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Indiana Minimum Wage

The Indiana minimum wage for 2026 and 2027, the tipped and youth rates, and how the rate is set each year. Every figure links to its official source below.

Indiana minimum wage, 2026 and 2027

Rate 2026 (now) 2027
Standard minimum wage $7.25 $7.25
Tipped employees (cash wage) If the employer claims a tip credit; tips must bring the total up to the full minimum wage. $2.13 $2.13
Employees under 20, first 90 days (training wage) $4.25 $4.25

Current rate in effect since July 24, 2009; next statewide change: the rate stays at $7.25: Indiana's law sets the same $7.25 as the federal rate and lists no later step.

Tipped workers

Employers must generally pay tipped employees at least $2.13 an hour if they claim a tip credit. If the employee's tips plus the hourly wage do not equal the minimum wage, the employer must make up the difference.

Minors, trainees and other rates

Indiana employers may pay $4.25 an hour to employees under 20 for the first 90 consecutive calendar days after the employee is first employed by the employer.

Local minimum wages in Indiana

This page lists no city or county minimum wages for Indiana; the state rate is the one the Department of Labor publishes.

How the Indiana minimum wage is set

The Department of Labor's poster says the federal and Indiana minimum wages both rose from $6.55 to $7.25 on July 24, 2009, and shows no later step or inflation adjustment. Most Indiana employers fall under the federal law; the state law matters for those the federal law does not cover.

What does $7.25 an hour leave you after tax in Indiana? Run it through the paycheck calculator.

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Frequently asked questions

What is the minimum wage in Indiana in 2026?
$7.25 an hour, in effect since July 24, 2009.
What will the Indiana minimum wage be in 2027?
The statewide rate stays at $7.25: Indiana's law sets the same $7.25 as the federal rate and lists no later step.
What is the tipped minimum wage in Indiana?
Employers must generally pay tipped employees at least $2.13 an hour if they claim a tip credit. If the employee's tips plus the hourly wage do not equal the minimum wage, the employer must make up the difference.
Can minors be paid less than the minimum wage in Indiana?
Indiana employers may pay $4.25 an hour to employees under 20 for the first 90 consecutive calendar days after the employee is first employed by the employer.
How is the Indiana minimum wage adjusted each year?
The Department of Labor's poster says the federal and Indiana minimum wages both rose from $6.55 to $7.25 on July 24, 2009, and shows no later step or inflation adjustment. Most Indiana employers fall under the federal law; the state law matters for those the federal law does not cover.
Do cities in Indiana have a higher minimum wage?
This page lists no city or county minimum wages for Indiana; the state rate is the one the Department of Labor publishes.

Minimum wage in other states

Every state side by side: minimum wage by state 2026 and minimum wage by state 2027.

Sources

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