2019 Indiana Tipped Minimum Wage
The 2019 Indiana Tipped Minimum Wage is $2.13.
Effective 2019-01-01Source: Indiana Minimum Wage Law (Indiana Department of Labor)Verified 2026-09-01
Compared with 2018
Every figure on this page is unchanged from 2018.
| Item | 2018 | 2019 | Change |
|---|---|---|---|
| Minimum cash wage | $2.13 | $2.13 | +$0 (+0.0%) |
Who it applies to
Indiana employers that claim a tip credit for tipped employees
What changed this year, and why
Indiana's tipped minimum cash wage remained $2.13 per hour for 2019.
Common questions
- What is the minimum cash wage for tipped employees in Indiana?
- Employers that claim a tip credit must pay tipped employees at least $2.13 per hour in cash wages. If the employee's tips combined with this hourly wage do not reach the applicable minimum wage, the employer must make up the difference.
What a tip credit is, and the cash wage underneath it
Indiana employers who claim a tip credit must still pay tipped employees a direct cash wage of at least $2.13 per hour. The tip credit is the difference between that cash wage and the full minimum wage; it lets the employer count a portion of the employee's tips toward meeting the minimum wage obligation. In Indiana, the cash wage of $2.13 per hour has been the minimum direct payment since the state aligned with the federal rate. An employer cannot pay less than $2.13 per hour in cash and still claim a tip credit. Workers in Indiana who receive tips should see at least this amount on their paycheck before tips are factored in, and the employer's tip credit cannot exceed the gap between $2.13 and the full minimum wage.
Generally, employers must pay tipped employees at least $2.13 per hour if the employer claims a tip credit.
Indiana Minimum Wage Law (Indiana Department of Labor)
When the tips do not get you to the minimum wage
Indiana law requires that when a tipped employee's tips combined with the hourly cash wage of $2.13 do not add up to the full minimum wage, the employer must make up the difference. This means the employer cannot simply pay the reduced cash wage and assume the tips will cover the rest; if in any workweek the employee's actual tips fall short, the employer is responsible for paying the gap so that the employee receives at least the minimum wage for every hour worked. For Indiana workers in tipped positions, this rule acts as a floor: even on slow weeks or shifts with few tips, their total earnings from wages plus tips must reach the minimum wage, and any shortfall is the employer's obligation to cover.
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)
- Minimum cash wage
Generally, employers must pay tipped employees at least $2.13 per hour if the employer claims a tip credit.
Other years
Every Indiana Tipped Minimum Wage year · Tipped Minimum Wage in every state