Minimum Wage Increases Set for City and County of Santa Fe

Effective March 1, 2025, the minimum wage rates in the City of Santa Fe and Santa Fe County, New Mexico will increase to $15.00.  

The city and county minimum wage rates adjust each year in accordance with the regional increase in inflation, which is calculated based off the percentage increase in the consumer price index (CPI-W) over the last 12 months. The jurisdictions generally announce their upcoming minimum wage changes in the month prior, providing employers a short turnaround time to review and update employee wages.  

Considering this quick turnaround time, employers should review the following key highlights of the local ordinances and upcoming minimum wage changes.  

Santa Fe City vs. County Wage Requirements

While both the City and County of Santa Fe are increasing their standard minimum wage rates to $15.00 on March 1, 2025, there are still differences in their minimum wage requirements. 

Most notably, the City of Santa Fe Living Wage Ordinance states that its minimum wage requirements apply within the Santa Fe city limits while Santa Fe County’s Living Wage Ordinance states that its minimum wage requirements apply only to the unincorporated areas of the county. Thus, the county minimum wage rate does not apply to employers within the three incorporated boundaries of the City of Espanola, the Town of Edgewood, and, of course, the City of Santa Fe.  

As the City of Santa Fe is the only incorporated city that has passed its own minimum wage ordinance, both the City of Espanola and the Town of Edgewood follow the State of New Mexico’s minimum wage law, which currently sets the standard minimum wage to $12.00 and the tipped employee wage to $3.00. 

Tipped Employee Wage Updates

The City and County of Santa Fe also follow different tip requirements. In the City of Santa Fe, any tips received and retained by the employee may be counted toward the city minimum wage requirement if the employee customarily receives more than $100 per month in tips or commissions. While the city does not provide a base wage for tipped workers, employers still need to comply with New Mexico’s tipped employee wage requirements, which has remained at a base wage of $3.00 since Jan. 1, 2023.  


Source(s):

Holle, D. (2025, March 4). Minimum Wage Increases Set for City and County of Santa Fe. GovDocs. https://www.govdocs.com/minimum-wage-increases-set-for-santa-fe/