United States · Montana · Minimum wage
Montana minimum wage 2027.
The Montana minimum wage for 2027, what changed from 2026 and what it pays by the week, month and year.
Short answer: Montana's minimum wage will be $11.20 an hour on January 1, 2027, up from $10.85. The Department of Labor and Industry set the figure in a notice dated October 7, 2026 under section 39-3-409 of the Montana Code. Effective: January 1, 2027.
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The Montana minimum wage in 2027
Montana's minimum wage will be $11.20 an hour on January 1, 2027, up from $10.85. The Department of Labor and Industry set the figure in a notice dated October 7, 2026 under section 39-3-409 of the Montana Code.
| 2027 calculation (Department of Labor and Industry) | Amount |
|---|---|
| Current minimum wage | $10.85 |
| Increase in the CPI-U over the prior year | 3.40% |
| Inflation adjustment | $0.37 |
| Subtotal | $11.22 |
| Rounded to the nearest $0.05: 2027 minimum wage | $11.20 |
What changed from 2026
The rate rises 35 cents, from $10.85 to $11.20. The department's own calculation is in the table: the CPI-U rose 3.40 percent, which on $10.85 is a $0.37 adjustment, giving $11.22 before rounding. Rounding to the nearest five cents puts the 2027 rate at $11.20.
How the Montana formula works
Multiply the current rate by the CPI-U change, add it to the current rate, then round to the nearest five cents. For 2027 that is $10.85 plus $0.37, which is $11.22, and $11.22 rounds to $11.20. Because of the rounding, a small change in the CPI can leave the rate unchanged or move it by a nickel. The notice does not describe tipped workers, small-business coverage or exemptions, so this page does not either; read the statute or ask the department before relying on an exemption.
How the rate is set
Montana law requires the minimum wage to be adjusted each year for changes in inflation, measured by the Consumer Price Index for All Urban Consumers (CPI-U) from August of the year the calculation is made, and rounded to the nearest $0.05. The department must make the adjustment by September 30 each year, and its 2027 notice is dated October 7, 2026. Questions go to the department's Employment Standards Division.
Worked example (2027)
A full-time worker at the Montana 2027 minimum of $11.20 an hour, 40 hours a week, earns $448.00 a week, $896.00 every two weeks, $1,941.33 a month and $23,296.00 a year (2,080 hours) before tax. At the 2026 rate of $10.85 the same schedule paid $22,568.00 a year, so the 2027 rate adds $728.00. Part-time at 25 hours a week is $280.00 a week and $14,560.00 a year.
Common mix-ups
- Montana's rate is not set by lawmakers each year. It is set by a CPI formula in state law and announced by the Department of Labor and Industry.
- The raw CPI math does not give the final number. The calculation gives $11.22, but the rate is rounded to the nearest $0.05, so $11.20 is the rate.
- The federal minimum is not Montana's minimum. The state rate of $11.20 is above the federal $7.25.
- The 2027 rate does not start before January 1. Until then the rate is $10.85.
Method
The converter multiplies the hourly rate by your hours per week for weekly pay, doubles it for two weeks, multiplies by 52 weeks (2,080 hours at 40 a week) for annual pay and divides the annual figure by 12 for a month. It is gross pay before tax. Figures were read from the sources below on November 9, 2026.
What this does not cover
- Overtime, which is a separate rule, and unpaid time off.
- Local minimum wages that are higher than the state rate. Check the city or county where the work is done.
- Special rates for students, trainees, small employers or other exemptions not named on this page.
- Taxes and deductions: Montana pay here is gross pay before tax.
Figures read from the sources below on November 9, 2026. Last updated November 9, 2026.
Sources
- Montana Department of Labor and Industry: Notice to Montana employers, minimum wage 2027 (October 7, 2026, PDF) (retrieved November 9, 2026)
Frequently asked questions
What is the minimum wage in Montana in 2027?
Montana's minimum wage is $11.20 an hour effective January 1, 2027, up from $10.85, according to the Department of Labor and Industry.
How is the Montana minimum wage calculated?
The prior rate is adjusted by the August change in the CPI-U (3.40 percent for 2027, a $0.37 adjustment) and rounded to the nearest $0.05.
How much did the Montana minimum wage rise?
By 35 cents, from $10.85 to $11.20.
When does the new Montana rate start?
January 1, 2027.
How much is $11.20 an hour a year?
At 40 hours a week for 52 weeks it is $23,296.00 before tax, or $448.00 a week.
Who sets the rate?
The Montana Department of Labor and Industry, which must make the adjustment by September 30 under section 39-3-409 of the Montana Code.
Where is the official notice?
The department's notice dated October 7, 2026, linked in the sources section.
Not legal advice
This page is general information from an unofficial guide, not legal, payroll or tax advice. Wage laws change and exemptions apply to some workers. Confirm the rate with the state labor agency before you set pay. Nothing you type is sent anywhere.