New Jersey’s minimum wage will increase by 56 cents to $16.48 an hour for most employees beginning January 1, 2027, the state Department of Labor and Workforce Development announced.

The increase is based on the annual adjustment required under the New Jersey Constitution, which ties the minimum wage to changes in the Consumer Price Index as reported by the U.S. Bureau of Labor Statistics.

Agricultural workers will see their minimum wage increase from $14.20 to $15 an hour, marking the first time farm employees paid by the hour or piece rate will reach the $15 benchmark established under a 2019 state law.

The minimum wage for employees of seasonal businesses and small employers with fewer than six employees will increase from $15.23 to $16.25 an hour.

Direct-care staff at long-term care facilities will also receive an increase, with their minimum wage rising by 56 cents to $19.48 an hour.

The minimum cash wage for tipped workers will increase from $6.05 to $6.61 an hour. The maximum tip credit employers may claim will remain $9.87.

Under state law, if an employee’s cash wage and tips do not total at least the applicable state minimum wage, the employer must make up the difference.

The scheduled increases for small and seasonal employers will continue through 2028, while agricultural workers paid by the hour or piece rate will continue receiving scheduled increases through 2030. After those statutory increases are completed, those rates will continue to be adjusted annually based on changes in the Consumer Price Index.