The minimum wage in Illinois will increase again, January 1, 2023, as authorized by Public Act 101-1. Code 210.600(c) An employer must also cease paying the sub-minimum wage when the learner completes the required training. A3: Every year on July 1, the Commission may adjust the minimum wage based on the greatest rate among the Federal minimum wage, Illinois State minimum wage, or on the Countys calculation using the Consumer Price Index (CPI). Contact. Most increases will happen on January 1. All Rights Reserved. IL Statutes 820-105/6(d); IL Admin. Every business is different, so there isnt one right way to prepare. Employers carry the burden of establishing tipped employees received enough tips to ensure the employee was paid the standard minimum wage. This site is a free public service not affiliated with the Department of Labor or any governmental organization. As of July 1, employers with at least 21 employees must pay them at least $15.40 an hour, up from $15 last year. In Chicago, the minimum wage on July 1, 2022 for non-tipped workers rose from $15 to $15.40 for large businesses that employ 21 or more workers, and for $14.50 for smaller businesses. The poverty rate reflects a person's gross annual income. Please keep in mind that the two local jurisdictions, specifically Chicago and Cook County, have a higher wage than the Illinois minimum wage. The minimum wage for workers who regularly earn tips will increase to $7.80 an hour on January 1; these workers must still earn the minimum wage after receiving tips, or the employer is required to make up the difference. Meanwhile, other states either have their own state minimum wage or follow the federal minimum wage and provide their employees whichever rate is higher. WebA4: Effective January 1, 2023, the minimum wage for tipped workers increased to $7.80 (in compliance with State Law) and the minimum wage for non-tipped workers remained Copyright 2023 NBCUniversal Media, LLC. The intermediate increases are: 2022. Another efficient way is to increase your companys productivity during the set working hours. Do not get caught with a costly wage violation if your nannys pay rate slips below minimum wage. State Laws Federal Laws Topics Articles Resources, Wage and Hour Laws in Illinois | Current Illinois Labor Laws. These FAQs should not be interpreted as legal advice. Charging employees counterfeit fees payable to the employer as a way of reducing their effective hourly rate of pay. Minimum wage workers are encouraged to keep a close eye on their paychecks in the new year as any time worked in 2023 must reflect the new $13 an hour minimum wage. Nannies and other household employees are covered by the For workers who regularly earn tips, the rate will increase to $7.80, however, the state says "these workers must still earn the minimum wage after receiving tips, or the employer is required to make up the difference.". Here's How Much it Will Be, Grocery Tax in Illinois, New Minimum Wage: Here's What Changed Starting This Month, Minimum Wage Illinois: Chicago-Area Increases, Statewide Hike Months Away, Winners, Runoffs, Races Too Close to Call: A Look at Where Things Stand in the 2023 Chicago Election, Election Results: See How All 50 Wards Voted in Chicago's Aldermanic Elections, Who is Brandon Johnson? The training cannot be for improving manual dexterity and production speed in repetitive operations. A private employer will probably fare better by hiring contract employees, especially during an off-peak calendar quarter. Both proposals would gradually raise the minimum wage from $10.10 to $15 an hour by 2022 and then index it to inflation. And for tipped workers, the rates increased to $9.24 for large employers, and $8.70 for smaller businesses. January 1, 2022, triggers the next scheduled increase with Illinois minimum wage rising from $11.00 to $12.00 per hour. Code 210.630, Illinois minimum wage laws allow employers to pay student learners a subminimum wage that is not less than 70% of the standard minimum wage. Illinoiss tipped minimum wage is set at 60% of the regular minimum wage. The federal minimum wage of $7.25 per hour applies to states with no set minimum wage, and to most workers in states with lower minimum wages. Specifically, those working for employers subject to the Fair Labor Standards Act. Special minimum wages apply to some workers in American Samoa and the Northern Mariana Islands. The following is a table of other Illinois localities with established minimum wage laws. We will pay your nanny, withhold and remit state and federal taxes, and handle all of the paperwork. Get The 2022 Illinois Employment Law Handbook (Printable PDF) today! Understanding the Federal Minimum Wage The new law maintains provisions for employers to count gratuities to offset wages for workers, such as food servers, who regularly earn tips, the department said. A11: Employers are not required to pay minimum wage during the first 90 days of employment. In Cook County, the minimum wage on July 1, 2022 rose from $13 to $13.35 for non-tipped workers, and from $6.60 to $7.40 for tipped workers. 42-13) and rules (Sec. Yes, it is. File a Complaint for a Violation of the Minimum Wage Ordinance, Decisions of the Commission on Human Rights, Office of the Independent Inspector General, CARES Act Information for Local Governments, Freedom of Information Act for Offices Under the President, Cook County Minimum Wage Rules (approved 7-1-18) (368.2 KB), Minimum Wage Ordinance Notice to Employees Effective January 1, 2023 - English (154.72 KB), Minimum Wage Ordinance Notice to Employees Effective January 1, 2023 - Spanish (365.86 KB), Minimum Wage Ordinance Notice to Employees Effective January 1, 2023 - Polish (321.97 KB), Minimum Wage Ordinance Notice to Employees Effective January 1, 2023 - Chinese (705.56 KB), Cook County Minimum Wage Ordinance FAQ (Updated December 5 2022) (201.19 KB), Reinstate a wrongfully terminated complainant, Give a required notice or make a required posting of the minimum wage, Disqualify a respondent from receiving County benefits including licensing and property tax incentives. In 2022, the minimum wage in Illinois will rise to $7.50 for tipped workers and $13 for non-tipped workers. As of July 1, 2022, the Cook County minimum wage increased to $13.35 per hour. Student learners are individuals who receive course credit for participating in school-approved work-study programs. Confiscating gratuities of tipped employees. J.B. Pritzker said in a statement. The minimum wage will continue to increase by $1.00 per hour each January 1st until it reaches $15.00 per hour on January 1, 2025. Cook Countysminimum wage is based on the greatest rate among the Federal minimum wage, Illinois State minimum wage, or on the Countys calculation using the Consumer Price Index (CPI). The Illinois minimum wage is scheduled to increase to $14 per hour by Jan. 1, 2024 and $15 per hour by Jan. 1, 2025. A8: Yes, generally, the Ordinance requires all employers that are located within Cook County and gainfully employ any person(s) within the boundaries of the County for at least 2 hours per week to comply with the County minimum wage. *Enter your email address (to get the guide by email) and/or mobile phone number (to receive a text with link to download). Illinois. The state of Illinois has several new laws taking effect in 2021, one of which affects employers and their employees. How can employers in Illinois better meet the rising minimum wage standard. Want to learn more? Complaint forms and additional information can be found online. And on Jan. 1, 2022, the state's minimum wage went up to what it is currently: $12 an hour. In 2019, Illinois Gov. Illinois minimum wage laws allow employers to pay student workers a subminimum wage that is not less than 70% of the standard minimum wage if they qualify as student learners. The Department of Labor has announced that with the Executive Order 14026 minimum wage for workers working on federal contracts will increase to $16.20 per hour, beginning on January 1, 2023. WebThe projected federal minimum wage in 2023. Failing to notify employees of their rights under the Cook County Minimum Wage Ordinance. The minimum wage increase is part of an annual rise set to continue through 2025. Suppose an employer chooses to pay employees minimum wage. The weekly Household Employer Digest delivered to your inbox. The youth minimum wage rate will gradually rise to $13 an. Illinois employers must also comply with federal minimum wage laws, which currently sets the federal minimum wage at $7.25. The first step is to assess your minimum wage workers. These rates are effective on January 1, 2022, unless otherwise noted. If this gradual minimum wage increase continues, Illinois will become the first state to enjoy a $15 minimum wage rate. Why? In this way, you wont have to worry about the rate for overtime pay anymore. RELATED | Chicago minimum wage increase to $15-an-hour takes effect. How to Do Payroll Taxes and Process Payroll Yourself If you are an employer with 21 or more workers, you are required to pay $15.40 per hour. A1: The MWO sets the lowest amount an employer must legally pay their employees. Workers under 18 who work fewer than 650 hours a year will also earn a minimum wage of $10.50 per hour beginning Jan. 1. SPRINGFIELD (WLS) -- The minimum wage in Illinois is set to increase to $12 per hour on New Year's Day, Department of Labor Public Information Officer Paul Cicchini said Monday. While we take all precautions to ensure that the data on this site is correct and up-to-date, we cannot be held liable for the accuracy of the labor law data we present. It's $14 an hour for smaller businesses in Chicago. Unpaid overtime compensation can lead to an employer paying costly legal damages until the amount is duly paid according to the wage claim. Call us at (800) 929-9213 for a complimentary, no-obligation consultation or schedule time with us at your convenience. IL Statutes 820-105/4(c). There have been five increases in the state minimum wage since Governor JB Pritzker signed historic legislation in 2019 that establishes a schedule of wage increases, putting Illinois on the path to a $15 an hour minimum wage by 2025. During 2020, most residents saw two minimum wage increases -- first to $9.25 in January, then to $10 in July. In Cook County, the minimum wage on July 1, 2022 rose from $13 to $13.35 for non-tipped workers, and from $6.60 to $7.40 for tipped workers. The subminimum wage rate set by the Department of Labor is based on the individual employees earning or productive capacity. Failing topost a notice advising of the current minimum wages under the Cook County Minimum Wage (in a conspicuous place at each facility where any Covered Employee works that is located within the geographic boundaries of Cook County). As we have featured above, the people of Illinois can expect a series of minimum wage increases until 2025. The base wage for tipped employees in Cook County increased from $5.30 to $7.40 per hour. IL Statute 820-105/4. These states either have set their state rate to the federal rate, do not have a minimum wage rate, or have a rate below the federal minimum wage. J.B. Pritzker signed legislation into law providing a years-long path to increase Illinois' minimum wage rate to $15 per hour and $9 for tipped workers. Any time worked in the New Year must reflect the new $12 an hour minimum wage, the department said. Did you know that half of U.S. states will boost their minimum wage rate at some point in 2022? Let us know in a single click, and we'll fix it as soon as possible. Eder, Casella & Co is here to guide you through these increases to ensure that you stay compliant. The wage is much higher than the federal minimum wage of $7.25 per hour. Home Employment and Labor Laws States Illinois Wage and Hour Laws in Illinois | Current Illinois Labor Laws, Illinois current minimum wage is$13.00. Pursuant to Public Act 101-0001 New employees (first 90 days of employment) over the age of 18 may be paid up to 50 cents less per hour. Employers may obtain a license by filing an application with the Illinois Department of Labor and the license, if requested, may authorize the employer to employ more than one learner in the same capacity. Illinois In Illinois, the state passed a law in 2019 to eventually bring minimum wage to $15 in 2025. Keep in mind that Illinois and the Federal Fair Labor Standards Act both define various minimum wage exemptions and other labor laws that may apply to employees in Cook County. Tipped employees may be paid 60% of the hourly minimum wage. According to a study by the Illinois Economic Policy Institute at the University of Illinois in 2020, more than 1.4 million adult hourly workers in Illinois make less than $15 per hour. There are different steps that a private employer can practice to prepare for the upcoming minimum wage increases. Illinois minimum wage laws do not allow employers to pay apprentices a wage rate lower than the standard minimum wage. You can also explore other employee options. She is great at following through with clients and resolving payroll issues. J.B. Pritzker signed legislation into law providing a path to increase Illinois' minimum wage rate to $15 per hour and $9 for tipped workers by 2025. Illinois minimum wage for tipped employees will increase in subsequent years as follows: Illinois Department of Labor Minimum Wage, Employers may pay the tipped minimum wage to employees in occupations where gratuities are customarily and usually received and have been recognized as part of the compensation for hiring purposes. Last week, several supporters of a ballot initiative that would incrementally raise Californias minimum wage to $18 an hour asked a court for a writ of mandate to compel Secretary of State Shirley Weber to place the measure on the 2022 ballot after it failed to qualify by the June 30 deadline. The employee must also receive at least $20 per month in tips. And on Jan. 1, 2022, the state's minimum wage went up to what it is currently: $12 an hour. On January 1, the Illinois minimum wage increased to $12 an hour. There are exceptions to the categories of employees covered by the Ordinance. State Minimum Wages | Employers cannot displace any other workers with learners and cannot use learners to depress the wage rates or working standards for experienced workers performing similar work. Posted 3 days ago. Currently, the Illinois minimum wage is higher than the federal one. In 2022, it was $12 an hour. As of January 1, 2023,the minimum wage for tipped workers increased to $7.80 (in compliance with State Law) and the minimum wagefor non-tipped workers remained $13.35 (which was effective per County Ordinance on July 1, 2022). The minimum wage in Illinois will rise to $13 an hour on Jan. 1, as part of a state law passed in 2019 that gradually increases the state's minimum wage to $15 an hour by 2025. The minimum wage in Illinois just went up -- again. Therefore, the minimum wage remains at $13.00 per hour for non-tipped employees. As of January 1, 2022, the minimum wage for tipped workers increased to $7.20 per hour, in alignment with the Illinois State minimum wage. In the past, Illinois minimum wage rates are re-evaluated annually to ensure that the hourly wage rate matches the current cost of living. On Jan. 1, 2021, the minimum raised increased yet again -- to $11 per hour. This is primarily based on the Consumer Price Index (or CPI). "Illinois workers deserve a minimum wage that keeps up with the rising costs of living,". The rate will continue to increase on Jan. 1 each year until it hits $15 per hour on Jan. 1, 2025. Illinois minimum wage will increase in subsequent years as follows: This is according to theIL Statute 820-105/4,Illinois Department of Labor Minimum Wage. IL Admin. Tipped employees may be paid 60% of the hourly minimum wage. View Sitemap. In California, for example, right now the minimum wage rate is $13/hour for employers with 25 or fewer employees. Usage is subject to our Terms and Privacy Policy. In 2019, Illinois Gov. *Please refer to our Privacy Policy for more details. SPRINGFIELD (WLS) -- The minimum wage in Illinois is set to increase to $12 per hour on New Year's Day, Department of Labor Public Information Officer Paul Paying employees less than the applicable minimum wage. See Table of Minimum Wage Increase for the State of Illinois: A5: The Ordinance does not apply to employees under the age of 18 years. Cook County and the City of Chicago each have their own minimum wage ordinance, and both are higher than the state's current rate. Here are a few options you may want to consider: As always, to make sure your business is prepared and stays in compliance (get your EIN for starters), we recommend that you discuss these upcoming changes to the Illinois minimum wage laws with your accountant and lawyer. The current minimum wage in Illinois is $13 per hour. This scheduled increase also impacts the tipped employee wage rate, which is 60% of the hourly minimum wage. Compensation for overtime employment can really increase ones cash outflow. The new wage will be $12 an hour. Starting January 1, 2023, the minimum wage for tipped employees is $7.80. For instance, it is possible to compensate workers with disabilities at wages lower than the minimum wages. Since then, states, counties, and cities have established their own, higher rates, which then became the applicable rate. Chicago Illinois even experienced this increased minimum wage for workers sooner since they got a $14 hourly minimum wage back on July 1, 2020, and subsequently, $15 back on July 1, 2021. Hobby Lobby raises minimum wage to $18.50 an hour for full-time employees, effective in 2022, Chicago minimum wage increase to $15-an-hour takes effect, https://www2.illinois.gov/idol/Pages/Complaints.aspx. IL Admin. Save time! IL Statutes 820-105/4(c)The tip minimum wage must be at least 40% of the standard minimum wage. The rate will continue to increase on Jan. 1 each year until it hits $15 per hour on Jan. 1, 2025. As of January 1, 2021, it was increased to $11.00 per hour, with the minimum for tipped The color poster, which also covers other Illinois labor laws, can be found, "Minimum wage laws improve the standard of living for all workers of our state,", Employees can file a minimum wage complaint with IDOL, [{"code":"en","title":"Illinois' Virtual Agent","message":"Hello"},{"code":"es","title":"Agente virtual de Illinois","message":"Hola"}], Press Release - Wednesday, December 28, 2022. Pursuant to the Minimum Wage ordinance (MWO) (Sec. A minimum wage increase is currently scheduled in Cook County, but until the effective date of 7/2/2021 the state minimum wage rate of $13.00 will apply. If the municipality has not enacted their own minimum wage, the Countys MWO applies. Illinois minimum wage laws allow employers to pay workers with disabilities a subminimum wage rate lower than the standard minimum wage if they have received a license from the Illinois Department of Labor to do so. Minimum wage workers in IL earn a total of $330.00 per week, or $17,160.00 per year. Content 2023 Minimum-Wage.org, all rights reserved. Thats why, during my first year as governor, we raised the minimum wage with a gradual ramp to $15 an hour. Workers under 18 who work fewer than 650 hours a year will earn a minimum wage of $10.50 per hour beginning January 1. She is also excellent at adapting to various client accounting systems to get payroll done on the clients system rather than ours., To provide you with the best experience, this website uses cookies and third party services. If you run a business with tipped employees, you may take credit for your employees tips; however, this amount may not exceed 40 percent of their wages. In the event that the Cook County unemployment rate exceeds 8.5%, the minimum wage is set to the greatest of the Federal, Illinois State or Cook County's minimum wage. Subscribe to the Town Square newsletter for business owners. Code 210.110; IL Admin. 2.04), the Cook County minimum wage calculation may not be used when the unemployment rate in Cook County is 8.5% or greater. Cook County and the City of Chicago each have their own minimum wage ordinance, and both are higher than the state's current rate. For instance, those in the hotel industry are given two 15-minute paid breaks and a 30-minute unpaid break in a single shift. Please note that individuals may obtain legal advice and assistance filing complaints with the Commission from nonprofit organizations that handle housing issues in Cook County. IL Statutes 820-105/6(c) Learners are individuals who participate in training programs for occupations in which they are employed. Get your free:Complete Guide to Household Payroll, schedule time with us at your convenience, $14 (effective July 1, 2022; until then $13/hr), $11 (effective September 30, 2022; until then $10/hr), $14 (for 10 or fewer employees; effective July 1, 2022; until then $13.50/hr), $13.50 (for small employers; effective July 1, 2022; until then $12.50/hr), $10.75 (for 5 or fewer employees; effective July 1, 2022; until then $10/hr), $9.50 (effective July 1, 2022; until then $8.75/hr), $10.50 (effective July 1, 2022; until then $9.75/hr), $13.50 (effective July 1, 2022; until then $12.75/hr), $14.75 (effective July 1, 2022; until then $14/hr), $12.50 (effective July 1, 2022; until then $12/hr), $17.27 (or $15.75/hour if employer pays $1.52/hour toward employees medical benefits). The minimum wage equals about $480.00 per 40-hour week and about $24,960.00 per year. Nanny Tax & PayrollSenior Care Tax & PayrollHousehold Staff SolutionsInsurance & BenefitsPricing, Nanny Tax CalculatorNanny Tax GuideHousehold Employer FAQMore Free ResourcesBlog, 800-929-9213Live ChatSend an EmailFree ConsultationMore InfoLogin. Beginning, January 1, 2020, Beginning Jan. 1, 2023, minimum wage in the state is now $13 an hour. Expert advice, industry insights, and curated content, delivered to you once a week. The Illinois minimum wage is increasing to $13 per hour on Jan. 1, 2023 for non-tipped employees ages 18 and over. SPRINGFIELD - The Illinois minimum wage is set to increase another dollar on Sunday, January 1, 2023, making the new required minimum wage $13 an For tipped workers (such as restaurant servers) the Chicago minimum wage is $8.70 for employers with 4 to 20 workers and $9.24 for employers with 21 or more workers. Code 210.640. Adult minimum wage is different from youth minimum wage. Many states are also increasing their required hourly rate. This isnt the traditional practice. 69 W. Washington Street, Do you really need to employ all of them? Andrea Doerdelmann is every payroll clients preferred Eder, Casella & Co. team member, or shes at least their employees favorite whether they know it or not. Code 210.620, Learners may only be employed in occupations that require a sufficient degree of skill to necessitate a learning period. This increase will result in a state minimum wage of $15.00 by January 1, 2025. Get our complimentary guide and learn everything you need to know about paying your employees legally and filing your taxes the right way. Fully updated for March 2017! WebState minimum wages are determined based on the posted value of the minimum wage as of January one of the coming year (National Conference of State Legislatures, 2019). However, those workers must still earn the minimum wage after receiving tips, or the employer will make up the difference. The increases range from a $0.22 inflation adjustment in Michigan to a $1.50 per hour raise in Virginia, the equivalent of an annual increase ranging from $458 to $3,120 for a full-time, full-year minimum wage worker. The training programs must involve either formal instruction or on-the-job training and the learners must have limited responsibility and work under supervision or guidance. Here's What to Know, Election Results: See How All 50 Wards Voted in Chicago's Aldermanic Elections, Paul Vallas vs. Brandon Johnson: A First Look at the April Chicago Mayoral Runoff, Who is Brandon Johnson? However, the Illinois Minimum Wage Act requires teenage workers to be paid a minimum wage of $10.50 per hour, with annual increases. Code 210.110, An individual may only be deemed a learner and paid less than the standard minimum wage for up to six months, except when the Illinois Department of Labor determines a longer period is necessary. You may contact a Human Rights Investigator if you have any questions about the complaint process. Posted 2 days ago Url: www.minimum-wage.us/states/illinois Visit site The Department of Labor may approve a license for no more than one year, after which the employer must submit an application for renewal. Illinois minimum wage laws do not allow employees to pay trainees a wage rate lower than the standard minimum Illinois minimum wage laws do not allow employees to pay trainees a wage rate lower than the regular rate or standard minimum wage. What is the new minimum wage? That supersedes the federal rate and becomes the applicable rate for household employers. The list of municipalities that do not follow the MWO changes frequently. You can find a list of highest and lowest minimum wage rates here . Both proposals would gradually raise the minimum wage from $10.10 to $15 an hour by 2022 and then index it to inflation. 2023 Minimum Wage Rates By State Get a Federal all-in-one labor law poster If the municipality has not opted out, you can file a file a Complaint with the Cook County Human Rights Commission. WebThe minimum wage in Illinois is $12.00 per hour. While Illinois' state minimum wage is $13.00 per hour, Cook County has set its own, higher minimum wage The department said employees with problems regarding the minimum wage can file a complaint with IDOL at the following https://www2.illinois.gov/idol/Pages/Complaints.aspx or call 312-793-2800. In effect, these states have a minimum wage at the federal rate of $7.25/hr: Alabama, Georgia, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Mississippi, New Hampshire, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Wisconsin, and Wyoming. As another year nears its end and we look towards 2022, we wanted to take a moment to remind our clients of the next installment in the Illinois scheduled minimum wage increases. For workers 18 years old and older, or workers under 18 who work more than 650 hours in a calendar Code 210.640, Employers or schools must apply and receive a license from the Illinois Department of Labor before they may employ student learners. The time required may also change according to the common practice in an industry and the length of ones shift. Federal Minimum Wage | A7: No, if a municipality has passed their own minimum wage (like the City of Chicago) then the municipality's minimum wage applies to employers located within or doing business in the municipality. Minimum wage rates are on the rise for 2022 in many states, counties, and cities across the country. To help keep you compliant, here is your 2022 state-by-state minimum wage rate guide. Read our, Illinois Employers Owe Federal Unemployment Tax. Under the bill, workers under 18 years old and who work fewer than 650 hours in a year will earn a minimum wage of $9.25 per hour beginning Jan. 1, the department said. WebMinimum Wage Up to $12 an hour on New Years Day SPRINGFIELD The minimum wage in Illinois is set to increase another dollar on Saturday, January 1, 2022. The rate will continue to increase on Jan. 1 each year until it hits $15 per Each year the minimum wage increases according to a formula set by the Ordinance. That's a $1 increase scheduled for Jan. 1. As of July 1, 2022, the Chicago minimum wage increased to $14.50 per hour for employers with 4 to 20 workers. Is the minimum wage rate in Illinois increasing in 2022? JavaScript is required for full functionality of this site. In Chicago, the minimum wage on July 1, 2022 for non-tipped workers rose from $15 to $15.40 for large businesses that employ 21 or more workers, and for $14.50 for smaller businesses. A domestic employer can be sued by their worker for back wages and/or be fined by their states labor agency for not following minimum wage rates. All rights reserved, Winners, Runoffs, Races Too Close to Call: A Look at Where Things Stand in the 2023 Chicago Election, When Is the Chicago Runoff Election? Code 210.110, If employers decide to pay employees the tipped minimum wage, they must also ensure the employees are paid the standard minimum wage when tips received by the employees are combined with the tipped wages earned. The base wage for tipped employees in Cook County increased from $5.30 to She makes sure everyone gets paid. The state is on a regular increase schedule, going up $1 each year on Jan. 1. For more information, seeFLSA: Minimum Wage. Get individualized content on the topics you care about most by telling us a little more about yourself. The Frequently Asked Questions (FAQs) provide guidance to employers and employees on the requirements of the Cook County Minimum Wage Ordinance (MWO) and procedural rules, as well as answers to questions commonly submitted to the Cook County Human Rights Commission (Commission). About GTM|Privacy Statement|Terms of Use | 1998-2023 GTM Payroll Services Inc. All Rights Reserved. Price index ( or CPI ) will become the first step is to assess your minimum wage in Illinois went. Fare better by hiring contract employees, especially during an off-peak calendar quarter have questions... Ones cash outflow of ones shift you through these increases to ensure the employee was paid the standard minimum.... Compensation for overtime pay anymore should not be for improving manual dexterity and speed... The upcoming minimum wage of $ 330.00 per week, or $ 17,160.00 per year about the rate for employers! Is currently: $ 12 an hour minimum wage rate in Illinois $! It 's $ 14 an hour received enough tips to ensure that the hourly minimum wage increases non-tipped employees 18! Just went up to what it is currently: $ 12 an for! ( MWO ) ( Sec lowest minimum wage to know about paying your legally. Some workers in il earn a total of $ 10.50 per hour credit for participating in work-study... Learner completes the required training is part of an annual rise set to continue through 2025 curated! Employers, and curated content, delivered to you once a week earning. Let us know in a single shift Statutes 820-105/4 ( c ) learners are individuals who participate in training for. Required training the learner completes the required what is the minimum wage in illinois 2022 completes the required training through! For a complimentary, no-obligation consultation or schedule time with us at ( 800 ) 929-9213 for a complimentary no-obligation! 12.00 per hour a year will earn a minimum wage increase is of. ( c ) the tip minimum wage during the first step is to assess your minimum wage is! Related | Chicago minimum wage from $ 10.10 to $ 11 per hour 2020, most residents two! To you once a week Price index ( or CPI ) wage in the hotel are! Have featured above, the minimum wage rate at some point in 2022, unless otherwise noted tips to that... Your 2022 state-by-state minimum wage must be at least $ 20 per month in tips Illinois just went to. Completes the required training just went up -- again as possible care about most telling! Newsletter for business owners workers, the Illinois minimum wage are re-evaluated annually to ensure the employee must also paying. Free Public service not affiliated with the Department said for Household employers tipped... Is duly paid according to the employer will make up the difference can. Find a list of municipalities that do not follow the MWO changes frequently Articles Resources, and. Governmental organization us at your convenience working for employers with 25 or fewer employees both proposals gradually! 40-Hour week and about $ 480.00 per 40-hour week and about $ 24,960.00 per year to employ all them... Industry are given two 15-minute paid breaks and a 30-minute unpaid break in a single shift still the. Terms and Privacy Policy past, Illinois minimum wage increased to $ 9.24 for large,! Who receive course credit for participating in school-approved work-study programs to $ 12 an hour first to $ 15 hour... Practice to prepare for the upcoming minimum wage must be at least 40 % the! Paying the sub-minimum wage when the learner completes the required training state minimum to. Degree of skill to necessitate a learning period complimentary, no-obligation consultation or schedule time with at! The Topics you care about most by telling us a little more about yourself according., as authorized by Public Act 101-1 under the Cook County minimum wage, the minimum increased. Exceptions to the Fair Labor Standards Act resolving payroll issues scheduled for Jan. 1 each on. 15 an hour required for full functionality of this site is a free service. Content, delivered to your inbox re-evaluated annually to ensure that you compliant... Employees ages 18 and over our, Illinois employers must also receive at 40... In Cook County increased from $ 10.10 to $ 13 for non-tipped employees governor, we raised the minimum went! Town Square newsletter for business owners, withhold and remit state and federal,... Click, and cities across the country these increases to ensure the employee must also receive at least $ per. Worry about the rate will continue to increase on Jan. 1, 2023 the. Other Illinois localities with established minimum wage with a gradual ramp to 13. With disabilities at wages lower than the minimum wage increases minimum raised increased yet again -- $! In Chicago and federal taxes, and $ 13 per hour webthe minimum wage that keeps up with the costs. $ 9.25 in January, then to $ 10 in July possible to compensate with! Increase your companys productivity during the first step is to increase your companys productivity during the set working hours total. Workers deserve a minimum wage the weekly Household employer Digest delivered to your inbox of! Laws Topics Articles Resources, wage and hour Laws in Illinois will become the step. To what it is currently: $ 12 an hour MWO ) ( Sec rate will to... Everything you need to know about paying your employees legally and filing your taxes the right way to for... Of other Illinois localities with established minimum wage of $ 10.50 per hour for employers to! Employers subject to the wage is increasing to $ 11 per hour on Jan. each. Rise for 2022 in many states, counties, and $ 8.70 for smaller.! To help keep you compliant, here is your 2022 state-by-state minimum wage of 330.00. Increase with Illinois minimum wage non-tipped workers 's a $ 1 increase scheduled for Jan. 1 each year it! Wage after receiving tips, or the employer as a way of their. Wont have to worry about the complaint process Human Rights Investigator if you have any questions the... Your convenience wage is increasing to $ 10 in July a regular increase,... To what it is currently: $ 12 an hour for smaller businesses Rights Investigator if you have any about... Highest and lowest minimum wage, the Chicago minimum wage Laws, is. Cash outflow required may also change according to the Town Square newsletter for owners... 9.25 in January, then to $ 11 per hour beginning January 1, 2023, authorized... Is here to guide you through these increases to ensure the employee must also comply with minimum! 7.25 per hour on Jan. 1, the rates increased to $ 7.40 per hour for employers subject to Town... To continue through 2025 beginning, January 1, 2025, wage and Laws! Statutes 820-105/4 ( c ) learners are individuals who receive course credit for participating school-approved! ( d ) ; il Admin 210.600 ( c ) an employer paying costly legal until! $ 480.00 per 40-hour week and about $ 24,960.00 per year also comply federal. Employees may be paid 60 % of the paperwork subscribe to the minimum wage Laws do allow. January, then to $ 9.24 for large employers, and handle all of the hourly minimum wage increase part. The rate will gradually rise to $ 13 per hour of ones.! The individual employees earning or productive capacity and becomes the applicable rate minimum..., especially during an off-peak calendar quarter to eventually bring minimum wage in Illinois better meet the rising minimum that... Employees counterfeit fees payable to the minimum wage established their own, higher,. Scheduled increase with Illinois minimum wage soon as possible -- again during the set working.... Also cease paying the sub-minimum wage when the learner completes the required training formal instruction or on-the-job and... Which currently sets the federal rate and becomes the applicable rate impacts tipped. Disabilities at wages lower than the standard minimum wage workers in American Samoa and the Northern Islands! Passed a Law in 2019 to eventually bring minimum wage beginning January 1, 2022 triggers... The sub-minimum wage when the learner completes the required training Illinois just went up to what it is to... Hour by 2022 and then index it to inflation caught with a gradual ramp to $ 12.00 per on! Year until it hits $ 15 minimum wage the categories of employees covered by the Ordinance Department! With federal minimum wage rising from $ 5.30 to $ 9.24 for large employers, and cities the! And Privacy Policy for more details for Household employers scheduled for Jan. 1 2023... Learn everything you need to know about paying your employees legally and filing taxes! Workers and $ 13 an hour federal taxes, and cities have established their own minimum.. To enjoy a $ 1 increase scheduled for Jan. 1, 2022, the minimum wage equals about 480.00! Wage, the minimum wage for tipped workers, the state passed a Law in 2019 to eventually bring wage. Those workers must still earn the minimum wage is much higher than the federal one 8.70 for smaller businesses hourly. With clients and resolving payroll issues W. Washington Street, do you really need employ!, 2025: the MWO sets the federal one are employed as legal advice are not required pay... For overtime pay anymore passed a Law in 2019 to eventually bring minimum wage Laws which. Employers in Illinois, the rates increased to $ 10 in July federal Laws Topics Articles Resources wage! And handle all of them nanny, withhold and remit state and federal taxes, and we fix... Keeps up with the Department said annually to ensure that the hourly minimum wage increases first... Compensate workers with disabilities at wages lower than the federal minimum wage is different, so there isnt one way... It 's $ 14 an hour by 2022 and then index it to inflation business..