Small Business Questions & Answers

 

Filed under Office & HR

Ask About 2010 Minimum Wage Rates

by Planning A. Head | October 28, 2011

Subject :Human Resources

Dear Toolkit,

Can you let me know what the 2010 minimum wage rates and or other effective dates are for federal purposes and also for the states?

Dear Planning,

 

Warning: This is a critical topic for business owners meeting payrolls, but it makes for boring reading. Nonetheless, pay close attention to your particular state's rates and dates!

The federal minimum wage increased on July 24, 2009, to $7.25 per hour.

Employers of employees who are subject to both state and federal minimum hourly wage rates will have to comply by paying those employees the greater of the state or federal rates. This also includes states that do not have a state minimum wage rate.

Here are the current hourly rates in effect as of January 1, 2010:

  • ALABAMA - No state minimum wage rate
  • ALASKA - $7.75 (was $7.25)
  • ARIZONA - $7.25
  • ARKANSAS - $6.25 (exception for employers with less than four employees)
  • CALIFORNIA - $8.00 (except in "living wage" areas)
  • COLORADO - $7.24 (decrease from $7.28)
  • CONNECTICUT - $8.25 (was $7.65)
  • DELAWARE - $7.25
  • D.C. - $8.25 (federal minimum wage rate plus $1)
  • FLORIDA - $7.25
  • GEORGIA - $5.15
  • HAWAII - $7.25
  • IDAHO - $7.25
  • ILLINOIS - $8.00 ($8.25 as of 7/1/10)
  • INDIANA - $7.25
  • IOWA - $7.25
  • KANSAS - $7.25
  • KENTUCKY - $7.25
  • LOUISIANA - No state minimum wage rate
  • MAINE - $7.50 as of 10/1/09 (was $7.25)
  • MARYLAND - $7.25
  • MASSACHUSETTS- $8.00
  • MICHIGAN - $7.40
  • MINNESOTA - $6.15; $5.25 for businesses with annual gross sales of less than $625,000
  • MISSISSIPPI - No state minimum wage rate
  • MISSOURI - $7.25
  • MONTANA - $7.25 (exception for businesses with annual gross sales of $110,000 or less)
  • NEBRASKA - $7.25 (exception for employers with less than four employees)
  • NEVADA - $7.55; $6.55 for employers who provide a qualified health plan
  • NEW HAMPSHIRE - $7.25
  • NEW JERSEY - $7.25
  • NEW MEXICO - $7.50
  • NEW YORK - $7.25
  • NORTH CAROLINA - $7.25
  • NORTH DAKOTA - $7.25
  • OHIO - $7.30; $7.25 for businesses with annual gross sales of $267,000 or less
  • OKLAHOMA - $7.25
  • OREGON - $8.40
  • PENNSYLVANIA - $7.25
  • PUERTO RICO - $7.25
  • RHODE ISLAND - $7.40
  • SOUTH CAROLINA - No state minimum wage rate
  • SOUTH DAKOTA - $7.25
  • TENNESSEE - No state minimum wage rate
  • TEXAS - $7.25
  • UTAH - $7.25
  • VERMONT - $8.06
  • VIRGINIA - $7.25
  • WASHINGTON - $8.55
  • WEST VIRGINIA - $7.25
  • WISCONSIN - $7.25
  • WYOMING - $5.15

As for the federal requirements, the Department of Labor has downloadable posters available here, which explain the rules. Remember, all workplaces, by law, must display this poster for all employees to see.

Be diligent and careful incorporating all these changes into your system. Congress only gets inspired to act on this subject every decade or so, but your individual state might make more frequent revisions.