employer costs in Rhode Island
States with a similar minimum wage
Data and rules for every state
Sources
The 10 pages this page's facts come from, with the day we last checked each one. The numbers beside the figures above link here.
Quotes from the sources
- U.S. Department of Labor, Wage and Hour Division dol.gov/agencies/whd/minimum-wage/state“Rhode Island Basic Minimum Rate (per hour): $16.00” “Rhode Island … Basic Minimum Rate (per hour): $16.00 … Premium Pay After Designated Hours 1 : Weekly - 40 … The overtime premium rate is one and one-half times the employee's regular rate, unless otherwise specified.”
- Rhode Island Department of Labor and Training dlt.ri.gov/regulation-and-safety/labor-standards/minimum-wage“Commencing January 1, 2027: $17.00 per hour”
- U.S. Department of Labor, Wage and Hour Division dol.gov/agencies/whd/state/minimum-wage/tipped“Definition of Tipped Employee by Minimum Tips received (monthly unless otherwise specified) … State requires employers to pay tipped employees a minimum cash wage above the minimum cash wage required under the federal Fair Labor Standards Act ($2.13/hour) … Rhode Island $16.00 $12.11 $3.89 More than $30”
- U.S. Department of Labor, Wage and Hour Division Changes in Basic Minimum Wages in Non-Farm Employment Under State Law: Selected Years 1968 to 2024“Rhode Island 1.40 1.60 1.60 2.30 2.30 2.65 2.90 … Rhode Island 3.65 4.25 4.45 4.45 4.45 5.15 5.15 … Rhode Island 5.65 6.15 6.15 6.15 6.75 6.75 6.75 … Rhode Island 7.40 7.40 7.40 7.40 7.40 7.40 7.75 … Rhode Island 8.00 9.00 9.60 9.60 10.10 10.50 … Rhode Island 11.50 11.50 12.25 13.00 14.00” “Federal (FLSA) $1.15 & $1.60 $1.30 & $1.60 $1.60 $2.20 & $2.30 $2.90 $3.10 $3.35 … Federal (FLSA) $3.35 $3.80 $4.25 $4.25 $4.25 $4.75 $5.15 … Federal (FLSA) $5.15 $5.15 $5.15 $5.15 $5.15 $5.15 5.15 … Federal (FLSA) 5.15 5.85 6.55 7.25 7.25 7.25 7.25 … Federal (FLSA) 7.25 7.25 7.25 7.25 7.25 7.25 … Federal (FLSA) 7.25 7.25 7.25 7.25 7.25”
- Internal Revenue Service IRS Publication 15 (Circular E), Employer's Tax Guide“For 2026, the social security tax rate is 6.2% (amount withheld) each for the employer and employee (12.4% total).”
- Social Security Administration ssa.gov/oact/cola/cbb.html“Tax rates under the HI program are 1.45 percent for employees and employers, each, and 2.90 percent for self-employed persons.”
- Internal Revenue Service Topic no. 759, Form 940 – FUTA tax (IRS)“If you're entitled to the maximum 5.4% credit, the FUTA tax rate after credit is 0.6%.” “FUTA tax rate: The FUTA tax rate is 6.0%. The tax applies to the first $7,000 you paid to each employee as wages during the year.”
- U.S. Department of Labor, Employment and Training Administration oui.doleta.gov/unemploy/content/sigpros/2020-2029/January2026.pdf“New employer rate shown is the base rate. … RI … 1.00%” “RI … $30,800”
- Oregon Department of Consumer and Business Services oregon.gov/dcbs/reports/cost/Pages/premium-index-rates.aspx“Premium index rate: $1.25-$1.50 … State Index rate Percent of study median … 10 11 Rhode Island 1.38 127%”
- Agency for Healthcare Research and Quality (MEPS-IC) meps.ahrq.gov/mepsweb/data_stats/summ_tables/insr/state/series_2/2025/ic25_iia_f.pdf“Table II.C.1 Average total single premium (in dollars) per enrolled employee … Division and State Total … Rhode Island 9,388 10,149 9,564 8,728 8,927 9,577 9,465 9,369” “Table II.C.2 Average total employee contribution (in dollars) per enrolled employee for single coverage … Division and State Total … Rhode Island 2,046 -- 2,041 3,204 2,195 1,878 1,902 2,082”