United States · tipped workers
Tipped minimum wage by state.
Pick a state to see the state minimum wage, the lowest cash wage an employer can pay a tipped worker and the largest tip credit. Add hours and tips to see the top-up the employer owes if tips fall short.
Reference figures, not legal or payroll advice
Rates come from the U.S. Department of Labor table revised July 1, 2026, with Florida's September 30, 2026 scheduled increase verified against FloridaCommerce. Cities, counties and some industries have different rules. Nothing you enter leaves your browser and nothing is stored.
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How it works
For one workweek, the minimum wage owed is state minimum wage × hours. The employer pays the minimum cash wage (cash wage × hours), tips count toward the rest, and the employer pays any gap: top-up = max(0, minimum wage × hours − cash wage × hours − tips). This follows the federal tip credit rule in 29 U.S.C. 203(m)(2)(A), which requires that tips plus the cash wage reach the full minimum wage. The maximum tip credit is the minimum wage minus the cash wage.
Federal baseline: $2.13 cash wage plus up to $5.12 tip credit equals the $7.25 federal minimum wage. In states with a higher cash wage the credit is smaller, and in states that require the full minimum wage before tips there is no credit at all.
Not modeled: local minimum wages, overtime (a tipped worker's overtime is based on the full minimum wage), the 80/20 rule for non-tipped duties, tip pooling rules, minors and training wages, and state conditions such as Hawaii's $7.00 test. State notes appear under your result.
Sources and as-of date. Figures are from the U.S. Department of Labor Wage and Hour Division table, document last revised July 1, 2026. Florida's scheduled September 30, 2026 increase is verified against FloridaCommerce. American Samoa is left out because DOL lists special minimum wage rates there.
- DOL: State tipped minimum wages
- FloridaCommerce: Florida minimum wage
- DOL: State minimum wage laws
- 29 U.S.C. 203(m): FLSA tip credit
- DOL: State labor offices (each state labor department)
All rates at a glance
| State | Minimum wage | Cash wage | Max tip credit |
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Frequently asked questions
What is the federal tipped minimum wage?
The federal minimum cash wage for tipped employees is $2.13 an hour. An employer may claim a tip credit of up to $5.12 an hour against the $7.25 federal minimum wage, and only if the employee actually receives enough in tips to make up the difference (29 U.S.C. 203(m)). Employees who customarily receive more than $30 a month in tips count as tipped employees.
What happens if tips do not bring a worker up to the full minimum wage?
The employer must pay the shortfall. The test is applied to the workweek: cash wage plus tips must reach the full minimum wage for every hour worked, and the employer pays any gap. The calculator shows that top-up for your hours and tips.
Which states have no tip credit?
Alaska, California, Guam, Minnesota, Montana, Nevada, Oregon and Washington require employers to pay the full state minimum wage before tips, according to the U.S. Department of Labor table. Tips are then extra on top of the minimum.
Why is the tipped cash wage higher than $2.13 in most states?
Many states set their own minimum cash wage above the federal floor, which shrinks the tip credit. For example Illinois caps the credit at 40% of the minimum wage, and Maine and Missouri at 50%. Where state and federal law differ, the employer must follow whichever is more favorable to the employee.
Do cities and counties have their own tipped wage?
Some do. Local minimum wage laws can be higher than the state rate, and the DOL table does not show them. Check your city or county as well, and the state labor office for the current figure.
Does the tool show New York?
It shows the New York minimum wage ($17.00 in New York City, Long Island and Westchester, $16.00 elsewhere) but not a top-up, because the DOL table says tipped rates in New York vary by region and type of employer. Use the New York State Department of Labor for those rates.