Submitted by Office of State Sen. Norm Needleman
(August 9, 2026) — As State Comptroller Sean Scanlon finishes balancing the books for the 2026 fiscal year, the state’s projected surpluses remain strong, with a $448.4 million surplus for the General Fund and $16.9 million for the Special Transportation Fund. The General Fund surplus is up $36.7 million in the last month, with a revenue shift into 2027 offset by increases and revenue and reductions in debt service and other expenditures. When the budget is finalized, the state will contribute nearly $2 billion to the Rainy Day Fund, and once that fund is capped, about $1.31 billion will be used to pay down outstanding pension debts.
Starting on January 1, 2027, Connecticut’s minimum wage will rise from $16.94 to $17.48 per hour. Under a bill signed into law in 2019, at the end of the fiscal year the state adjusts the minimum wage based on economic indicators, with the change taking effect at the start of the next calendar year. This next 54-cent increase will keep Connecticut in the nation’s top states for minimum wage, just behind Washington State.
