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San Francisco, CA Employment Preemption: Minimum Wage Preemption (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

2026 estimated rate
$19.18 per hour
Code reference
Admin Code Ch. 12R
Coverage threshold
2 hours weekly in SF
Tip credit allowed
None
Indexing
Annual CPI adjustment

Summary

San Francisco's local minimum wage is approximately $19.18 per hour for 2026, indexed to CPI under Administrative Code Chapter 12R. It applies to anyone working at least two hours per week within city limits.

1182.12. (a) Notwithstanding any other provision of this part, on and after July 1, 2014, the minimum wage for all industries shall be not less than nine dollars ($9) per hour, and on and after January 1, 2016, the minimum wage for all industries shall be not less than ten dollars ($10) per hour. (b) Notwithstanding subdivision (a), the minimum wage for all industries shall not be less than the amounts set forth in this subdivision... (c) (1) ...the Director of Finance shall calculate an adjusted minimum wage. The calculation shall increase the minimum wage by the lesser of 3.5 percent and the rate of change in the averages... for the U.S. Bureau of Labor Statistics nonseasonally adjusted Consumer Price Index for Urban Wage Earners and Clerical Workers (U.S. CPI-W).

Source: San Francisco Municipal CodeView official code

Full Breakdown

Chapter 12R of the Administrative Code sets the citywide minimum wage, indexed each July to the Bay Area Consumer Price Index. The estimated 2026 rate is $19.18 per hour, exceeding California's $16.50 statewide minimum. Coverage extends to any employee performing at least two hours of work per week inside San Francisco, regardless of where the employer is based, including remote employees occasionally working from city addresses. Tipped workers receive the full minimum with no tip credit. OLSE enforces through investigations, administrative back-wage orders, and civil penalties up to triple damages. Posters must be displayed in English, Spanish, Chinese, and Filipino.

Violations & Fines

Paying below the SF rate, taking tip credits, or failing to post notices in required languages exposes employers to triple back wages, civil penalties, and OLSE administrative actions.

Frequently Asked Questions

Does SF minimum wage apply to remote workers?
Yes, if the employee performs at least two hours of work per week physically located in San Francisco. Fully remote workers based outside the city are not covered.
Are small businesses exempt?
No. Unlike some cities with phased small-employer rates, San Francisco applies a single minimum wage to all private employers regardless of size.

Sources & Official References

Other rules in San Francisco

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