Montana Minimum Wage 2027: $11.20 an Hour
Short answer: Montana's minimum wage rises from $10.85 to $11.20 an hour in 2027 (effective January 1, 2027). A full-time worker earns about $23,296 a year before taxes.
What changes on January 1, 2027
Montana applies a cost-of-living adjustment based on the CPI change from August to August, announced no later than September 30. The rate is the greater of the federal or Montana minimum.
What to know in Montana
- No tip credit, meal credit or training wage is allowed under Montana wage-and-hour law, so tipped workers must receive the full $11.20 before tips.
- Exception: a business not covered by the FLSA with gross annual sales of $110,000 or less may pay $4.00 per hour; an individual employee who produces or moves goods between states must still get the greater of the federal or Montana rate.
What $11.20 an hour pays
| Schedule | At $10.85 (2026) | At $11.20 (2027) | Difference |
|---|---|---|---|
| Per hour | $10.85 | $11.20 | +$0.35 |
| Per 40-hour week | $434.00 | $448.00 | +$14.00 |
| Per two-week paycheck (80 hours) | $868.00 | $896.00 | +$28.00 |
| Per month (full-time ÷ 12) | $1,880.67 | $1,941.33 | +$60.67 |
| Per year, full-time | $22,568 | $23,296 | +$728 |
| Per year, part-time (20 h/week) | $11,284 | $11,648 | +$364 |
Use the minimum wage pay calculator to change the hours or weeks.
Overtime at the Montana minimum wage and the federal tax deduction
Suppose a nonexempt worker earning $11.20 an hour works 6 hours of overtime a week for 45 weeks, paid at time-and-a-half. That overtime pay is $11.20 × 1.5 × 6 × 45 = $4,536. Only the premium over the regular rate, $11.20 × 0.5 × 6 × 45 = $1,512, can be deducted under the federal no-tax-on-overtime rules (up to $12,500, or $25,000 on a joint return). Try your own numbers in the overtime calculator.
Remember that some states add their own overtime rules beyond the federal 40-hour week, but only overtime required by the federal Fair Labor Standards Act counts toward the federal deduction. Read the details in Qualified Overtime and the FLSA.
How Montana compares
Closest 2027 rates on this site:
- Ohio: $11.40 (+$0.20 higher)
- Minnesota: $11.87 (+$0.67 higher)
- South Dakota: $12.30 (+$1.10 higher)
See every state in 2027 minimum wage by state or the ranking of states raising wages on January 1.
Frequently asked questions
What is the minimum wage in Montana in 2027?
Montana's minimum wage for most adult workers is $11.20 per hour in 2027, up from $10.85 in 2026. The figure comes from the state source linked below.
How much more will a full-time Montana worker earn at $11.20?
The raise is $0.35 an hour (3.2%). For a full-time worker at 2,080 hours a year, that is $728 more per year before taxes, from $22,568 to $23,296.
How does Montana rank among 2027 minimum wages?
Among the 15 state rates with a 2027 rate on this site, Montana ranks number 15 (1 is highest). The highest is Washington at $17.73.
Where can I confirm Montana's rate?
Use the official source: Montana DLI: Montana's Minimum Wage (https://erd.dli.mt.gov/labor-standards/wage-and-hour-payment-act/state-minimum-wage). For payroll or a wage dispute, contact the state labor department directly.
Does the federal minimum wage still apply in Montana?
Yes. The federal minimum is $7.25 an hour under the Fair Labor Standards Act, but where state law is higher, workers covered by both get the higher state rate.
Sources and citations
Every dollar figure on this page was checked against the official pages below on November 14, 2026. If an agency updates its guidance, the agency page controls.