Yahoo Finance Here Is the Minimum Wage in Every State
The minimum wage is a legally mandated minimum amount of money employers must pay. While most states have a minimum wage, states like Louisiana and Mississippi that haven’t must meet the $7.25 per hour federal minimum wage.
Check Out: Billionaires vs. the Middle Class: Who Pays More in Taxes?
Learn More: 5 Unusual Ways To Make Extra Money (That Actually Work)
While $7.25 per hour barely seems like a living wage, it’s all employers are obligated to pay. This often puts workers in the position of having to work multiple jobs.
According to The Balance, if the minimum wage had kept up with the cost of living (most easily determined by the Bureau of Labor Statistics Consumer Price Index), it should have reached $10.15 in 2019. And, factoring in things like productivity and inflation, it should have been $24 by 2020.
As it stands now, though, the highest overall state minimum wage in America is $15.50 in California (though in the Portland, Oregon, metro area it’s $15.45).
Many states have tried to rectify this imbalance by setting a higher minimum wage than the federal allowance.
In 19 states and Washington D.C., the minimum wage is automatically adjusted yearly for inflation. These states include Alaska, Arizona, Colorado, Connecticut, Florida, Maine, Minnesota, Missouri, Montana, Nebraska, Nevada, New Jersey, New York, Ohio, Oregon, South Dakota, Vermont, Virginia, Washington and Washington, D.C.
Tipped Minimum Wage
In some states, you’ll notice that in addition to a minimum wage, there is a “tipped minimum wage.” This means that certain employees who earn regular tips — such as waitresses, food servers and bartenders — may be paid a minimum wage lower than the state or federal minimum, so long as the tips make up the difference.
Here, GOBankingRates reveals the minimum wage in every state.
Alabama: $7.25
Alabama has no state minimum wage. Alabama must pay the federal minimum wage of $7.25 per hour.
Find Out: The 7 Worst Things You Can Do If You Owe the IRS
Explore More: 4 Genius Things All Wealthy People Do With Their Money
Alaska: $10.85
In Alaska, the minimum cash wage payment is $10.85 per hour. The state requires employers to pay tipped employees the full state minimum wage before tips.
Discover More: Trump-Era Tax Cuts Are Expiring — How Changes Will Impact Retirees
Arizona: $13.85
In Arizona, the minimum cash wage payment is $13.85. The state requires employers to pay tipped employees who earn more than $30 in tips, a minimum cash wage above the federal minimum cash wage of $7.25 per hour.
Arkansas: $11
In Arkansas, the minimum cash wage payment is $11. The state requires employers to pay tipped employees a minimum cash wage above the minimum cash wage.
California: $15.50
In California, the minimum cash wage payment is $15.50. The state requires employers to pay tipped employees the full state minimum wage before tips.
Colorado: $13.65
In Colorado, the minimum cash wage payment is $13.65. The state requires employers to pay tipped employees who earn more than $30 in tips a minimum cash wage above the minimum cash wage.
Read Next: IRS Increases Gift and Estate Tax Exempt Limits — Here’s How Much You Can Give Without Paying
Connecticut: $14
In Connecticut, the minimum cash wage payment is $14. For tipped employees such as bartenders and those who work in hotels and restaurants, the tip credit is $8.62 per hour and the minimum cash wage is $6.38 per hour.
Delaware: $11.75
In Delaware, the minimum cash wage payment is $11.75. For tipped employees who earn more than $30 in tips, the tip credit is $9.52 per hour, and the minimum cash wage is $2.23 per hour.
Florida: $11
In Florida, the minimum cash wage payment is $11. For tipped employees who earn more than $30 in tips, the tip credit is $3.02 per hour, and the minimum cash wage is $8.98 per hour. The Florida minimum wage will automatically increase $1 every Sept. 30 until it caps out at $15 on Sept. 30, 2026.
Georgia: $7.25
In Georgia, the minimum cash wage is $7.25. For tipped employees who earn more than $30 in tips, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
Find Out: Top 7 Countries with Zero Income Tax
Hawaii: $12
In Hawaii, the minimum cash wage is $12. For tipped employees who earn more than $20 in tips, the tip credit is $1 per hour, and the minimum cash wage is $11 per hour.
Idaho: $7.25
In Idaho, the minimum cash wage is $7.25. For tipped employees who earn more than $30 in tips, the tip credit is $3.90 per hour, and the minimum cash wage is $3.35 per hour.
Illinois: $13
In Illinois, the minimum cash wage is $13. For tipped employees, the tip credit is 40% of the applicable minimum wage of $5.20 per hour, and per hour, and the minimum cash wage is $7.80 per hour.
Indiana: $7.25
In Indiana, the minimum cash wage is $7.25. For tipped employees who earn more than $30 in tips, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
Explore More: This Is the One Type of Debt That ‘Terrifies’ Dave Ramsey
Iowa: $7.25
In Iowa, the minimum cash wage is $7.25. For tipped employees who earn more than $30 in tips, the tip credit is 40% of the applicable minimum wage of $2.90 per hour, and the minimum cash wage is $5.12 per hour.
Kansas: $7.25
In Kansas, the minimum cash wage is $7.25 per hour. For tipped employees, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
Kentucky: $7.25
In Kentucky, the minimum cash wage payment is $7.25 per hour. For tipped employees who earn more than $30 in tips, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
Louisiana: $7.25
In Louisiana, the minimum cash wage payment is $7.25 per hour. For tipped employees who earn more than $30 in tips, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
Check Out: You Can Get These 3 Debts Canceled Forever
Maine: $13.80
In Maine, the minimum cash wage payment is $13.80 per hour. For tipped employees who earn more than $175 in tips, the tip credit is 50% of the applicable minimum wage (of $6.90), and the minimum cash wage is $6.90.
Maryland: $13.25
In Maryland, the minimum cash wage payment is $13.25 per hour. Businesses with 14 or fewer tipped employees (who earn more than $30 in tips,) must pay a tip credit of $9.17 per hour and a minimum cash wage of $3.63. Employers with 15 or more employees must pay a tip credit of $9.62 and a minimum cash wage of $3.63.
Massachusetts: $15
In Massachusetts, the minimum cash wage payment is $15 per hour. For tipped employees who make $20 or more in tips, employers must pay a tip credit of $8.25 per hour and a minimum cash wage of $6.75.
Minnesota: $10.59
In Minnesota, the minimum cash wage payment is $10.59 per hour. For employees, the tip credit is $6.26 per hour and 38% of the applicable minimum cash wage of $3.84 per hour.
Read More: 9 Strategies Americans Are Using To Minimize the Taxes They Pay on Retirement Savings
Mississippi: $10.10
In Mississippi, the minimum cash wage payment is $10.10 per hour. For tipped employees who work for a large employer, the minimum cash wage is $10.59, and for those who work for a small employer, $8.63.
Missouri: $12
In Missouri, the minimum cash wage payment is $12 per hour. For tipped employees, the tip credit is 50% of the applicable minimum wage of $6 per hour, and the minimum cash wage is $6 per hour.
Montana: $10.30
In Montana, the minimum cash wage payment is $10.30 per hour for businesses not covered by the Fair Labor Standards Act with gross annual sales of $110,000 or less. Businesses whose gross annual sales are $110,000 or less may pay $4 per hour.
Nebraska: $10.50
In Nebraska, the minimum cash wage payment is $10.50 per hour. For tipped employees who earn more than $30 in tips, the tip credit is $8.37 per hour, and the minimum cash wage is $2.13 per hour.
For You: Mark Cuban Reveals Why He Keeps a Strict Budget Everyday
Nevada: $10.25 to $12
In Nevada, if qualifying health insurance is not offered by the employer, the minimum cash wage is $11.25 per hour. If qualifying health insurance is offered by the employer, the minimum cash wage is $10.25 per hour. As of July 1, 2024, there will be a uniform minimum wage of $12 per hour for all employees.
New Hampshire: $7.25
In New Hampshire, the minimum cash wage payment is $7.25 per hour. For tipped employees who earn more than $30 in tips, the tip credit is 55% of the applicable minimum wage, or $3.99 per hour, and the minimum cash wage is 45% of the applicable minimum wage, or $3.26 per hour.
New Jersey: $14.13
In New Jersey, the minimum cash wage payment is $14.13 per hour. For tipped employees who earn more than $30 in tips, the tip credit is $8.87 per hour, and the minimum cash wage is $5.26 per hour. For seasonal and small employers who employ fewer than six people, the minimum wage is $13.73 per hour.
New Mexico: $12
New Mexico has a flat minimum wage of $12 per hour.
Learn More: 10 Things Frugal People Always Buy at Yard Sales To Save Money
New York: $14.20 to $16
The minimum cash wage payment in New York is $14.20 hourly unless you work in New York City, Nassau County, Suffolk County or Westchester County, where it’s $16 per hour.
For food service workers, the tip credit is $4.75 per hour and the minimum cash wage is $9.45 per hour.
For tipped employees, the tip credit is $2.35 per hour and the minimum cash wage is $11.85 per hour.
North Carolina: $7.25
North Carolina’s minimum cash wage payment is $7.25 hourly. For tipped employees, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
North Dakota: $7.25
North Dakota’s minimum cash wage payment is $7.25 hourly. For tipped employees earning more than $30 in tips, the tip credit is 33% of the applicable minimum wage, $2.39 per hour, and the minimum cash wage is $4.86 per hour.
Ohio: $10.10
In Ohio, the minimum cash wage payment is $10.10 per hour. For tipped employees, the tip credit is $5.05 per hour, and the minimum cash wage is $5.05 per hour.
Discover More: 5 Frugal Habits of Mark Cuban
Oklahoma: $7.25
In Oklahoma, the minimum cash wage payment is $7.25 per hour. For tipped employees, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
Oregon: $13.20 to $15.45
In Oregon, the minimum wage varies by region. The standard minimum wage is $14.20, $15.45 in the Portland metro area and $13.20 in non-urban counties.
Pennsylvania: $7.25
In Pennsylvania, the minimum cash wage payment is $7.25 per hour. For tipped employees who earn more than $135 per month in tips, the tip credit is $4.42 per hour, and the minimum cash wage is $2.83 per hour.
Rhode Island: $13
Rhode Island’s minimum cash wage payment is $13 per hour. For tipped employees who earn more than $30 in tips, the tip credit is $9.11 per hour and the minimum cash wage is $3.89 per hour.
Find Out: I’m a Frugal Shopper: 4 Items I Always Buy Secondhand To Save Money
South Carolina: $7.25
South Carolina’s minimum cash wage payment is $7.25 hourly. For tipped employees, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
South Dakota: $10.80
South Dakota’s minimum cash wage payment is $10.80 hourly. For tipped employees who earn more than $30 in tips, the tip credit is 50% of the applicable minimum wage or $5.40 per hour, and the minimum cash wage is $5.40 per hour.
Tennessee: $7.25
Tennessee’s minimum cash wage payment is $7.25 hourly. For tipped employees who earn more than $30 in tips, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
Texas: $7.25
In Texas, the minimum cash wage payment is $7.25 per hour. For tipped employees who earn more than $20 in tips, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
Read Next: Nearly Half of Americans Struggle To Pay Their Utility Bills: 5 Ways To Save
Utah: $7.25
In Utah, the minimum cash wage payment is $7.25 per hour. For tipped employees who earn more than $30 in tips, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
Vermont: $13.18
In Vermont, the minimum cash wage payment is $13.18 per hour. For tipped employees, such as those who work for a hotel, motel, tourist place or restaurant who customarily and regularly receive more than $120 per month in tips for direct and personal customer service, the tip credit is $6.59 per hour, and the minimum cash wage is $6.59 per hour.
Should the federal minimum wage ever rise higher than the state minimum, Vermont’s minimum wage will be automatically replaced with the federal minimum wage.
Virginia: $10.50
In Virginia, the minimum cash wage payment is $10.50 per hour. For tipped employees who earn more than $30 in tips, the tip credit is $9.87 per hour, and the minimum cash wage is $2.13.
Washington: $15.74
In Washington, the minimum cash wage payment is $15.74.
Discover More: 7 Appliances Frugal Homeowners Steer Clear Of
West Virginia: $8.75
West Virginia’s minimum cash wage payment is $8.75 hourly. For tipped employees who earn more than $30 in tips, the tip credit is 60% of the applicable minimum wage — $6.13 per hour, and the minimum cash wage is $2.62 per hour.
Wisconsin: $7.25
In Wisconsin, the minimum cash wage payment is $7.25 per hour. For tipped employees, the tip credit is $4.92 per hour, and the minimum cash wage is $2.33 per hour.
Wyoming: $7.25
In Wyoming, the minimum cash wage payment is $7.25 per hour. For tipped employees who earn more than $30 in tips, the tip credit is $5.12 per hour, and the minimum cash wage is $2.13 per hour.
Methodology: In order to find the minimum wage in every state, GOBankingRates analyzed each U.S. state for a variety of factors including; state minimum wage, minimum cash wage when tipped, minimum combined cash and tip wage, tipping position requirements, minor age, minor work certifications all sourced from the US Department of Labor Wage and Hour Division – Division of Fair Labor Standards and the US Department of Labor Wage and Hour Division – Child Labor. All data was collected and is up to date as of April 26, 2024.
More From GOBankingRates
I Earn Over $30K a Week in Semi-Passive Income on Amazon - Here's How
This is One of the Best Ways to Boost Your Retirement Savings in 2024
Here's How to Add $200 to Your Wallet -- Just For Banking Like You Normally Would
This article originally appeared on GOBankingRates.com: Here Is the Minimum Wage in Every State
