Minimum Wage Increases for 2022
If you have employees that work in any of these states, you'll need to adjust your minimum wage rates and update your compliance posters.
Nearly half of all states are increasing their minimum wage rates for 2021. Is your state affected? See the complete list.
Nearly half of all states in the U.S. have announced new minimum wage rates for 2021, most with an effective date of January 1, 2021. While the federal minimum wage is still $7.25 per hour, many states have set their own minimum wage where employers must pay their staff at the higher state minimum rate.
Here’s a list of all states and their minimum wage rates for 2021:
Employers that have employees working in any states where minimum wages are increasing should review their employees’ pay rates and make any required adjustments. Companies should also update their minimum wage poster notices as necessary to ensure compliance with local wage regulations.
Federal minimum wage for tipped employees is $2.13/hr, provided that this hourly rate combined with tips equals at least the federal minimum wage. Several states require employers to pay tipped employees the full state minimum wage before tips, whereas others require employers to pay tipped employees a minimum cash wage above the federal minimum amount. See the state-specific laws regarding tipped employees.
In most states, workers under the age of 20 may be paid a lower “training” minimum wage for the first 90 consecutive calendar days of employment when their work does not displace another worker. This applies to all employers covered by the FLSA, unless prohibited by state or local law. After 90 days, the teen must receive at least the federal minimum rate of $7.25/hr or the higher state minimum wage rate.
For questions about minimum wage or help with other wage and/or compliance matters, please contact our certified HR experts at HR@stratus.hr.
Related articles:
If you have employees that work in any of these states, you'll need to adjust your minimum wage rates and update your compliance posters.
While the federal minimum wage of $7.25/hr still presides in 21 states, many states will have minimum wage rate increases in 2020.
Minimum wage is increasing in several states and municipalities as of July 1, 2019. Will your employees be affected? Check the list.