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Colorado Minimum Wage Set to Increase in 2025: Here’s What Workers Will Earn

Colorado Minimum Wage Set to Increase in 2025: Here’s What Workers Will Earn

by Larry Ulibarri
December 17, 2024
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Colorado Minimum Wage Set to Increase in 2025: Here’s What Workers Will Earn

Starting January 1, 2025, minimum-wage workers across Colorado will see a boost in their earnings, though the exact increase depends on where they work. The statewide minimum wage is set to rise annually, offering more financial stability to workers.

Statewide Minimum Wage Increase

In 2024, Colorado’s minimum wage was $14.42 per hour. As of January 2025, that rate will increase to $14.81 per hour, providing full-time workers an additional $811 annually, bringing their total earnings to approximately $30,804 per year. This marks the first time many minimum-wage workers across the state will make over $30,000 annually.

For tipped workers, the minimum wage will rise by $0.39 per hour, bringing their hourly wage to $11.79 starting in January.

Higher Wages in Certain Areas

Several cities and counties in Colorado have established local minimum wage ordinances that exceed the statewide rate. Workers in Denver, Edgewater, Boulder, and unincorporated Boulder County will earn significantly more than the state minimum:

  • Denver: Minimum wage workers in the Mile High City will receive the highest pay in the state, with an increase to $18.81 per hour—a $0.52 rise from 2024. Full-time workers will earn an additional $1,081 annually, totaling $39,124 before taxes. Tipped workers in Denver will see their hourly minimum increase to $15.79.
  • Edgewater: Workers here will earn $16.52 per hour, or $13.50 for tipped employees.
  • Boulder: The city of Boulder will implement a new local minimum wage of $15.57 per hour, about 5% higher than the statewide minimum. Tipped workers will earn $12.55 per hour. Previously, Boulder followed the statewide minimum wage, but a newly approved ordinance established this higher rate.
  • Unincorporated Boulder County: Minimum wage workers will earn $16.57 per hour, while tipped employees will make $13.55 per hour.

Minimum Wage Breakdown by Location

Here’s a summary of the new minimum wages starting January 1, 2025:

  • Statewide Minimum (default): $14.81/hour ($11.79/hour with tips)
  • Denver: $18.81/hour ($15.79/hour with tips)
  • Edgewater: $16.52/hour ($13.50/hour with tips)
  • Boulder: $15.57/hour ($12.55/hour with tips)
  • Unincorporated Boulder County: $16.57/hour ($13.55/hour with tips)

Boulder’s New Minimum Wage Ordinance

Notably, Boulder City Council approved its own minimum wage ordinance, marking a departure from the statewide standard. Starting in January, workers within Boulder city limits will see a significant increase in their earnings, reflecting the city’s efforts to address the rising cost of living.

A Boost for Colorado Workers

The 2025 minimum wage increases are part of Colorado’s ongoing efforts to ensure fair wages for workers. While the changes vary by region, they aim to provide a meaningful boost to earnings, especially for those working in higher-cost areas like Denver and Boulder. These adjustments represent a step toward improving financial security for workers across the state.

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