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What is the federal minimum wage?

The federal minimum wage is $7.25 per hour, unchanged since 2009. Most workers are covered by higher state or local minimums โ€” check your state's rate, as 30+ states exceed the federal floor.
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Full answer

The federal minimum wage of $7.25 per hour has been in effect since July 2009, set by the Fair Labor Standards Act (FLSA). Employers covered by the FLSA must pay at least this amount, but state and local laws can and often do set higher rates.

As of 2026, more than 30 states have minimum wages above the federal level. California ($16+), New York ($16+), and Washington ($16.28) are among the highest. Some cities like Seattle and San Francisco set even higher rates for workers within city limits.

Tipped workers have a separate federal minimum cash wage of $2.13/hour, with the expectation that tips bring them to at least $7.25 โ€” employers must make up the difference if they don't. Many states have eliminated this "tip credit" and require full minimum wage regardless of tips.

The Department of Labor's Wage and Hour Division enforces minimum wage laws. Workers who believe they've been underpaid can file a complaint at dol.gov/agencies/whd. This is general information, not legal advice.

Common mistake

Most people assume the federal rate applies to their job โ€” the applicable minimum wage is whichever is highest among federal, state, and local laws, so workers in major cities often earn far more than $7.25.

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