Workers in Las Cruces will see higher paychecks as the city’s minimum wage officially increases on Jan. 1, 2026. The citywide minimum wage rises from $12.65 to $13.01 an hour, while the minimum hourly wage for tipped employees increases from $5.06 to $5.20, according to the Las Cruces Municipal Code.The increase follows a long-standing city ordinance aimed at ensuring wages keep pace with the cost of living. In 2014, Las Cruces enacted Ordinance 2726, establishing a local minimum wage, tipped wage, and annual increases. While wages were set at fixed amounts from 2015 through 2019, beginning in 2020 the ordinance tied annual increases to the Consumer Price Index.Each year, the city compares its calculated wage to the state minimum wage and adopts whichever is higher. Since the state minimum wage remains at $12 in 2026, Las Cruces’ higher, CPI-adjusted wage will apply. The city’s tipped wage has consistently exceeded the state level and continues to do so this year.City officials say the increase reflects ongoing efforts to support workers as living costs rise. The new rates apply to all covered employees working within Las Cruces city limits.
Workers in Las Cruces will see higher paychecks as the city’s minimum wage officially increases on Jan. 1, 2026.
The citywide minimum wage rises from $12.65 to $13.01 an hour, while the minimum hourly wage for tipped employees increases from $5.06 to $5.20, according to the Las Cruces Municipal Code.
The increase follows a long-standing city ordinance aimed at ensuring wages keep pace with the cost of living.
In 2014, Las Cruces enacted Ordinance 2726, establishing a local minimum wage, tipped wage, and annual increases. While wages were set at fixed amounts from 2015 through 2019, beginning in 2020 the ordinance tied annual increases to the Consumer Price Index.
Each year, the city compares its calculated wage to the state minimum wage and adopts whichever is higher.
Since the state minimum wage remains at $12 in 2026, Las Cruces’ higher, CPI-adjusted wage will apply. The city’s tipped wage has consistently exceeded the state level and continues to do so this year.
City officials say the increase reflects ongoing efforts to support workers as living costs rise. The new rates apply to all covered employees working within Las Cruces city limits.
