Denver’s minimum wage will be increased to $18.29 an hour as of Jan. 1, 2024, according to a press release from the city. 

Minimum wage for tipped food and beverage workers will also be raised $1 to $15.27 per hour, as long as the worker earns at least $3.02 in actual tips.

This $1 increase is part of the local ordinance based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). The annual adjustments are used to maintain a livable wage in correspondence to Denver’s cost of living. 

The minimum wage ordinance was approved unanimously by Denver City Council in 2019 and has “helped stabilize minimum wage workers and their families who keep our city running but who might fall behind due to the rising cost of living and high inflation,” according to the release.

“Denver thrives when our residents thrive, and this minimum wage adjustment serves as an important tool to help both our workers and businesses succeed in a competitive job market,” Mayor Mike Johnston said in the statement. “This increase can help put money in the pockets of Denver workers, ensure everyone receives a fair wage, and help Denver remain an attractive job market for employees.”

The annual increase is enforced by the Denver Labor Division of the Office of Denver Auditor Timothy O’Brien. It’s possible due to state law allowing municipalities to raise city minimum wages above that of the state.

Every year’s increase is based upon the CPI-W – the average change in prices paid for goods and services by urban wage earners and clerical workers.

The CPI-W for the Denver-Aurora-Lakewood area was 5.8% for the 2024 adjustments, less than the CPI-W of 8.94% for 2023, according to the release.