With each state having its specific laws regarding minimum wage, it can be almost impossible to keep track of them all. We all want to give a fair and livable wage, so the last thing you want is to make a legal blunder and underpay your employees.
It’s not too difficult to find the minimum wage in each state, so you don’t need to worry about doing anything illegal.
We’ll look at how much to pay employees so that you are in a better position to offer the best employee salary.
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What Is the Minimum Federal Wage?
There’s a baseline minimum that ignores any state laws. That is the federal minimum wage, and the barrier that you should never cross is $7.25 an hour.
The only time you can get around this is if there are specific exemptions. Examples of this are tip-earning employees, farmworkers, students, and minors.
The last time this number changed was 2009, so it’s not a number that sees much change.
A Quick Breakdown of Minimum Wage in Each State
States that offer the federal minimum wage of $7.25 are as follows.
Alabama, Georgia, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Mississippi, New Hampshire, North Carolina, North Dakota, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Wisconsin, and Wyoming.
The remaining thirty states have minimum wages that range between marginal increases and almost double.
- West Virginia at $8.75
- Nebraska at $9.00
- Montana at $9.20
- Ohio at $9.30
- Nevada at $9.75
- Michigan at $9.87
- South Dakota at $9.95
- Florida at $10.00
- Hawaii at $10.10
- Minnesota at $10.33
- Alaska at $10.34
- Delaware at $10.50
- Arkansas and Virginia at $11.00
- Missouri at $11.15
- New Mexico at $11.50
- Illinois at $12.00
- Rhode Island at $12.25
- Maryland at $12.50
- Vermont at $12.55
- Colorado at $12.56
- Maine and Oregon at $12.75
- Arizona at $12.80
- Connecticut and New Jersey at $13.00
- New York at $13.20
- Massachusetts at $14.25
- Washington at $14.49
California offers the highest minimum wage of $15.00, double the minimum wage in the states that take the federal baseline. The discrepancies in most of these cases reflect other laws or living costs.
The Best Way To Handle Salaries
It’s a lot to keep track of, and you should also remember that some states take an annual approach to reevaluate the minimum wage. If you are offering the absolute bare minimum, you will need to have a constant awareness of any developments or changes to the minimum wage.
A more sustainable option for handling salaries is to hire a payroll specialist. They won’t only make the management easier but will be able to offer employee hiring tips for creating a more attractive salary.
How To Run a Tight Ship
Asking yourself, “How much should I pay employees,” is only one part of the equation of running a successful business. There are multiple moving parts at play, more than just the minimum wage in each state. Managing them all can be overwhelming without expert help.
The proactive approach to researching answers to questions like this is a solid step. The problem is that sometimes there are developments you don’t know to research. That’s where our blog comes in, where you can keep reading our latest articles on business to stay ahead of the curve.