Indiana Wage Rules

Indiana Minimum Wage 2026

$7.25

per hour (federal minimum) since July 24, 2009

Indiana's minimum wage is $7.25 an hour, the same as the federal minimum wage. No increase to the Indiana minimum wage is scheduled for 2027.

Reviewed by Slava Akulov, CEO & Co-Founder at Jupid · Last updated: October 2026

Hours and Rate

Up to 40. Hours over 40 in a workweek go in the overtime field.

Paid at 1.5 times the rate ($10.88 an hour).

Gross Pay at $7.25 an Hour

Weekly

$290

Monthly (average)

$1,257

Annual

$15,080

Regular pay (40 h × $7.25)$290/week
Overtime pay (0 h × $10.88)$0/week
Weeks per year52

Gross pay before taxes. For take-home pay after federal, state and payroll taxes, use the Indiana hourly paycheck calculator.

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Indiana Minimum Wage at a Glance

2026 minimum wage

$7.25

Since July 24, 2009

Tipped cash wage

$2.13

Tip credit up to $5.12

Next change

None scheduled

No law scheduled

Overtime

Weekly

1.5 times the regular rate

Indiana adopts the federal minimum wage for employers with 2 or more employees.

Local Minimum Wages in Indiana

State law bars cities and counties from setting a minimum wage above the state or federal rate.

Tipped Minimum Wage in Indiana

Employers in Indiana can pay tipped employees a cash wage of $2.13 an hour and count up to $5.12 an hour of tips toward the $7.25 minimum. If tips fall short, the employer makes up the difference. Employers claiming a tip credit pay $2.13 an hour and make up any shortfall to $7.25.

Cash wage

$2.13

Maximum tip credit

$5.12

Cash wage plus tips must reach

$7.25

Other Indiana Minimum Wage Rates

  • Training wage, workers under 20, first 90 days: $4.25

Overtime Rules in Indiana

Overtime is due after 40 hours in a workweek. Overtime is paid at 1.5 times the regular rate, so at the $7.25 minimum an overtime hour pays at least $10.88. To work out overtime on any hourly rate, use the overtime pay calculator.

Indiana Minimum Wage History

EffectiveHourly rate
July 24, 2009 (current)$7.25
July 24, 2008$6.55
July 24, 2007$5.85

Indiana Minimum Wage in 2027

No increase to the Indiana minimum wage is scheduled for 2027. The Indiana rate is tied to the federal minimum wage.

Indiana Minimum Wage FAQ

Official References

Rates verified against the sources above on October 30, 2026. The calculator shows gross pay only. Industry rates, exemptions and local ordinances can change during the year; check the agency page before setting pay. This page is general information, not legal advice.

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