Minimum wage in Minnesota

Minimum-wage rate to be adjusted for inflation as of Jan. 1, 2025

Effective Jan. 1, 2025, the state’s minimum-wage rates for all employers, including large employers, small employers, youth and J-1 visa wages for hotels, motels and lodging establishments, will increase to $11.13 an hour. The law still allows for a 90-day training wage for workers under age 20. The current hourly training wage, $8.85, will increase to $9.08.

Minimum-wage rates

Federal, state, local minimum-wage laws

• The state minimum-wage is higher than the federal minimum-wage, so employees who are covered by both laws must be paid the higher state minimum-wage.

• Minimum-wage rates apply to all hours worked, whether part time or full time.

• Employees must be paid at least the current minimum-wage rate, no matter how they are paid.

• St. Paul and Minneapolis both have minimum wage ordinances that may require a higher rate of pay. Learn more about city minimum wage requirements for Minneapolis and St. Paul.

Tip credit

• No employer may take a tip credit against minimum wages in Minnesota.

• An employee must be paid at least the minimum wage per hour, plus any tips the employee might earn.

How to determine if an employer is a large or small business

• Review the employer's past four quarterly tax estimates or the previous year audit statement.

• Add up the gross revenue for the four most recent quarters.

• Exclude excise taxes that are listed separately.

• If the combined amount of gross revenue is more than $500,000, pay the large employer
  minimum-wage rate.

Resources

• Minnesota's minimum wage laws

• Minnesota minimum wage report, published December 2023

• Workplace notices and posters:  Required to be displayed for employees and updated when Minnesota law changes.

View this video in Hmong, Somali and Spanish.

For more information

Contact us at dli.laborstandards@state.mn.us, 651-284-5075 or 800-342-5354.