2021 Indiana Minimum Wage
The 2021 Indiana Minimum Wage is $7.25.
Effective 2021-01-01Source: Indiana Minimum Wage Law (Indiana Department of Labor)Verified 2026-09-01
Compared with 2020
Every figure on this page is unchanged from 2020.
| Item | 2020 | 2021 | Change |
|---|---|---|---|
| Hourly | $7.25 | $7.25 | +$0 (+0.0%) |
Who it applies to
Most Indiana employers and employees covered by the Indiana Minimum Wage Law.
What changed this year, and why
The Indiana minimum wage is $7.25 per hour.
Common questions
- What is the minimum wage in Indiana for 2021?
- The Indiana minimum wage is $7.25 per hour.
Minors, students and training wages: who may be paid less than the rate on this page
Indiana allows employers to pay a training wage of $4.25 per hour to workers who are under 20 years of age. This lower rate applies only for the first 90 consecutive calendar days after the employee is initially hired. Once that period ends, or once the worker turns 20, the employer must pay at least $7.25 per hour. The Indiana Minimum Wage Law does not list separate subminimum rates for students or for minors who are younger than 20; the only reduced rate named in the statute is the training wage for employees under 20. Workers in Indiana who are 20 or older are entitled to the full minimum wage from their first hour on the job, regardless of whether they are still in school. Employers who are covered only by state law rather than the federal Fair Labor Standards Act must still follow this training-wage rule when paying young workers.
Indiana employers may pay $4.25 per hour to employees under 20 years of age for the first 90 consecutive calendar days after the employee is initially employed by the employer.
Indiana Minimum Wage Law (Indiana Department of Labor)
Overtime is paid at one and one-half times the regular rate
Under the Indiana Minimum Wage Law, employers must pay employees one and one-half times their regular rate of pay when those employees work more than 40 hours in a work week. This overtime premium applies on top of the employee's normal hourly rate. However, Indiana law includes many exceptions to the overtime requirement, most of which are listed at Indiana Code § 22-2-2-3 (a) through (p). Workers in Indiana who put in more than 40 hours in a single work week should check whether their job falls under one of those statutory exceptions before assuming they are owed overtime. Employers who are covered by the federal Fair Labor Standards Act follow that law's overtime rules as well, but those not covered federally may still be covered by the Indiana Minimum Wage Law.
The Indiana Minimum Wage Law generally requires employers to pay employees at least the minimum wage for all hours worked and to pay employees 1 ½ times their regular rate of pay (“Overtime compensation”) when employees work more than forty (40) hours during a work week.
Indiana Minimum Wage Law (Indiana Department of Labor)
Who to ask about this rate, and where to take a wage complaint
Workers and employers in Indiana who have questions about the state minimum wage, overtime rules, training wages, or tip credits can contact the Indiana Department of Labor's Wage and Hour Division. The division can be reached by email at wagehour@dol.in.gov or by phone at (317) 232-2655. The office is located on West Washington Street in Indianapolis, Indiana. Employees in Indiana who believe their employer has violated the Indiana Minimum Wage Law, including by failing to pay $7.25 per hour or by not providing the required statement of hours worked, wages paid, and deductions, may direct their wage complaint to this division. Indiana law provides for both civil and criminal penalties for violations of the state minimum wage law.
For additional information, please contact the Indiana Department of Labor’s Wage and Hour Division by email at wagehour@dol.in.gov or phone (317) 232-2655.
Indiana Minimum Wage Law (Indiana Department of Labor)
State minimum wage laws that give more than the federal rate
Most Indiana employers and employees are covered by the minimum wage and overtime provisions of the federal Fair Labor Standards Act. However, those not covered under federal law may still be covered by the Indiana Minimum Wage Law. Both the federal and Indiana state minimum wage are set at $7.25 per hour. When a state law provides a higher minimum wage than federal law, employers must pay the higher amount. In Indiana's case, the state rate matches the federal rate, so covered workers in the state receive at least $7.25 per hour regardless of whether they are covered under federal or state law. Workers should confirm which law applies to their situation, as the Indiana Minimum Wage Law reaches some employers and employees who fall outside the federal act.
Most Indiana employers and employees are covered by the minimum wage and overtime provisions of the federal Fair Labor Standards Act (FLSA); however those not covered under federal law may still be covered by the Indiana Minimum Wage Law.
Indiana Minimum Wage Law (Indiana Department of Labor)
When tips, meals or lodging count toward the minimum wage
Indiana law permits employers to count a portion of an employee's tips toward the minimum wage obligation. An employer may pay a tipped employee as little as $2.13 per hour in direct wages if the employer claims a tip credit. However, if the employee's tips combined with that hourly wage do not equal at least $7.25 per hour, the employer must make up the difference. This means the employer is always responsible for ensuring that the employee receives at least the full minimum wage for every hour worked, whether the money comes from the employer's cash wages or from tips. The document does not address whether the value of meals or lodging may also be counted toward the minimum wage in Indiana.
Generally, employers must pay tipped employees at least $2.13 per hour if the employer claims a tip credit. If the employee’s tips combined with the hourly wage do not equal the minimum wage, the employer must make up the difference.
Indiana Minimum Wage Law (Indiana Department of Labor)
How each figure was verified
Each number below was read from a stored copy of the document named beside it, and checked to occur word for word in the quoted sentence. The digest is of that stored text.
Indiana Minimum Wage Law (Indiana Department of Labor)
- Hourly
Indiana Minimum Wage Law $7.25 per hour
Other years
Every Indiana Minimum Wage year · Minimum Wage in every state