Skip to content
English
  • There are no suggestions because the search field is empty.

Minimum Wage: Federal vs State

Video and Transcript:  UNDER CONSTRUCTION 

  • The Fair Labor Standards Act give employees the right to minimum wage.  
  • Federal Minimum Wage: ($7.25/hour) This rate applies to covered nonexempt workers.  
    • If a state's minimum wage rate is lower than the federal, the federal rate is paid to the employee.  
    • The Federal Minimum Wage has not been updated since July 24th, 2009. 
    • Make sure to check for city laws, certain cities have a higher minimum wage law than the states.  
    • If a state's minimum wage rate is higher than the federal, the state rate is paid to the employee. ach state has a different Minimum Wage. The hourly rates are updated every year.  
     
  • US DOL (Department of Labor) shows updated state minimum wage rates and overtime laws. 
  • You can also find each state's minimum wage rate on their individual Department of Labor website.  
  • Federal Tipped Minimum Wage is $2.13/hour.  
    • The employee must regularly receive more than $30 per month in tips. 
  • Each state has a different tipped hourly rate, please be sure to look this up when onboarding new employees.  

How to look up the proper minimum wage 
**is there a way to set iSolved to auto-update the minimum wage?