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Do Tipped Employees Need to be Paid Minimum Wage?

All Idaho workers must receive an hourly minimum wage for time worked, but things get a little trickier with tipped employees.

firstjobTo be considered a tipped employee, one must regularly receive more than $30 per month in tips.

While tipped employees don’t have to be paid minimum wage directly from their employer, the employee’s combined hourly wage plus tips must equal the minimum wage of the state where they are employed. The hourly wage of a tipped employee must also meet at least the federal minimum cash wage of $2.13 per hour.

Idaho state law requires employers to pay tipped employees above the federal tipped minimum wage. Idaho, with a minimum wage of $7.25 per hour, requires employers to pay tipped employees a minimum cash wage of $3.35 per hour.

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