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Minimum Wage in Indiana

Indiana's minimum wage follows the federal rate of $7.25 per hour for employers of 2 or more employees, with a $2.13 tipped cash wage.

Last checked . General information, not legal advice.

Indiana at a glance

Minimum wage (per hour)
$7.25
Equal to the federal FLSA minimum wage; applies to employers with at least 2 employees.
Tipped cash wage (per hour)
$2.13
Next scheduled increase
None scheduled
The state rate follows the federal minimum wage.

Sources

Last checked

The rules in Indiana

What is the minimum wage in Indiana in 2026?

Minimum wage (per hour) in Indiana: $7.25. Equal to the federal FLSA minimum wage; applies to employers with at least 2 employees.

What is the minimum cash wage for tipped employees in Indiana?

Tipped cash wage (per hour) in Indiana: $2.13.

When is the next minimum wage increase in Indiana?

Next scheduled increase in Indiana: None scheduled. The state rate follows the federal minimum wage.

Where do the Indiana minimum wage laws come from?

The rules above come from Ind. Code 22-2-2-4. Each source is linked on this page. We last checked them in October 2026.

What this means in practice

Check which rate applies before setting pay. Coverage rules, employer size thresholds, and exemptions for certain jobs or industries differ, and a local ordinance may require more than the state rate. The statute linked on each state page is the starting point.

Where a lower tipped cash wage is allowed, the employer usually must make up the difference whenever tips fall short of the full minimum wage for the pay period. Keeping accurate records of hours worked and tips reported helps show that every pay period met the minimum.

Rates can change on fixed dates, often January 1 or July 1, and some states adjust them each year for inflation. Reviewing pay rates, offer letters, and employment contracts ahead of each scheduled change helps avoid underpayment claims.

General information, not legal advice. Laws change, and cities can add their own rules, so check the current statute before you rely on it.