Wage and Hour Division (WHD)
Minimum Wages for Tipped Employees
January 1, 2013
Jurisdiction |
Future |
Basic Combined Cash & Tip Minimum Wage Rate |
Maximum Tip Credit Against Minimum Wage |
Minimum Cash Wage 1 |
Definition of Tipped Employee by Minimum Tips received (monthly unless otherwise specified) |
---|---|---|---|---|---|
FEDERAL: Fair Labor Standards Act (FLSA) |
$7.25 |
$5.12 |
$2.13 |
More than $30 |
|
STATE LAW DOES NOT ALLOW TIP CREDIT |
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Minimum rate same for tipped and non-tipped employees |
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|
|
$7.75 |
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|
|
$8.00 |
|||
|
|
$6.55 |
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Large employer 2 |
|
|
$6.15 |
||
Small employer 2 |
|
|
$5.25 |
||
Business with gross annual sales over $110,000 |
|
|
$7.65 |
||
Business with gross annual sales of $110,000 or less |
|
|
$4.00 |
||
|
|
$8.25 $7.25 |
With no health insurance benefits provided by employer and received by employee With health insurance benefits provided by employer and received by employee |
||
|
|
$8.95 |
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|
|
$9.19 |
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Minimum rate lower for tipped employees than for non-tipped |
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|
|
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STATE LAW ALLOWS TIP CREDIT |
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$7.80 |
$3.00 |
$4.80 |
Not specified |
||
$6.25 |
$3.62 |
$2.63 |
More than $20 |
||
$7.78 |
$3.02 |
$4.76 |
More than $30 |
||
|
$8.25 |
31.0% |
$5.69 |
At least $10 weekly for full-time employees or $2.00 daily for part-time in hotels and restaurants. Not specified for other industries. |
|
Hotel, restaurant |
|
|
$2.56 |
$5.69 |
|
Bartenders who customarily receive tips |
|
|
11% |
$7.34 |
|
$7.25 |
$5.02 |
$2.23 |
More than $30 |
||
$8.25 |
$5.48 |
$2.77 |
Not specified |
||
|
$7.79 |
$3.02 |
$4.77 |
|
|
$7.25 |
$3.90 |
$3.35 |
More than $30 |
||
|
$8.25 |
40% |
$4.95 |
$20 |
|
$7.25 |
$5.12 |
$2.13 |
Not specified |
||
$7.25 |
$2.90 |
$4.35 |
More than $30 |
||
$7.25 |
$5.12 |
$2.13 |
More than $20 |
||
$7.25 |
$5.12 |
$2.13 |
More than $30 |
||
$7.50 |
50% |
$3.75 |
More than $20 |
||
$7.25 |
$3.62 |
$3.63 |
More than $30 |
||
$8.00 |
$5.37 |
$2.63 |
More than $20 |
||
$7.40 |
$4.75 |
$2.65 |
Not specified |
||
$7.35 |
$3.675 |
$3.675 |
Not specified |
||
$7.25 |
$5.12 |
$2.13 |
Not specified |
||
$7.25 |
55% |
45% |
More than $30 |
||
$7.25 |
$5.12 3 |
$2.13 |
Not specified |
||
$7.50 |
$5.37 |
$2.13 |
More than $30 |
||
$7.25 |
|
|
Not specified |
||
Food service workers |
|
$2.25 |
$5.00 |
||
Service Employees in All Establishments |
|
$1.60 |
$5.65 |
||
Service Employees in Resort Hotels if tips at least $4.10 per hour |
$2.35 |
$4.90 |
|||
North Carolina 4 |
$7.25 |
$5.12 |
$2.13 |
More than $20 |
|
$7.25 |
33% |
$4.86 |
More than $30 |
||
Ohio 5 |
$7.85 |
$3.92 |
$3.93 |
More than $30 |
|
Oklahoma 6 |
$7.25 |
$3.62 or |
$3.63 |
Not specified |
|
$7.25 |
$4.42 |
$2.83 |
More than $30 |
||
$7.75 |
$4.86 |
$2.89 |
Not specified |
||
$7.25 |
$5.12 3 |
$2.13 |
More than $35 |
||
$7.25 |
$5.12 |
$2.13 |
More than $20 |
||
$7.25 |
$5.12 |
$2.13 |
More than $30 |
||
Vermont |
|
$8.60 |
$4.43 |
$4.17 |
More than $120 |
$7.25 |
$5.12 |
$2.13 |
Not specified |
||
$7.25 |
$5.12 |
$2.13 |
Not specified |
||
West Virginia7 |
$7.25 |
20% |
$5.80 |
Not specified |
|
Wisconsin 8 |
$7.25 |
$4.92 |
$2.33 |
Not specified |
|
$5.15 |
$3.02 |
$2.13 |
More than $30 |
The following states, not included in table, do not have State minimum wage laws: Alabama, Louisiana, Mississippi, South Carolina, and Tennessee. Also not included is Georgia, which exempts tipped employee under the law.
Some states set subminimum rates for minors and/or students or exempt them from coverage, or have a training wage for new hires. Such differential provisions are not displayed in this table.
FOOTNOTES
1 Other additional deductions are permitted, for example for meals and lodging, except as noted in footnote 8.
2 Minnesota. A large employer is an enterprise with annual receipts of $625,000 or more; a small employer, less than $625,000.
3 In New Jersey, Oklahoma, and South Dakota, the listed maximum credit is the total amount allowable for tips, food and lodging combined, not for tips alone as in other states.
Regarding Oklahoma, when a food and/or lodging credit is not involved, the wage tip credit is limited to $2.13 per hour.
In New Jersey, in specific situations where the employer can prove to the satisfaction of the labor department that the tips actually received exceed the creditable amount, a higher tip credit may be taken.
4 North Carolina. tip credit is not permitted unless the employer obtains from each employee, monthly or for each pay period, a signed certification of the amount of tips received.
5 Ohio. The minimum cash wage for tipped employees of employers with gross annual sales in excess of $255,000 is $3.50 per hour (plus tips). For tipped employees of employers with gross annual sales of less than $255,000, the tipped employee hourly rate is $2.93 per hour (plus tips).
6 Oklahoma. For employers with fewer than 10 full-time employees at any one location who have gross annual sales of $100,000 or less, the basic minimum rate is $2.00 per hour, with a 50% maximum tip credit.
7 West Virginia. For employers with six or more employees and for state agencies.
8 Wisconsin. $2.13 per hour may be paid to employees who are not yet 20 years old and who have been in employment status with a particular employer for 90 or fewer consecutive calendar days from the date of initial employment.
Prepared By:
Division of Communications
Wage and Hour Division
U.S. Department of Labor
This document was last revised in December 2012.