Minimum wage in North Carolina

North Carolina's basic minimum wage is $7.25 an hour. That equals the federal minimum wage of $7.25, in force since July 24, 2009. Employers may pay tipped employees a cash wage of $2.13 and count tips toward the rest, with a tip credit of up to $5.12. Against North Carolina's $7.25 floor for FLSA-covered employers, among its 4 neighbors Virginia ($12.77) is higher and Georgia ($7.25 floor; state rate $5.15), South Carolina ($7.25 floor; no state law) and Tennessee ($7.25 floor; no state law) are the same.

Verified against the U.S. Department of Labor on (DOL's state table updated ). Source: State Minimum Wage Laws, Minimum Wages for Tipped Employees.

At a glance

Key minimum wage facts for North Carolina
ItemValue
State minimum wage$7.25
Against the federal $7.25equal to federal
Floor for FLSA-covered employers$7.25 (the higher of the state and federal rates)
Scheduled changeNone listed by DOL
Overtime threshold in state lawWeekly - 40
Tipped cash wage$2.13
Maximum tip credit$5.12

Rates as DOL lists them

Basic minimum rates in North Carolina with their conditions
Rate per hourApplies to
$7.25No condition stated by DOL

Premium pay after designated hours: Weekly - 40. DOL footnote 1: The overtime premium rate is one and one-half times the employee's regular rate, unless otherwise specified.

Scheduled increases

DOL lists no scheduled increase and no indexing formula for North Carolina. A change would require new legislation or a ballot measure.

Tipped employees

North Carolina's required cash wage for tipped employees is the federal $2.13; tips may make up the rest of the applicable minimum wage.

Tipped employee minimum wage in North Carolina
RowCombined cash and tip minimumMaximum tip creditMinimum cash wageTipped employee defined by monthly tips of
North Carolina$7.25$5.12$2.13More than $20
  • DOL footnote 13: North Carolina. Tip credit is not permitted unless the employer obtains from each employee, either monthly or each pay period, a signed certification of the amount of tips received. Employers must notify employees in advance of the amount of cash wages they will be paid and the amount that wages will be increased using the tip credit.

A dash means DOL left the cell blank. DOL's general footnote 1: Other additional deductions are permitted, for example for meals and lodging.

What DOL also notes

  • Premium pay is required after 45 hours a week in seasonal amusements or recreational establishments.

Neighbors and the federal floor

Minimum wage in the states bordering North Carolina
StateState rateFloor for FLSA-covered employers
North Carolina$7.25$7.25
Virginia$12.77$12.77
Georgia$5.15$7.25
South Carolinanone$7.25
Tennesseenone$7.25
Federal (FLSA)$7.25$7.25

More than one law can apply

DOL states that where federal, state and local minimum wage laws all cover an employer, the employer must pay the highest applicable rate. Whether a particular job is covered by the Fair Labor Standards Act, by North Carolina's law, or by a city or county ordinance depends on facts this site does not assess. City and county rates are not in DOL's table and are not shown here. This page describes published rates and is not legal advice; for how to raise an underpayment, see FastGuide.

Take-home pay and benefits calculators for North Carolina

FastCalc, a sister site, has these calculators for North Carolina. Each takes your own figures; this site computes nothing.

Related