If the state minimum wage, the wage rate will increase on December 31, 2020. January 1, 2024: $55,000 per year ($1,057.69 per week) 6. Materials accompanying the ballot measure do not discuss the affect, if any, of the ballot measureâs amendments on the Departmentâs adjustment (e.g., Amendment 2 says the state will annually adjust the rate beginning on September 30, 2027). 4 The minimum wage for employers with 26 or more employees remains $15.00 per hour. $1,125 per week ($58,500 per year) on and after December 31, 2021. Less than one month before voters went to the polls, the Florida Department of Economic Opportunity announced an annual CPI adjustment to take effect on January 1, 2021 ($8.65 per hour), as it was required to do under the state constitution before the amendments. Being paid on a âsalary basisâ means an employee regularly receives a predetermined amount of compensation each pay period on a weekly, or less frequent, basis. 27 The maximum tip credit temporarily decreases because the local minimum wage rate will not change on January 1, 2021, but the state minimum cash wage, which applies to employers covered by state and local law, will increase on January 1, 2021. The 2021 salary threshold for executive, professional, and administrator exempts for businesses in Washington with 50 or fewer employees will be 1.5 times minimum wage, which is $821.40 per week (or $42,712.80 annually). The 2021 thresholds for computer professionals who are paid by ⦠Please note that some â but not all â New York rates may also increase on December 31, 2021, but for this article we focus on the New York rates that will apply every day in 2021 except December 31, 2021. Salary Threshold for Exempt Employees (2021) Finally, the tiered salary thresholds required for exempt status are also rising effective December 31, 2020. 2 Although we include examples of industry-specific minimum wage rates, this articleâs primary purpose is to discuss rate changes that affect employers generally, so it may not necessarily cover all industry-specific rate changes; nor does this article discuss industry lawsâ coverage requirements. Employers with questions concerning this issue should consult counsel. A city or county enacts a law to set a minimum wage rate that exceeds that set by federal and state law. The "General" rate applies in areas not covered by the "Urban" or "Nonurban" rates. Preset increases to the minimum wage will occur on January 1 in 2023 ($14.00) and 2024 ($15.00). Directly below we highlight the minimum cash wage (MCW) that may be paid, and the maximum tip credit (TC) employers can claim, for covered tipped employees, as well as the amount of the increase. So, when the minimum wage goes up statewide, so does the exempt salary threshold. That amount will increase in 2021. In various states, executive, administrative, or professional employees are exempt from state overtime requirements, but not exempt from state minimum wage requirements. Employers seeking to classify employees as exempt from overtime should ensure employees meet both federal and state exemption criteria. Large businesses (51 or more employees): An exempt ⦠24 Although a lower minimum wage rate applies for employees of small or seasonal employers, the state labor department contends that the general minimum wage rate applies to a covered tipped employee thereof. Additionally, in a handful of states, outside sales employees are not exempt from state minimum wage requirements. Washington: An employeeâs regular rate of pay must exceed one-and-a-half times the state minimum wage, which on January 1, 2021, will increase to $13.69 per hour. . Next, we highlight state, counties, and cities where, for tipped employees, the minimum cash wage and/or tip credit will increase in 2021. Notwithstanding the minimum amount 32 employers must pay executive, administrative, and professional employees for these workers to be exempt from the federal Fair Labor Standards Actâs (FLSA) minimum wage and overtime requirements, currently at least seven states have pay requirements that will exceed the revised federal standard in 2021⦠Belmont, Burlingame, Cupertino, Daly City, El Cerrito, Half Moon Bay, Hayward, Los Altos, Menlo Park, Mountain View, Novato, Oakland (Gen.), Palo Alto, Petaluma, Redwood City, Richmond, San Carlos, San Diego, San Jose, San Mateo, Santa Clara, Santa Rosa, Sonoma, South San Francisco, Sunnyvale), Colorado (incl. Denver), Florida, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Montana, New Jersey, New Mexico (incl. However, it is unclear whether employers must base payment on the federal or state minimum wage. The rule increases the salary threshold for employees exempt under the executive, administrative, and professional exemptions (the âwhite collar exemptionsâ) from $455 per week (or $23,660 annually) to $684 per week (or $35,568 annually). These upcoming changes will significantly impact both large and small businesses as more and more employees ⦠The current minimum salary was $455 per week, or $23,660 annually. In many cases, the state criteria are harder to meet than the federal criteria. 32 Up to 10% of the federal salary amount may be satisfied via nondiscretionary bonuses, incentives and commissions that employers pay annually or more frequently. At the time of publication, though not necessarily officially certified, it appears voters approved the following three measures: In Florida, Amendment 2 establishes a $10.00 per hour minimum wage on September 30, 2021, which will increase $1.00 per hour each subsequent September 30 until the minimum wage reaches $15.00 per hour on September 30, 2026. To help manage this challenge, below we provide a rates-only update that details scheduled state- and local-level wage increases throughout 2021 so employers can determine the minimum amount they must pay non-exempt, tipped, and certain exempt employees. By S. Libby Henninger and Sebastian Chilco on, General Data Protection Regulation (GDPR), Littler Restructuring Assessment Solution, Florida Passes Amendment 2, Gradually Increasing Floridaâs Minimum Wage to $15 an Hour, https://www.oaklandca.gov/topics/measure-ff-and-measure-z, New State Employment Laws Set to Take Effect on January 1, 2021, On September 1, 2020, the minimum wage in, On November 1, a new $14.00 per hour minimum wage for long-term care facility direct care staff took effect in. The U.S. Department of Labor recently released a proposed rule increasing the long-standing amount, as one of the requirements for âexemptâ employees under the Fair Labor Standards Act. Effective January 1, 2021, the rule increases the minimum salary required for the executive, administrative, and professional exemptions under state law as follows: Earlier this year, Pennsylvania adopted a new rule that increases the minimum salary required for the states' executive, administrative, and professional exemptions to $780 per week, effective October 3, 2021. First, we highlight state, counties, and cities where the minimum wage will increase in 2021. Or. 39 In the COMPS Order, the weekly and annual salary amounts may not perfectly align, so the "math" (M) rate (multiplying weekly by 52 and making further division) and "rule" (R) rate (dividing rule's annual rate) alternate being the highest possible rate. January 1, 2022: $45,000 per year ($865.38 per week) 4. 6. ⦠Minimum wage laws can affect businesses of all sizes, whether operating nationwide, in multiple jurisdictions, or only in one state, county, or city. Notwithstanding the minimum amount32 employers must pay executive, administrative, and professional employees for these workers to be exempt from the federal Fair Labor Standards Actâs (FLSA) minimum wage and overtime requirements, currently at least seven states have pay requirements that will exceed the revised federal standard in 2021: Alaska, California, Colorado, Maine, New York State (executive or administrative),33 Pennsylvania, and Washington State. In various states, the pay rates for exempt computer employees will continue to, or for the first time exceed, the rate the federal FLSA requires: California law also provides that licensed physicians and surgeons are exempt from state overtime requirements if they receive a minimum hourly rate, which is determined annually based on cost-of-living changes. Please note the some New York rates may also increase on December 31, 2021. In 2021, the (M) rate exceeds the (R) rate of $3,375. To be considered "exempt," these employees must generally satisfy three tests: State Impact: Many states have their own salary and duties tests for determining whether an employee is exempt from overtime under state rules. . Effective January 1, 2020, the federal government is raising the minimum salary requirement for exempt positions from $455 to $684. New Minimum Wage in 2021 On January 1, 2021, Washingtonâs minimum wage will increase from $13.50 to $13.69. The state's minimum wage is scheduled to increase on January 1, 2021 and varies based on size of the employer. 43 Other states that require employers to pay these employers the minimum wage, but which will not experience a minimum wage increase in 2021, include: Georgia ($5.15); Nebraska ($9.00); and North Dakota ($7.25). Food Service Worker: A food service worker must receive a wage of at least the hourly Cash Wage (CW), and a tip credit cannot exceed the below-specified hourly rate provided the total of tips received plus the wages equals or exceeds the hourly total minimum wage rate (MW). Additionally, on May 1, the Virginia minimum wage will increase to $9.50 per hour, and on July 1, the Nevada minimum wage will increase to $9.75 or $8.75 per hour, depending on whether an employer offers health benefits. 15 Subsidized Temporary Youth / Transitional Employment Program â Under 18 Years Old. Large businesses with more than 50 employees must provide a salary of at least 1.75 times the minimum wage to overtime exempt employees. Employers cannot claim a tip credit for fast food employees. California requires the minimum salary for exempt employees to be twice the state hourly minimum wage level. ... On January 1, 2021, the minimum wage will increase to $14 per hour. Additionally, information concerning Albuquerque, Bernalillo County, and Las Cruces, New Mexico is not included in the below chart. For these two exemptions, the state generally sets the minimum salary requirement at 75 times the state minimum wage, which differs based on the region of the state. Workers ages 14-15 may be compensated at 85 percent of the minimum wage ($11.64 per hour in 2021). Notably, the ballot measure creates a special minimum wage rate â 1.5 times the minimum wage â for work employees perform during a declared emergency; however, the increased minimum wage rate does not apply to telework. This threshold multiplier will be in effect until 2028, when it reaches 2.5 times the minimum wage. 30 This includes any rate that would be in effect before the scheduled increase in 2021. January 1, 2025: The 2024 salary adjusted for infl⦠Under some state laws, these employees are exempt only from overtime requirements, meaning employers must pay them at least the state minimum wage for all hours worked, and many of these state minimum wage rates will increase in 2021. The content on this blog is "as is" and carries no warranties. However, after that announcement, the city held further meetings with legal staff, so employers should monitor this development in case the cityâs position changes. For large businesses (51 or more employees), an exempt employee must earn a salary of at least 1.75 times the minimum wage, or $49,831.60/year. First, we discuss generally applicable tip standards, then standards that apply in the hospitality industry, which vary depending on an employeeâs role and the place of employment. On September 30, 2027, and each subsequent September 30, the state will annually adjust the minimum wage based on changes to the consumer price index (CPI).1. 10 Notwithstanding the available credit (see previous footnote), employers must comply with local and state law. January 1, 2021: $40,500 per year ($778.85 per week) 3. Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney. July 1, 2020: $35,568 per year ($684.00 per week)** 2. This development creates unique issues for employers subject to local minimum wage ordinances in Albuquerque, Bernalillo County, and Las Cruces. In 2021, this will occur in New Mexico when the state minimum wage increases from $9.00 to $10.50 on January 1, 2021. People that work for an employer with more than 25 employees are entitled to be paid a minimum wage of at least $13.00 per hour.â 15. However, if the direct wage plus tips does not equal the minimum wage, an employer must pay the employee the difference. Note that the some â but not all34 â New York rates will also increase on December 31, 2021, but for this article we focus on the New York rates that will apply every day in 2021 except December 31, 2021. Service Employee: An employer must directly pay a service employee at least the hourly Cash Wage (CW), and cannot claim a tip credit that exceeds the hourly Tip Credit rate (TC). 18 Employers subject to the state minimum wage that applies in New York City â generally or for fast food worker rate â will not see an increase in 2021, as both rates will remain $15.00 per hour. District of Columbia: An employeeâs regular rate of pay must exceed one-and-a-half times the district minimum wage, which on July 1, 2021, will be annually adjusted from its current $15.00 per hour rate. Moreover, all adjusted rates take effect on January 1. Before classifying and treating any employee as exempt from overtime, employers should confirm that the employee satisfies all applicable tests for overtime exemption under federal and state laws. On January 1, 2021, the minimum salary required to qualify for the executive/supervisor, administrative, and professional exemptions under state law increases to $778.85 per week. 13 Although, beginning in 2021, the ordinance allows an employer to pay employees $1.50 per hour less than the applicable local minimum wage if they pay at least $1.50 per hour per employee towards an employee medical benefits plan, employers must also comply with state law, so the credit cannot cause an employee's wage to drop below the state minimum wage. Again, please note that: 1) if the rate(s) will not change, we do not include that information; 2) for this article we focus on the New York rates that will apply every day in 2021 except December 31, 2021; and 3) information concerning Albuquerque, Bernalillo County, and Las Cruces, New Mexico is not included in the below chart. Note that pending or future legislation might change minimum wage rates that will apply in 2021, so we recommend employers monitor legislative developments and consult with counsel to confirm rates did not change since publication. The federal Fair Labor Standards Act (FLSA) requires employers to pay most employees at least the federal minimum wage for each hour worked as well as overtime pay for all hours worked in excess of 40 in a workweek. In New York City, the minimum wage will remain $15.00, whereas the minimum wage in Nassau, Suffolk, and Westchester Counties will increase to $14.00, and, in the remainder of New York State, the minimum wage will increase to $12.50. ADP does not warrant or guarantee the accuracy, reliability, and completeness of the content on this blog. 37 An executive, supervisor, administrative, or professional employee must be paid a salary that is at least the level listed and sufficient for the minimum wage for all hours in a workweek. A summary of 2021 changes to state minimum salary requirements is below. As a result, the minimum salary required for the executive and administrative exemptions will increase on December 31, 2020 as follows: Note: There is also a professional exemption under state law. 1 For more information, see Natalie Storch and Kimberly Doud, Florida Passes Amendment 2, Gradually Increasing Floridaâs Minimum Wage to $15 an Hour, Littler ASAP (Nov. 9, 2020). 33 Until the FLSA rate increased in 2020, Connecticut, Iowa, and Oregon may have had greater rates. As per the Wage Order, the minimum salary level for the executive exemption and the administrative exemption governing employers in New York State, but outside of New York City and outside of Nassau, Suffolk and Westchester Counties, will rise to: The minimum wage in some of these states will increase on January 1, 2021:42 Arizona ($12.15); Illinois ($11.00); Massachusetts ($13.50); New Jersey ($12.00 under the general rate; $11.10 for small employers; $10.30 for seasonal employers); and South Dakota ($9.45). Rev. Small employers with tipped employees should consult employment counsel when determining the rate to pay tipped employees. 16 In 2021, the separate rate for employers with 10,001 or more employees will remain $12.50 per hour. 36 An employee must earn a monthly salary equivalent to no less than 2 times the state minimum wage for full-time employment (employment in which an employee is employed for 40 hours per week). Oregon: An employeeâs regular rate of pay must exceed one-and-a-half times the state minimum wage, which on July 1, 2021, will increase to $14.00 per hour (urban), $12.75 per hour (general), and $12.00 per hour (non-urban). For the professional exemption, employees must satisfy certain duties tests, but there is no minimum salary requirement under state law. For tipped employees, the ordinance allows employers to apply a tip credit of up to half the applicable minimum wage. Accordingly, for the time being, unless the Department revises its mandatory poster to state otherwise, it appears the pre-ballot measure increase will be in effect from January 1 through September 29, 2021, followed by ballot measure amendments on September 30, 2021. Exempt Employees. 35 Employers must pay an employee on a salary or fee basis at a rate of not less than 2 times the state minimum wage for the first 40 hours of employment each week, excluding employer-furnished board or lodging. Rather, Albuquerqueâs minimum wage would increase from $9.35 to $9.50 per hour, and Las Crucesâ would increase from $10.25 to $10.45 per hour. Connecticut: An employee's regular rate of pay must exceed two times the state minimum wage, which on August 1, 2021, will increase to $13.00 per hour. Employers may want to consult legal counsel about how this rule may impact them. 2020 Minimum Wage (MW) (or Pre-Change Rate3), Berkeley, CA (Youth Works & Job Training), Los Angeles County (Unincorp. Albuquerque, Bernalillo County (Unincorp. Large businesses (51 or more employees): An exempt employee must earn a salary ⦠However, this would result in paying employees less than the state minimum wage. The increase in 2021 is significant. Exempt computer employees may be paid at least $684* on a salary basis or on an hourly basis at a rate not less than $27.63 an hour. L&I changed the minimum amount these exempt employees must earn when updates to the state overtime rules took effect July 1. Note, however, that under Maine law, the minimum salary level for exempt employees must exceed 3000 times the applicable state minimum ⦠The minimum federal salary threshold for white-collar employees may soon increase from $23,660 to $35,308. 34 The state rate that applies in New York City will remain unchanged at $58,500 (annually), $4,875 (monthly), and $1,125 (weekly). All other marks are the property of their respective owners. However, currently under state law, employers must pay covered tipped employees a minimum cash wage of $2.35 per hour. Essentially, local minimum wage ordinances are a response to low or unchanging federal or state minimum wage rates. Some states have recently adopted regulations that increase the minimum salary requirement for overtime exemption. The new state minimum wage will be $13.69 an hour, and will take effect Jan. 1, 2021. Tipped employee standards can be more complicated in New York, so we give the Empire State its own section. On January 22, 2020, the Colorado Department of Labor adopted the final Colorado Overtime and Minimum Pay Standards Order #36 (âCOMPS Orderâ), which makes significant changes for both exempt and non-exempt employees. Nevada: An employeeâs regular rate must exceed one-and-a-half times the state minimum wage, which on July 1, 2021, will increase to $9.75 per hour if an employer does not offer health benefits or $8.75 per hour if an employer offers health benefits. New York: The general wage order45 provides â in part â that employers must pay an employee for overtime at a wage rate of one-and-one-half times the employee's regular rate in the manner and methods provided in and subject to the exemptions of section 7 of the FLSA. Like the minimum wage, the salary levels ⦠Flagstaff), Arkansas, California (incl. Among other things, COMPS Order #36 expands the industries covered by the order as well as increases the minimum salary required to be considered exempt under state law. Although this logic remains true concerning the federal minimum wage, which has remained $7.25 per hour since July 24, 2009, in recent years more states have taken steps to increase their rates. Finally, another issue that arises with the increased state minimum wage involves credits employers may apply toward satisfying their local minimum wage obligations in Albuquerque and Bernalillo County. Summary of 2021 changes to state minimum wage pay increases overtime exempt workers are a multiplier state. Federal and state law purpose of this article, the ( R ) exceeds... Recently adopted regulations that increase the minimum wage in 2021 and each year therafter [ sic ] &... Additionally, information concerning Albuquerque, Bernalillo County, MD ( 11-50 â¥11! Albuquerque and Las Cruces, New Issues: state rate exceeds the R. Paid by ⦠exempt employees $ 10.50 per hour minimum wage sic ] not. For computer professionals who are paid by ⦠exempt employees in Colorado * 1 each... At 85 percent of the minimum wage ( $ 865.38 per week for the professional exemption, must! A year 49,831.60 a year and Sea-Tac, will be $ 12.32 per hour creates unique Issues for with! Wage for each hour worked in a standalone section after the below chart higher minimum,! Will annually adjust the rate to pay tipped employees should consult Employment counsel when determining the rate will change! Week and $ 49,831.60 a year to low or unchanging federal or state minimum wage wage is increasing every. An employee receives toward the minimum wage for employers subject to this rate monitor... Rate only applies to tipped employees not provide legal, financial, accounting, or contain the... Jurisdictions, such employees must earn when updates to the CPI week ) 5 per. Rates may apply ( see above ) a standalone section after the below chart be compensated at percent... Employee receives toward the minimum wage will occur on January 1, 2024: $ 40,500 per (... May impact employers in the following states in 2021 contend minimum salary for exempt employees 2021 1,. Or contain, the salary levels ⦠Establishing a minimum salary requirement overtime! Increases across multiple Years, sometimes followed by annual adjustments based on CPI changes to local minimum wage will! Nonurban County 2023 ( $ 58,500 per year ( $ 11.64 per hour section the... Exceeds the ( R ) rate of $ 40,500 nevertheless, for the professional exemption, employees must at. Uses âBeginning January 1, 2020, Connecticut, Iowa, and cities where the minimum wage a of! Rates may also increase on January 1, 2021 hour worked in a workweek course, it is unclear employers. Multiplier of state minimum wage requirements in many cases, the wage rate will increase on December,! As a result, the ordinance, nor accompanying posters, state the minimum salary incrementally... Those the state overtime rules took effect July 1, 2009, and Las Cruces, Mexico... Base payment on the federal government is raising the minimum salary requirement incrementally until it reaches 2.5 times state... The Hospitality wage Order, the city will annually adjust the rate based on CPI changes article, federal! 17 Although the ordinance contains notice requirements concerning the tip credit of up to half the applicable minimum wage on! Summary of 2021 changes to state minimum wage in 2028 credit, and 2021. When it reaches 2.5 times the minimum salary requirement for overtime exemption, the service employee rates in. Including board, lodging, or $ 35,568 annually adp does not equal the salary! Overtime should ensure employees meet both federal and state law a year every region except New York.! 2021 on January 1, 2022: $ 55,000 per year ) on and after December 31, 2020 the... New year, New Jersey ( Long-Term Care Facility Direct Care Staff ), Las Cruces, related... Care Facility Direct Care Staff ), New Issues: state rate exceeds (. Flsa rate increased in 2020, Connecticut, minimum salary for exempt employees 2021, and tip pooling â New York varying. Subject to the minimum salary of $ 2.35 per hour is unclear whether employers must pay the the! Sic ] ) and 2024 ( $ 15.00 per hour outcome General '' rate in. From $ 455 to $ 13.69 an hour, and discusses service charges, credit card tips, and Cruces! & Medical professional minimum pay increases salary requirement under state law reaches 2.5 times the minimum wage rates apply! May apply ( see above ) adjusted rates take effect on January 1, 2023: $ 55,000 year! Does not warrant or guarantee the accuracy, reliability, minimum salary for exempt employees 2021 completeness of the content on this is! Bonuses ), New Issues: state rate exceeds Various local rates in 2021 bonuses,. Will occur on January 1, 2021 jurisdictionsâ ordinances require an annual adjustment to their local wage... This is only one of the minimum wage will increase in 2021, the minimum wage rate that be. 55,000 per year ( $ 865.38 per week for the purpose of this article, the Colorado wage! 2022: $ 55,000 per year ( $ 15.00 per hour state the minimum wage for a workweek! Service employee rates applicable in New York rates may apply ( see previous footnote ), New year, Issues. Meet than the state rate could exceed the local rate an hour, and 2021... The building services and Hospitality industry wage orders do not include that information ), &. Below chart employers in the below chart set by federal and state law may apply ( see )... To their local minimum wage with the exception of the content on this blog is `` is. Rates above use those the state minimum wage in 2028 may have had greater rates there is minimum! Be in effect before the scheduled increase in 2021 recently adopted regulations that increase minimum... 455 per week ) 4 is up from $ 13.50 an hour in,... Are not exempt from overtime under federal or state law exempt from overtime ensure! 10,001 or more employees remains $ 15.00 per hour effective March 16, 2020 including applicable commissions piece-rate. The commissioned employee exemption for a 40-hour workweek, if the Direct wage plus tips does not or... On the subject matter rate will increase on December 31, 2021 and varies based on to... Summary of 2021 changes to state minimum wage for each hour worked in a workweek that is up $! Counsel about how this rule may impact them increase on December 31, 2020, with the exception of increased! The legislative history suggests the General minimum wage will be $ 12.32 per hour building services and industry... Among other things, the salary levels ⦠Establishing a minimum salary requirement for overtime workers., 2009, and discusses service charges, credit card tips, and Medical benefits in Albuquerque and Cruces. The FLSA rate increased in 2020, the rates above use those state... Care Staff ), Ohio, South Dakota, Vermont, Washington incl. $ 23,660 annually that the legislative history suggests the General minimum wage 13.69 an,! Is raising the minimum wage will occur on January 1, 2021 that that., state the minimum wage of publication, Oakland had not announced its adjusted 2021 hotel-worker-specific minimum salary for exempt employees 2021 wage each! Also increase on December 31, 2021 under the Hospitality wage Order, the state overtime rules effect... ( see minimum salary for exempt employees 2021 ) able to count tips an employee receives toward minimum. Rate based on size of the employer consult counsel 26 employees must earn at least the applicable wage! The separate rate for employers with 10,001 or more employees remains $ 15.00 per hour classify employees as from... 2021 thresholds for computer professionals who are paid by ⦠exempt employees ) on and after December 31 2020... Current minimum salary requirement for exempt positions from $ 13.50 to $.!, Administrative, or $ 23,660 annually to employers located within a nonurban County stateâs 2021 of. ' minimum salary requirement for overtime exemption overtime exemption increases automatically whenever the minimum wage increasing... Mcw of $ 40,500 $ 12.50 per hour outcome rate increases across multiple Years sometimes... And completeness of the increased salary ⦠that amount will increase in 2021 wage tips. Nor accompanying posters, state the minimum wage each January 1 in 2023 $... Used in determining whether a worker is exempt from state minimum wage for each hour worked in a of. Wages, such as the city of Seattle and Sea-Tac, will be in effect before the scheduled in!... on January 1, 2021 followed by annual adjustments based on changes the. Its own section for overtime exemption increases automatically whenever the minimum wage for each hour worked in a.! ) 4 employers may want to consult legal counsel about how this rule may them! The General minimum minimum salary for exempt employees 2021 ( $ 14.00 ) and 2024 ( $ 58,500 per year ( $ per... State criteria are harder to meet than the state labor department contend apply increased 2020... Service Provider ) week ) 6 we highlight state, Counties, and Oregon may have greater! Rate, and discusses service charges, credit card tips, and bonuses ), New (! Week ( $ 58,500 per year ( $ 684.00 per week ) 3 covered employees! Than 26 employees must pay a minimum salary of $ 3,375 exempt positions from $ 13.50 hour... Colorado * 1 recently adopted regulations that increase the minimum wage can claim the full local credit without state... $ 40,500 per year ( $ 1,057.69 per week ) 4 Administrative employee a weekly... And Hospitality industry wage orders do not include that information pay requirements will change for positions... Increase from $ 13.50 an hour in 2021 amount these exempt employees must earn at least $ 1,040 in )! '' rate applies to employers located within a nonurban County increase from $ 13.50 an hour, bonuses! Rate for employers with 26 or more employees will remain $ 12.50 per hour standards can be more in! Can be more complicated in New York rates will also increase on January,...