Georgia Minimum Wage vs Tipped Minimum Wage: Key Takeaways
- Georgia's state minimum wage is $5.15 per hour but federal minimum wage of $7.25 per hour usually applies.
- Tipped employees in Georgia can be paid a $2.13 base wage plus tips, as long as total earnings meet the $7.25 federal minimum.
- Employers must make up the difference if tips plus base wage do not reach the federal minimum wage.
Understanding the differences between Georgia's minimum wage and tipped minimum wage is essential for employers and employees.
This guide clarifies how federal and state laws interact for wage compliance in Georgia.
For national context, explore wages by state.
1. Overview of Georgia’s Minimum Wage
Georgia’s official state minimum wage is set at $5.15 per hour. This rate has remained unchanged for years.
However, the federal minimum wage of $7.25 per hour, established by the Fair Labor Standards Act (FLSA), supersedes Georgia’s lower rate.
As a result, most employees in Georgia are entitled to at least the federal minimum wage of $7.25, despite the lower state-level number.
Roles like servers are directly affected; review the server job description.
How the Federal Minimum Wage Overrides Georgia State Wage
The FLSA sets a nationwide minimum wage floor that states cannot go below.
Since Georgia’s state minimum wage is below this federal floor, employers must pay at least $7.25 per hour.
This is important for compliance and to ensure workers receive the federally mandated minimum pay.
Learn how the server minimum wage interacts with federal rules.
2. Understanding Georgia’s Tipped Minimum Wage
For tipped employees, Georgia follows the federal tipped wage rules under FLSA.
Employers may pay tipped staff a base wage as low as $2.13 per hour, if tips bring the total hourly earnings up to the federal minimum of $7.25.
If tips plus base pay do not reach $7.25, the employer must compensate the shortfall to comply with wage laws.
For benchmarking, see typical tipping percentages across the U.S.
Definition of a Tipped Employee in Georgia
Georgia does not have a specific minimum tip amount to qualify as a tipped employee.
Any employee who receives tips can be classified as tipped and paid accordingly.
This flexibility means employers should carefully monitor tip earnings and wage compliance for anyone receiving tips.
Common tipped roles include bartenders; see the bartender job description.
3. Comparing State and Tipped Minimum Wages in Georgia
Key differences between Georgia’s minimum wage and tipped minimum wage include:
- Base Rate: $5.15 per hour (state minimum) versus $2.13 per hour (tipped minimum)
- Total Minimum Pay: Must meet $7.25 hourly federal minimum for all employees, tipped or not
- Employer Responsibility: For tipped employees, employers must track tips and pay shortfalls if total earnings are under $7.25
In practical terms, tipped employees can have a lower base wage because tips are expected to supplement this base.
For other employees, the full minimum wage applies regardless of tips.
Compensation varies by role; check the cocktail server salary data.
4. Implications for Employers and Employees in Georgia
Employers need to be vigilant when paying tipped employees.
They must:
- Pay at least $2.13 per hour base wage
- Track total hourly earnings including tips
- Make up any difference if total pay is less than $7.25
Failure to do so can lead to wage and hour violations enforced by the Department of Labor.
When hiring, use this guide on how to post tipped jobs effectively.
Employees should understand their rights to receive tips and a base wage meeting federal minimum standards.
Current and Future Minimum Wage Trends in Georgia
As of August 2025, Georgia does not plan to increase its minimum wage; it continues adhering to federal standards.
The tipped minimum pay base also remains at $2.13 per hour.
Employers and employees should stay updated with federal and state labor department guidance in case of future changes.
To gauge earnings in tipped roles, review waitress salary benchmarks.
5. Best Practices for Compliance with Georgia’s Minimum Wage Laws
To maintain compliance:
- Regularly review payroll records to ensure total wages meet or exceed $7.25 per hour for all employees
- Keep accurate tip reporting and records for tipped employees
- Provide clear notices about wage and tip policies to employees
- Consult with labor law professionals if unsure about compliance or tipped wage classifications
6. Useful Resources on Georgia Minimum Wage and Tipped Wage Laws
For more detailed information, visit the following official sites:
Georgia Minimum Wage vs Tipped Minimum Wage: Conclusion
Though Georgia’s state minimum wage is $5.15, the federal minimum wage of $7.25 per hour generally applies.
For tipped employees, the federal tipped minimum wage of $2.13 plus tips must total at least $7.25, ensuring fair pay.
Employers must carefully track wages and tips to guarantee compliance and protect employee rights in Georgia’s labor market.
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