Minimum wage in Texas

Texas'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 Texas's $7.25 floor for FLSA-covered employers, among its 4 neighbors New Mexico ($12.00) and Arkansas ($11.00) are higher and Oklahoma ($7.25) and Louisiana ($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 Texas
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 lawNone listed by DOL (the FLSA's 40-hour rule applies to covered employers)
Tipped cash wage$2.13
Maximum tip credit$5.12

Rates as DOL lists them

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

Scheduled increases

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

Tipped employees

Texas'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 Texas
RowCombined cash and tip minimumMaximum tip creditMinimum cash wageTipped employee defined by monthly tips of
Texas$7.25$5.12$2.13More than $20
  • DOL footnote 12: The minimum wage laws in Kansas, Oklahoma, Texas, and Utah exclude from coverage any employment that is subject to the federal Fair Labor Standards Act.

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

  • The State law excludes from coverage any employment that is subject to the federal Fair Labor Standards Act.
  • The Texas State minimum wage law does not contain current dollar minimums. Instead the State adopts the federal minimum wage rate by reference.

Neighbors and the federal floor

Minimum wage in the states bordering Texas
StateState rateFloor for FLSA-covered employers
Texas$7.25$7.25
New Mexico$12.00$12.00
Arkansas$11.00$11.00
Oklahoma$7.25$7.25
Louisiananone$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 Texas'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 Texas

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

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