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.