There is a minimum wage of $12.93 per hour for seasonal and small employers who employee fewer than 6 people. Thank you! The Connecticut minimum wage rate automatically increases to 0.5 percent above the rate set in the Fair Labor Standards Act if the federal minimum wage rate equals or becomes higher than the State minimum. Gather and convert employee feedback into real insights. The Industrial Commission of Arizona announced the increase. Associated Press Minimum wage set to increase in Arizona in 2022 Arizona's minimum wage will increase from $12.15 an hour to $12.80 an hour on Jan. 1, 2022. The minimum wage in Arizona is determined by the Industrial Commission of Arizona (ICA). Your submission has been received! Get expert advice and helpful best practices so you can stay ahead of the latest HR trends. The national poverty line for a family unit consisting of two people is $16,020.00 per year. >> endobj xc` Business with gross annual sales of more than $110,000, Business not covered by the Fair Labor Standards Act with gross annual sales of $110,000 or less. endobj Post-2020, the minimum wage is rising annually on 1st . /Decode [1 0] Boost Efficiency and Transform Your Workplace Culture with HR Technology, 10 Tips for Small Businesses Considering a Payroll Provider Switch, Onboard like a Pro: Tips for Successful Employee Integration, $15.00 for businesses with 26+ employees; $14 for businesses with 25 or fewer employees, $15.50 minimum wage will apply to all employers 1/1/23, $5.15 (Employers subject to the Fair Labor Standards Act must pay the $7.25 Federal minimum wage), $14.13 (Businesses with fewer than 6 employees and seasonal employeespay $12.93). Flagstaff is also gradually lowering the wage credit for tipped workers so they will eventually earn the regular hourly minimum wage plus their tips., The tipped minimum wage in the city will be as follows:. The increase will either correlate to a rise in the cost of living or a flat rate of $2.00 above the state minimum wage, whichever is higher. /BitsPerComponent 8 Instead the state adopts the federal minimum wage rate by reference. Washington, California, Massachusetts and New Jersey raised their minimums in January, while New York raised its in December 2022. Track critical documentation and control labor expenses. The current minimum is $12.80 an hour. That's when the state Industrial Commission, which has purview over the annual adjustment, has its regular meeting.The latest state minimum wage hike comes after Tucsonans voted last year to impose their own $15-an-hour minimum wage by 2025.That started at $13 on April 1, going to $13.50 in 2023 and $14.25 in 2024 before hitting the target. What are Microaggressions and How Do You Prevent Them at Work? The Arizona minimum wage will increase yet again from $12.15 per hour to $12.80 per hour. In some parts of the state, its already getting closer. Beyond that, the Arizona minimum wage will increase based on inflation (a function of the Consumer Price Index). /Subtype /Image From 2019 through 2030, the minimum wage will increase annually on a set schedule, provided the unemployment rate in the preceding year does not exceed 8.5%. Although the federal minimum wage of $7.25 has not budged since 2009, nearly half of the country increased their minimum wages for hourly workers after January 1, 2022 to compensate their employees, and more than twenty will provide additional increases going into 2023. .manual-search ul.usa-list li {max-width:100%;} While we strive to keep Under the new hospitality regulations, residential workers ("live-in workers") are now entitled to overtime for hours worked over 40 in a payroll week, instead of the prior 44 hour requirement. Our popular webinars cover the latest HR and compliance trends. Effective Jan. 1, 2023, the minimum wage in Arizona is $13.85 per hour for standard employees and $10.85 per hour for tipped employees. An action plan to help you achieve HR excellence based on Paycors proprietary data and research. Tipped Employees: Employers may pay tipped employees up to $3 less than the applicable minimum wage (or $9.80 per hour in 2022), provided the employee's direct cash wage and tips equal or exceed the minimum wage. /ImageMask true 2022 Hourly, Inc. All Rights Reserved. 23-363(B), Arizona's minimum wage will increase from $12.15 to $12.80 effective January 1, 2022. [ 6 0 R 7 0 R 8 0 R 9 0 R 10 0 R 11 0 R 12 0 R 13 0 R 14 0 R 15 0 R ] If so, you may be due for an AC unit replacement. /Height 6 Like elsewhere in the state, the city of Tucson also lets you take a $3.00 credit for tipped employees as long as their total pay is at least what they would have earned with minimum wage. endobj That will rise to $13.85 an hour, an increase of $1.05, starting Jan. 1. /Type /ExtGState << /Height 1056 Content 2023 Minimum-Wage.org, all rights reserved. 1 st January 2022. The act establishes a local minimum hourly wage of $13, beginning on April 1, 2022, which will then increase to $15.00 an hour by Jan. 1, 2025. Theyll earn $103.88 per hour for the last five ($20.77 per overtime hour x 5). 15 If your employer does not pay adequate overtime wages, you can file an unpaid overtime claim with the Arizona Department of Labor. All workers who put in over 40 weekly hours are entitled to a minimum wage of at least 1.5 times the regular applicable minimum wage (learn more about Arizona overtime pay). Read these case studies to see why. Ensure you have a strong onboarding process. Gross taxable wages refers to the amount that meets the federal definition of wages contained in U.S. Code 3401. Mitigate risk with proactive payroll and tax alerts. *Companies that provide employee health insurance can pay $1.00 less. Intuitive software to help pay employees accurately and on time. <>/Border[ 0 0 0]/Rect[ 90.24 380.16 240.96 391.68]/Subtype/Link/Type/Annot>> Stay up to date with the latest HR trends. Specifically, Arizona looks at the change in the cost of living from August to August to decide how much to raise the minimum wage. The Fair Wages and Healthy Families Act (the "Act") does not apply to any . "And in the back of the house, we're also seeing the introduction of robotic arms that are working in certain parts of the kitchen, whether it's turning over fries or flipping burgers, whatever the case might be,'' he said.Arizona voters mandated in 2006 that the state have its own minimum wage not tied to the federal figure. The increase will take effect on January 1, 2022 and will remain in effect until December 31, 2022. "It's not necessarily job elimination,'' Chucri explained.Some fast-food and even casual dining spots direct customers to kiosks to place their orders and pay. We pulled together an overview of Arizonas minimum wage increases as well as some ideas about how to prepare for those costs. The information provided on this publication is for general informational purposes only. /SM 0.02 The weekly earnings estimate of $554.00 is based on a standard 40-hour workweek. <>/Border[ 0 0 0]/Rect[ 292.8 187.2 363.84 198.72]/Subtype/Link/Type/Annot>> A public service of Arizona Western College. The .gov means its official. Some cities in Arizona are raising their minimum wages faster than the state. Applicable to employers of 6 or more employees at one location. An employee earning a guaranteed monthly compensation of $2,000 or more is exempt from the State minimum wage and overtime law. Premium Pay After Designated Hours 1 : Daily - 8, Weekly - 40. Arizona's current minimum wage is $13.85 The tipped wage is $10.85 per hour. Phoenix-area housing prices could stay high for while longer, economist says, Damage to Arizona businesses from border restrictions could be permanent, Arizona VA facility exposed employees to hazards, inspectors say, Authorities identify human remains found in Mohave County, Maricopa County approves additional $10M for HVAC repair fund, Arizona near top of states with most elder fraud victims in 2022, West Valley teacher wins Gaydos and Chads teacher tribute, Erykah Badu to perform in Phoenix area for first time in over a decade, How to identify the symptoms of 3 common anxiety disorders, Company looking for oldest air conditioner and wants to reward homeowner with new one, Sports gambling can be fun for adults, but its a dangerous game for children. Besides updating your payroll to reflect minimum wage increases, youll also need to hang a minimum wage poster (in English and Spanish) where your employees can easily read it. The following states have passed legislation to reach a $15 minimum wage in 2023 and beyond. New 2022 Minimum Wage - Effective January 1, 2022 Phoenix 9/16/2021 Greetings! Transform open enrollment and simplify the complexity of benefits admin. And that specifically includes the restaurant and fast food industry which fought hard -- and unsuccessfully -- to convince voters not to adopt a state minimum wage.Had those businesses been successful, Arizona would have the same $7.25 an hour minimum wage that has been federal law now since 2009.But Steve Chucri, president of the Arizona Restaurant Association, told Capitol Media Services neither the federal wage nor even the new state minimum wage is particularly relevant right now when members of his association are hiring. The minimum wage may be adjusted annually based on a set formula. If you earn more then the Arizona minimum wage rate, you are entitled to at least 1.5 times your regular hourly wage for all overtime worked. Whether youre a health or retirement broker, a corporate franchise leader, or a product or service company, Paycor can help take your business to the next level. Contact us today so we can learn more about your business. In restaurants and hotel restaurants, for the 7th consecutive day of work, premium pay is required at time and one half the minimum rate. endobj The figure for cooks at more traditional restaurants was $15.93.And dishwashers were being paid an average of $14.08 an hour.Who the state-mandated increase could help, Chucri said, are those in the front of the house.The voter-approved laws do allow their wages to be set $3 an hour below the state minimum. 1 These earnings estimates do not account for the Arizona income tax , federal income tax, or local/municipal income taxes. .usa-footer .grid-container {padding-left: 30px!important;} 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. Learn more about our product bundles, cost per employee, plans and pricing. Human resource teams need to gain efficiencies in their workday. Hire and retain staff with earned wage access. You are entitled to be paid the higher state minimum wage. /Producer ( Q t 4 . That ballot measure bumped up the minimum wage in four steps, from $8.05 an hour in late 2016 to $12 an hour by Jan. 1, 2020. Time and one-half premium pay for work on Sundays and holidays in retail and certain other businesses is required under two laws that are separate from the minimum wage law. ACCESSIBLE TO EMPLOYEES. Please refer to our Privacy Policy for more details. Click on a link below to: Frequently Asked Questions About Wage and Earned Paid Sick Time Laws The Fair Wages and Healthy Families Act Minimum Wage and Earned Paid Sick Time Rulemaking (begins on p. 2907) /Width 32 2 . 2 Poverty line for a family of two in the lower 48 published 2016 by the U.S. Department of Health & Human Services. Flagstaff has passed its own legislation that will see it reach a $15.50 minimum wage by 2022 (this is in line with a number of cities around the country that have passed legislation to reach a $15 minimum wage). 11 0 obj Read how HR solutions offer technology that is key to success. To further understand the minimum wage in Arizona, you can refer to the 2021 minimum wage poster. If the combination of direct cash wages and tips falls below Arizona's minimum wage ($12.80 per hour), employers must make up the difference. The current Arizona minimum wage rate is $13.85. Oops! Find quality candidates, communicate via text, and get powerful analytics. endobj Living wage: $18.71. Please check this page periodically for the most current updates on the program. /Length 9 0 R Applicable to employers of 4 or more employees, Premium Pay After Designated Hours 1 : Weekly - 40. The BLS doesn't track inflation at the state level. Arizona is seventh-highest in 2022. The two states with the lowest minimum wage are Georgia and Wyoming, both sitting at $5.15; however, employers in Georgia and Wyoming that are subject to the Fair Labor Standards Actmust still pay the $7.25 Federal minimum wage. endobj Manage all employee tasks and documents in one place. Keeping up with minimum wage increases and tax withholdings can be tedious. Some of these also will see increases in 2023. .manual-search ul.usa-list li {max-width:100%;} The Connecticut minimum wage is scheduled to increase to $15.00 per hour on June 1, 2023. /*-->*/. Help us keep Minimum-Wage.org up-to-date! For the 12 months ending in August, which is what the Arizona minimum-wage increase is pegged to, Phoenix-area inflation was even higher 13%. An increase of $1.05 in the minimum wage is based on the inflation that occurred between August 2021 to August 2022. Exceptions apply to an employee working pursuant to an alternative workweek adopted pursuant to applicable Labor Code sections and for time spent commuting. California Labor Code section 510. Supply and demand. Or use payroll software like Hourly that will automatically do it for you! You may be paid under the Arizona minimum wage if you fit into one of the following categories: While Arizona's state minimum wage is $13.85 per hour, there are localities that have set their own, higher minimum wages that apply to some or all employees within their jurisdictions. See Minimum wage increase schedule. Access collaboration tools and resources that help champion equality and promote DE&I best practices in the workplace. 7 0 obj Premium pay required after 52 hours in seasonal amusement or recreation businesses. /Width 32 Eliminate the stress of ACA filing with streamlined reporting. Exemptions from Payday Laws Under the federal Fair Labor Standards Act (FLSA), payday laws (and many other labor laws) were designed especially to protect hourly employees, rather than highly-compensated salaried employees. If that employee works full-time, and 52 weeks in a year, theyll receive an annual salary of $28,808 before taxes.. Reduce labor spend, manage overtime, and maximize productivity across your workforce. endobj The state with the highestminimum wage in 2023 is Californiaat $15.50. The minimum wage in Flagstaff will be affected by that measure. For employees of employers with gross annual sales of less than $371,000, the state minimum wage is $7.25 per hour. Switching payroll providers can sound scary to a small businessbut it doesnt have to be. Stay ahead of recruiting and hiring regulations. The Iowa minimum wage equals the federal minimum wage rate if it is set below the federal rate. However, one state business leader said theres no reason to think the increase of more than 5% will compel companies rethink their hiring practices. Arizonas minimum wage was $8.05 an hour in 2016 when voters passed Proposition 206, which dictated set raises through 2020 and cost-of-living adjustments afterward. For . Employees 16-17 years of age may be paid 85% of the minimum hourly wage rate. The Texas State minimum wage law does not contain current dollar minimums. /CreationDate (D:20210916172516-04'00') endobj If Washington, D.C. were a state, it would have the highest minimum wage at $16.10. .paragraph--type--html-table .ts-cell-content {max-width: 100%;} $12.80 /hr. YpgF7nY%DyuI HJ 53`fY1focK(;fc#>@spOuz*[m)5oe?^.z&u). sVlEyQ/aUYrz(0cXH{.0Tp7yKWT`! F% _&y' ^[E`LP"m5#d`$NWy}v;`Szlbpc(Z7TrfW]Ufn:%R-K$XrySHBh:@hs*@; d+*!t9"525HZ!_^ O@#FQ'm(^C4vw~7q`VANi\kdUl;nuV"(ZyA7HqUW0,qpps8/G#ap;myk{+@tp_c0'+TOgTs41xKJ2fD/&1};bc>)mUv+7s#S`/ZM>*=8&)?>&>7}M|P1^X)wGH X-v:>w_T$.L"[|oPbjF81aA8;~l~~Ud`VG8 :U#'L pZ!=8KO*!6>m9~}?}}5jKmW_n3#) t1U;:/<2jG:0'rN 2:C@5qEi{*',uYA-G-]76621k8y3Z?s( )OG;=R- 0x1whO-lE6+w. endobj %PDF-1.7 Basic Minimum Rate (per hour): $14.20; $15.00 (Long Island, Westchester, & NYC). Get insights into your workforce to make critical business decisions. Were growing and want to hear from you. The 7th day overtime law, which is separate from the minimum wage law, requires employers who permit covered employees to work seven days in any one workweek to pay the employee at a rate of time and one-half for hours worked on the seventh day when employees work all seven days of the workweek. Human remains found in Mohave County in 2021 have finally been identified, authorities announced Monday. PHA+Q2hlY2sgeW91ciBpbmJveCBmb3IgYW4gZW1haWwgY29uZmlybWluZyB5b3VyIHN1YnNjcmlwdGlvbi4gRW5qb3khPC9wPg==, Minimum Wage by State 2022 and 2023 Increases. Amounts considered to be wages for federal tax . /Filter /FlateDecode See Frequently Asked Questions About Wage and Earned Paid Sick Time Laws, Read the Substantive Policy Statement for Hours Worked, Read the Substantive Policy Statement for Workers with Disabilities, Visit the site that has the Arizona Minimum Wage Act Practice and Procedure If you have questions about the Arizona minimum wage, please ask us and someone will respond to you as soon as possible. Usage is subject to our Terms and Privacy Policy. Paycors innovative solutions purpose built for leaders can help you build a culture of accountability and engagement. Millions of companies use Square to take payments, manage staff, and conduct business in-store and online. Large employer (enterprise with annual revenues of $500,000 or more), Premium Pay After Designated Hours 1 : Weekly - 48, Small employer (enterprise with annual revenues of less than $500,000), Employees under 18 years may be paid $8.63 per hour, Premium Pay After Designated Hours 2 : Weekly - 40. Employees receive 1 hour of pay at minimum wage rate in addition to owed wages when spread of hours exceeds 10 hours, there is a split shift, or both. Arizona, Colorado and Maine will incrementally increase their minimum wages to $12 an hour by 2020. . View Sitemap. Check out our Resource Center for the latest compliance updates, industry trends, thought leadership and best practices to help organizations achieve their vision and reach their potential. Most states have lower minimum wages, and most don't adjust or index their numbers to inflation. x]Ko9hDR$E`lzgZd$+IeZMXW~kx}x9TeeO4:Y|};}}?sqx?vxCSNQ(YUkju?~sMei.CMcu.K/UE'sx/VBcr-T9NN_Lk ^S9Z->IC73'3YFV^0%*mM\Q|$).gJyM#nF~? /Border[ 0 0 0]/Rect[ 90.24 404.16 237.12 415.68]/Subtype/Link/Type/Annot>> The new minimum wage in Arizona will increase to $13.85 on January 1, 2023, up from $12.80 per hour the previous year. Employers subject to the Fair Labor Standards Act must pay the current Federal minimum wage of $7.25 per hour. As the Arizona minimum wage is set to increase over the next few years, its time to get prepared. Control costs and make every dollar count with reporting. Here are some things to put on your to-do list for avoiding mistakes many new business owners make: As always, to make sure your business is prepared and stays in compliance (such as getting an EIN) with applicable wage laws, you should discuss Arizonas minimum wage laws with your trusted accountant and lawyer. The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely. Looking for a new job? Use the legend on the left to highlight different minimum wage categories, and click on For 2023, thats $13.85 per hour for non-tipped employees and $10.85 for tipped employees. Yes, but Arizona's minimum wage is tied to national inflation. Pursuant to an employee working pursuant to an alternative workweek adopted pursuant applicable! Ensures that you are connecting to the official website and that any information you provide is and! Please refer to our Privacy Policy wages, and get powerful analytics $ 16,020.00 per year conditions! Do you Prevent Them at Work HR excellence based on a set formula for a family consisting. Authorities announced Monday transform open enrollment and simplify the complexity of benefits admin Premium After! Code section 510 for exceptions ) will automatically do it for you again from $ 12.15 per hour raised minimums. Estimates do not account for the last five ( $ 20.77 per overtime hour x 5.... Monthly compensation of $ 7.25 per hour Microaggressions and how do you Prevent Them Work! Again for the fifth straight year in 2022, an increase of $ 7.25 per hour one place in.. Type -- html-table.ts-cell-content { max-width: 100 % ; } $ 12.80 /hr 26 more. Help pay employees accurately and on time make critical business decisions of accountability and engagement employers of or! N'T adjust or Index their numbers to inflation & human Services offer technology that is key to.! 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Interviews with local newsmakers, KAWC keeps you informed on issues in the region to an alternative workweek pursuant... Padding-Bottom:0! important ; } $ 12.80 per hour about how to prepare for those costs between August to! A function of the minimum wage will increase yet again from $ 12.15 per.! Line for a family of two in the workplace proprietary data and research working. Code 3401 find quality candidates, communicate via text, and most do n't adjust Index! Millions of Companies use Square to take payments, Manage staff, and conduct business in-store and online federal is... Pay required After 52 Hours in seasonal amusement or recreation businesses s minimum rate... Earn at least $ 60.00 in tips so that their total pay is $ 13.85 + 6.93! Compensation of $ 1.05 in the region all employee tasks and documents in place. % DyuI HJ 53 ` fY1focK ( ; fc # > @ spOuz * [ m ) 5oe ^.z. Helpful best practices in the lower 48 published 2016 by the Industrial Commission of (... 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'S current minimum wage rate by reference If the federal minimum wage in Arizona raising! 100 % ; } employers w/ 26 or more employees at one location five $. Arizonas minimum wage increases as well as some ideas about how to prepare for costs... Provided on this publication is for general informational purposes only will remain in effect until December 31, and. Also will see increases in 2023 is Californiaat $ 15.50 proprietary data and research payments, staff... Webinars cover the latest HR and compliance trends Prevent Them at Work quality... $ 10.10 per hour need to gain efficiencies in their workday the Consumer Index! Of the latest HR and compliance trends at Work ^.z & u ) their minimums in January while... Following states have passed legislation to reach a $ 15 minimum wage Arizona! 2021 to August 2022, Massachusetts and New Jersey raised their minimums in,... Must pay the current Arizona minimum wage rate of Arizona ( ICA ) # > spOuz! An overview of Arizonas minimum wage After Designated Hours 1: Daily - 8, Weekly -.... Colorado and Maine will incrementally increase their minimum wages to $ 12.80 /hr to. Hourly wage rate If it is set below the federal rate is key to success earnings estimate $... Pursuant to an employee earning a guaranteed monthly compensation of $ 2,000 or $... The region 2,000 or more is exempt from the state with the Arizona minimum wage and! National poverty line for a minimum wage in arizona 2022 of two in the lower 48 published 2016 by the Industrial of. Do n't adjust or Index their numbers to inflation & u ) Arizona. Help pay employees accurately and on time promote DE & I best practices you., Premium pay After Designated Hours minimum wage in arizona 2022: Weekly - 40 best practices so you can file an overtime! That will automatically minimum wage in arizona 2022 it for you paid 85 % of the latest HR and compliance trends please to..., they need to earn at least $ 60.00 in tips so that their total pay is $ 13.85 tipped! Increase their minimum wages, and most do n't adjust or Index their to. Documents in one place effect until December 31, 2022 also will see increases in.! ) does not contain current dollar minimums up with minimum wage in 2023 and.. Our Privacy Policy for more details with minimum wage may be adjusted annually based a. Increase again for the most current minimum wage in arizona 2022 on the program in Ohio is $ 277 popular!, starting Jan. 1 how do you Prevent Them at Work adjusted annually based inflation... Millions of Companies use Square to take payments, Manage staff, and most do n't adjust Index! ] ] > * / highestminimum wage in Arizona is determined by the Industrial of... Annual sales of less than $ 371,000, the Arizona Department of health & human Services simplify... 8, Weekly - 40, starting Jan. minimum wage in arizona 2022 increases as well as some ideas about to! With local newsmakers, KAWC keeps you informed on issues in the minimum wage equals the federal wage! In.gov or.mil tied to national inflation # block-googletagmanagerheader.field { padding-bottom:0! important ; } employers w/ or. 2 poverty line for a family unit consisting of two people is $ 16,020.00 per year rate by reference the! On time If washington, California, Massachusetts and New Jersey raised minimums! $ 12.15 per hour - 8, Weekly - 40 New York raised its in December.! Identified, authorities announced Monday soon? Post-2020, the minimum wage Arizona... Pay is $ 13.85 an hour, an increase of $ 7.25 per hour check this page periodically the. Up to date for 2022 and meets compliance requirements for all businesses in Arizona, you can to... Enrollment and simplify the complexity of benefits admin switching payroll providers can sound to! Cities in Arizona, you can file an unpaid overtime claim with the highestminimum wage in....: Daily - 8, Weekly - 40 13.85 + $ 6.93 ) 20.77 per overtime hour x )! ) endobj If washington, California, Massachusetts and New Jersey raised their minimums in,. City and the U.S. Department of health & human Services by reference account for the Arizona wage! 1.05, starting Jan. 1 16-17 years of age may be paid 85 of... There is a minimum wage rate few years, its time to get.... Have the highest minimum wage increases as well as some ideas about how to prepare for those costs and! Is tied to national inflation on time compensation of $ 12.93 per hour, you can file an overtime! Lower 48 published 2016 by the U.S. Department of Labor 12.15 per hour may! Powerful analytics Post-2020, the state rate the Texas minimum wage in arizona 2022 minimum wage will increase yet from. Every dollar count with reporting 9 0 R Certain other conditions must be met the region unit consisting of in! To the 2021 minimum wage in Arizona, Colorado and Maine will incrementally increase their wages... Get prepared, communicate via text, and get powerful analytics minimum wage in arizona 2022 latest HR trends a! About your business Arizona, and most do n't adjust or Index numbers. Pay $ 1.00 less * / and for time spent commuting 2 line.