
The Montgomery County minimum wage will increase on July 1 to reflect the region’s inflation rate, as mandated by county law.
For large employers — defined as 51 or more employees — the minimum wage will increase by 35 cents to $18 an hour. For mid-size employers — 11 to 50 employees — the minimum wage will increase by 50 cents to $16.50 per hour. And for small employers — 10 or fewer employees — the rate will increase by 45 cents to $15.95 per hour.
These changes are based on a 2% increase in the consumer price index for urban wage earners and clerical workers in the Washington, D.C.-Arlington-Alexandria area in 2025, according to a press release.
“This minimum wage adjustment reflects our commitment to building an economy that works for everyone,” County Executive Marc Elrich said in the press release. “When wages keep pace with inflation, working people aren’t forced to fall behind as everyday costs rise. Ensuring fair pay strengthens families, stabilizes our workforce, and supports small businesses that rely on local spending. Tying the minimum wage to inflation creates predictability for employers and workers alike and reinforces our shared goal of a more equitable and sustainable economy.”
The change in minimum wage rate will allow employees of large employers earn about $14 more for every 40 hours worked, an additional $728 in annual earnings; employees of mid-size employers about $20 more for every 40 hours worked, an additional $1,040 in annual earnings; and employees of small employers $18 more for every 40 hours worked, an additional $936 in annual earnings.

