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What is the minimum wage in Indiana?

Federal & State Law Editorial TeamLast reviewed: 2026-04-30

Indiana minimum wage is governed by Ind. Code §§ 22-2-2-1 through 22-2-2-11.

1. Current Rate

  • $7.25/hour (Ind. Code § 22-2-2-4) — equal to federal minimum, unchanged since 2008.

    • 2. Coverage

    Indiana's state minimum wage applies to employers with 2+ employees. Federal FLSA applies separately based on commerce/sales tests; FLSA covers most workers.

    3. Tipped Workers

    Tipped employees may be paid a cash wage of $2.13/hour (matching federal), provided tips bring them to $7.25 (Ind. Code § 22-2-2-4(b)). Employer must make up shortfall.

    4. Local Preemption

    Ind. Code § 22-2-2-10.5 (2017) prohibits local governments from establishing minimum wages, prevailing wages, or other wage mandates for private employers higher than state law. Indianapolis, Bloomington, etc. cannot enact local minimums.

    5. Overtime

    Indiana adopts federal FLSA OT rules: 1.5x after 40 hours/week (Ind. Code § 22-2-2-4(g)). No daily overtime.

    6. Youth Wage

    Federal $4.25/hour youth wage for workers under 20 in their first 90 days.

    7. State Exemptions (Ind. Code § 22-2-2-3)

  • Employers with fewer than 2 employees.
  • Family members of the employer.
  • Agricultural workers.
  • Outside salespersons.
  • Executive, administrative, professional employees.
  • Domestic service in private home.
  • Apprentices and trainees in certain programs.
  • Employees of educational, charitable, religious organizations.

    • 8. Wage Payment

    Indiana's Wage Payment Statute (Ind. Code § 22-2-5) and Wage Claims Statute (Ind. Code § 22-2-9) require regular pay periods (≤10 days for hourly) and timely final wages. Civil penalty: 2x unpaid wages + attorney's fees for violations.

    9. Enforcement

    Indiana Department of Labor, Wage and Hour Division. Private right of action under Ind. Code § 22-2-2-9 for unpaid minimum wage + liquidated damages + attorney's fees.

    10. Common Construction Wage Repealed

    Indiana repealed its common construction (prevailing) wage statute in 2015 (formerly Ind. Code Ch. 5-16-7). Public works projects no longer require prevailing wages.

    This is legal information, not legal advice.

    When to Talk to a Lawyer
    • Your employer claims a state exemption you don't qualify for
    • Your final wages weren't paid timely (2x damages available)
    • Your tipped cash wage + tips don't reach $7.25
    Related Statutes & Laws
    • Ind. Code § 22-2-2-4
    • Ind. Code § 22-2-2-9
    • Ind. Code § 22-2-2-10.5
    • Ind. Code § 22-2-5
    • Ind. Code § 22-2-9

    This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.