NEW YORK STATE - As New York enters 2026, the state is implementing a suite of new laws and regulations designed to tackle the cost of living, increase corporate transparency, and accelerate the transition to green energy. While some of these changes were passed in previous legislative sessions, their specific effective dates or phased implementation milestones are on January 1.
Here are five of the most significant new laws taking effect in the Empire State this January.
1. Another Minimum Wage Increase
New York continues its multi-year plan to raise the State wage floor. Starting January 1, workers will see their hourly pay increase once again.
- The New Rates: The minimum wage in New York City, Westchester, and Long Island will rise to $17.00 per hour. For the remainder of the state, the rate will increase to $16.00 per hour.
- Salary Thresholds: This change also increases the minimum salary threshold for "exempt" executive and administrative employees, who must now earn at least $1,326.00 per week ($68,952 annually) in the downstate region to remain exempt from overtime.
2. The LLC Transparency Act
In an effort to crack down on money laundering and "shell company" secrecy, the New York LLC Transparency Act officially goes into effect on January 1.
- On January 1, January liability companies (LLCs) formed in or authorized to do business in New York must now disclose their "beneficial owners"—the actual people who own or control the company—to the Department of State.
- Compliance: Existing companies have until the end of the year to file, while any new LLCs formed on or after January 1, 2026, January 1mit this information within 30 days of formation.
3. All-Electric Buildings Act (Phase One)
New York becomes the first state in the nation to begin a mandated phase-out of fossil fuels in new construction. Starting January 1, the January 1st Buildings Act takes effect for most new buildings seven stories or less.
- The Ban: New permit applications for small-scale residential and commercial buildings may no longer include equipment that burns fossil fuels, such as gas stoves, furnaces, or water heaters, for heat or hot water.
- The Standard: These buildings must be designed to be fully electric, utilizing heat pumps and induction cooking. Larger buildings over seven stories have a later deadline in 2029.
4. "Click-to-Cancel" Subscription Rights
New consumer protection rules included in the State latest budget cycle become enforceable this January. These laws target the "subscription trap" by requiring businesses to make it as easy to leave a service as it was to join.
- Transparency: Companies must now provide a precise, simple "click-to-cancel" mechanism for any online subscription.
- Notice Requirements: Businesses are also required to provide advanced notice of upcoming automatic renewals and clearly state any price changes before they take effect, preventing surprise charges on monthly statements.
5. Expanded Paid Prenatal Leave
New York's nation-leading paid leave policies expand further this year, with a specific focus on maternal health. A new stand-alone prenatal leave policy takes full effect this January.
- The Benefit: Employees in New York are now entitled to an additional 20 hours of paid sick leave specifically for prenatal care, such as doctors' appointments and ultrasounds.
- Protections: This leave is separate from thestate'ss existing paid family leave and general sick leave, ensuring that expecting parents don't have to exhaust their standard time off for routine pregnancy-related medical care.
Additional Regulatory Updates
Beyond these five laws, New Yorkers will also see new "Buy Now, Pay Later" regulations that require lenders to obtain state licenses and provide clearer fee disclosures. Additionally, new transparency rules for online retail returns require stores to post their refund policies in an accessible location before a consumer completes a purchase.
