The Minneapolis minimum wage is $16.37 an hour in 2026 and rises to $17.02 on January 1, 2027. The city's page says it applies regardless of employer size or the employee's age. That's well above Minnesota's $11.41 state rate, so labor for Minneapolis work needs its own rate in your books.
Minneapolis is where the state wage figures stop being the whole story. This page covers the city minimum wage, how Minnesota sales tax treats cleaning, and what the higher wage means for your books. For payroll registration and the rest of the state picture, see bookkeeping for Minnesota cleaning businesses.
The Minneapolis minimum wage
In 2026 the Minneapolis minimum wage is $16.37 an hour, and on January 1, 2027 it goes to $17.02. There's no size tier to sort out here, unlike Saint Paul: the city's page says the rate applies regardless of employer size or the employee's age.
Source: City of Minneapolis, Minimum Wage
For comparison, Minnesota's statewide rate is $11.41 in 2026 and $11.87 on January 1, 2027. Which of your jobs fall under the city minimum wage is a question for the city or an employment attorney.
Source: Minnesota Department of Labor and Industry, Minimum-wage rate adjusted for inflation as of Jan. 1, 2026 (August 28, 2025)
Source: Minnesota Department of Labor and Industry, Minimum-wage rate adjusted for inflation as of Jan. 1, 2027 (August 19, 2026)
Minnesota sales tax on cleaning
At the state level, commercial cleaning is taxable and residential cleaning depends on the task, with floor and window cleaning on the taxable list and making beds and dishwashing off it. The full lists are on the Minnesota sales tax on cleaning page. This page does not cover local sales taxes, and how the rules apply to your jobs is a question for your CPA.
Source: Minnesota Department of Revenue, Building Cleaning and Maintenance industry guide (June 29, 2026)
What the city wage does to your books
A $17.02 floor next year can look like a lot to absorb on contracts you priced at the old number. Don't panic. It's one rate. It's on the calendar. We'll get it into your job costs before January. I book labor at the wage you actually pay, and then the job profitability estimator shows which Minneapolis contracts still carry their weight at the new rate.
I'm a bookkeeper, not a CPA or an Enrolled Agent. I keep the labor numbers accurate and recorded; tax and filing questions go to your CPA.
Rules checked against the sources above as of October 20, 2026. Rates and rules change; confirm current figures with the agency or your CPA.