An employee earning a guaranteed monthly compensation of $4,000 or more is exempt from the State minimum wage and overtime law. Employers subject to the Fair Labor Standards Act must pay the current Federal minimum wage of $7.25 per hour. The minimum wage in the Portland metro area is $15.95 per hour and the minimum wage in nonurban counties is $13.70 per hour.
More than 20 states are raising their minimum wages in 2025.
Many states, however, have been increasing their minimum wage over the years to support their citizens. And employers are required to pay whichever minimum wage is highest that applies to their region. Premium pay not applicable to employees who request compensating time off in lieu of premium pay. The New York minimum wage equals the federal minimum wage when set below the federal rate. The New Hampshire minimum wage equals the federal minimum wage when set below the federal rate. Domestic service workers are subject to Hawaii’s minimum wage and overtime requirements.
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See the returns you’ll get from an automated and more efficient hourly workforce. Prepare now by refining recruitment strategies, updating job descriptions, and staying ahead of industry trends to attract top talent. The following states have passed legislation to reach a $15 minimum wage in 2025 and beyond. Authoritative, up-to-date data on the living standards of American workers. A payroll schedule determines when and how frequently an employer pays its people. The DOL defines a tipped employee as a worker who does a job where they regularly get more than $30 in tips per month.
State Minimum Wage Laws
Premium pay required after 52 hours in seasonal amusement or recreation businesses. Minimum wage rate and overtime provisions applicable to retail and service, commercial support service, food and beverage, and health and medical industries. Under a voluntary flexible work hour plan approved https://www.bookstime.com/ by the Alaska Department of Labor, a 10 hour day, 40 hour workweek may be instituted with premium pay after 10 hours a day.
The Florida minimum wage is scheduled to increase by $1.00 every September 30th until reaching $15.00 on September 30, 2026. In Massachusetts, where the tipped ledger account minimum wage is $2.63, the average income of tipped waiters and waitresses is $12.88. In Washington State, where the minimum wage for wait staff is $9.47, the average wage is $13.25 after gratuity. At Lift HCM, we understand how challenging it can be to stay compliant with ever-changing wage laws while balancing financial goals. As a business leader, you may feel overwhelmed by the intricacies of minimum wage updates, concerned about how they impact your workforce, and unsure of the best way to prepare.
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This wage increase applies only to employers with 60 or more establishments nationwide. This means that even franchises with a small presence in California will still need to comply. While the FLSA is an evolving document, it doesn’t automatically increase the minimum wage. For example, the current rate was enacted in 2009 — almost 15 years ago. The president must sign any change to the federal minimum wage minimum wage around the us into law.
- Applicable to all employees covered by the federal Fair Labor Standards Act (FLSA) except for agricultural employees and employees of municipalities and the Commonwealth of Puerto Rico.
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- The State minimum wage is automatically replaced with the federal minimum wage rate if it is higher than the State minimum.
- On the other hand, in states like Wyoming ($5.15), where the minimum wage rate is lower than the federal rate, the higher federal rate of $7.25 per hour applies.
To make it easier to identify updates, we’ve provided a list of 2025 and 2024’s hourly minimum wages by state. Keep in mind this list doesn’t consider every city or municipality with its own minimum wage requirement. Navigating the intricacies of minimum wage laws involves understanding regulations at the federal, state, and even city levels.
While we take all precautions to ensure that the data on this site is correct and up-to-date, we cannot be held liable for the accuracy of the labor law data we present. “Therefore, many employers have found it relatively easy to accommodate changes within planned budgets,” Johnson said. Women make up almost 60% of workers seeing a raise, according to EPI’s analysis.
