As of 2026, Hawaii's minimum wage is $16.00 per hour, more than double the federal minimum of $7.25. This rate took effect on January 1, 2026, under Act 114 (2022), a state law that set a series of scheduled increases. The same law raises the wage again to $18.00 per hour on January 1, 2028. Hawaii applies one statewide minimum wage; unlike some mainland states, its counties (Honolulu, Hawaii, Maui, and Kauai) do not set their own separate minimum-wage rates, so the $16.00 figure applies across every island. Because the rate is set by statute on fixed dates rather than indexed to inflation, you can rely on the legislated schedule, but you should always confirm the current number with the Hawaii Department of Labor and Industrial Relations before relying on it for pay decisions.
How Hawaii's minimum wage compares to federal law
The federal Fair Labor Standards Act (FLSA) sets a national floor of $7.25 per hour, a figure that has not changed since 2009. When a state minimum wage is higher than the federal rate, employers must pay the higher state rate. Hawaii's $16.00 minimum is one of the highest statewide minimums in the country and sits far above the federal baseline, so the federal $7.25 is effectively irrelevant for almost all Hawaii workers. The practical rule is simple: whenever federal and state law differ, the law more favorable to the employee controls, and in Hawaii that is the state rate.
The scheduled increases under Act 114
Hawaii's current wage path comes from legislation passed in 2022. Rather than tying the wage to a cost-of-living formula, lawmakers wrote specific dollar amounts into the statute:
$12.00 per hour, effective October 1, 2022
$14.00 per hour, effective January 1, 2024
$16.00 per hour, effective January 1, 2026
$18.00 per hour, effective January 1, 2028
Because these are statutory dates, there is no automatic inflation adjustment between them, and no further increase is currently scheduled after the 2028 step to $18.00. Any change beyond that would require new legislation. This is different from states like Washington or Colorado that recalculate their minimum wage every year based on a consumer price index. In Hawaii, the number stays flat until the next legislated step date arrives.
Tipped employees and the tip credit
Hawaii allows employers to count a limited amount of an employee's tips toward the minimum wage. This is called a tip credit, and it lets an employer pay a lower direct cash wage as long as tips make up the difference. Under Act 114, the tip credit amount is also scheduled to rise:
A tip credit of $1.25 per hour applies as of 2026, meaning a tipped worker's minimum cash wage from the employer is roughly $14.75 per hour ($16.00 minus $1.25).
The tip credit is set to increase to $1.50 per hour in 2028, alongside the $18.00 minimum.
Hawaii's tip-credit rule has an important condition that protects workers. An employer may only take the tip credit if the employee's combined wages plus tips total at least $7.00 more than the applicable minimum wage. With a $16.00 minimum, that means a tipped employee must actually earn at least $23.00 per hour in combined cash wage and tips before the employer is allowed to apply any tip credit. If the worker's tips do not bring them to that combined threshold, the employer cannot use the credit and must pay the full minimum wage in direct cash. This makes Hawaii's tip-credit system notably more worker-protective than the federal model.
By comparison, the federal FLSA permits a much larger tip credit. Federally, a tipped employee can be paid a cash wage as low as $2.13 per hour, with a tip credit of up to $5.12, as long as tips bring the worker to the federal $7.25 minimum. Hawaii's small $1.25 credit and its $7.00-above-minimum combined-earnings requirement both work strongly in the employee's favor, so Hawaii tipped workers take home far more in guaranteed direct wages than federal law would require.
Who is covered and common exceptions
Most employees working in Hawaii are entitled to the state minimum wage, but the law recognizes some categories that are treated differently:
Tipped employees — covered, but subject to the tip-credit rules described above.
Certain agricultural and small-operation workers — some narrow exemptions exist under state law for specific situations.
Workers with disabilities — special certificates may permit subminimum wages in limited, regulated circumstances, though these programs have been narrowing nationally.
Bona fide executive, administrative, and professional employees — these salaried workers may be exempt from minimum-wage and overtime requirements if they meet the duties and salary tests.
If you are unsure whether an exemption applies to your job, do not assume your employer's classification is correct. Misclassification is one of the most common wage violations, and the label on your paycheck does not determine your legal rights.
Overtime in Hawaii
Hawaii follows the same basic overtime structure as federal law: covered employees must receive 1.5 times their regular rate for hours worked over 40 in a workweek. Hawaii does not have a daily overtime rule like California's. Overtime is calculated on the actual regular rate of pay, which for many workers is now at least the $16.00 minimum. Tipped employees are also entitled to overtime, calculated on the full minimum wage rather than the reduced cash wage.
How to enforce your rights
If you believe you are being paid less than Hawaii's minimum wage, or that your employer is taking an improper tip credit, you have several options. Start by keeping your own records: hours worked, pay stubs, and any tip records. You can file a wage complaint with the state agency that enforces these rules, and you generally do not need a lawyer to do so. Retaliation against an employee for asserting wage rights is prohibited, so an employer cannot legally fire or punish you for filing a complaint or asking about your pay.
You may also have the option of a private lawsuit to recover unpaid wages, and Hawaii law can allow recovery of additional amounts beyond the wages owed. Because deadlines (statutes of limitations) apply to wage claims, it is best to act promptly rather than waiting.
Where to confirm the current rate
The official source for Hawaii's minimum wage, tipped wage, and overtime rules is the Hawaii Department of Labor and Industrial Relations (DLIR), specifically its Wage Standards Division. This agency publishes the current rates, enforces the wage laws, and handles employee complaints. Because rates change on scheduled dates and the tip-credit figures step up over time, always verify the figure that applies to your specific pay period directly with DLIR or the Wage Standards Division before relying on it. Posted workplace notices are also required, so your employer should display the current minimum wage where employees can see it.
The numbers in this article reflect the Act 114 schedule as understood for 2026, but legislation and agency guidance can change. Treat the official DLIR figures as controlling.
Official Hawaii Sources
This page is based on Hawaii employment law. Rules and figures change — verify the current details directly with the official Hawaii sources below. This is general legal information, not legal advice.
Federal law and local ordinances may also apply. Federal laws like the Fair Labor Standards Act set a national floor, and your city or county may add protections (such as a higher local minimum wage or paid sick leave). Check both alongside Hawaii state law.
Frequently asked questions
What is Hawaii's minimum wage in 2026?
As of 2026, Hawaii's minimum wage is $16.00 per hour statewide under Act 114. It is scheduled to rise to $18.00 per hour on January 1, 2028. Confirm the current figure with the Hawaii Department of Labor and Industrial Relations before relying on it.
What is the tipped minimum wage in Hawaii?
Hawaii allows a tip credit of $1.25 per hour as of 2026, so the minimum direct cash wage for tipped workers is about $14.75 per hour. The employer can only take the tip credit if the worker's combined wages plus tips total at least $7.00 above the minimum wage (at least $23.00 per hour with the $16.00 minimum).
Do Honolulu or other Hawaii counties have their own minimum wage?
No. Hawaii uses a single statewide minimum wage. Honolulu, Hawaii County, Maui, and Kauai do not set separate local minimum-wage rates, so the $16.00 state rate applies on every island.
How does Hawaii's minimum wage compare to the federal rate?
The federal minimum under the FLSA is $7.25 per hour. Hawaii's $16.00 minimum is more than double that. When state and federal rates differ, employers must pay the higher rate, so Hawaii workers are entitled to the state figure.
Is Hawaii's minimum wage adjusted for inflation each year?
No. Hawaii sets its minimum wage by statute on fixed dates rather than indexing it to inflation. The rate stays flat between legislated step increases, and no increase beyond the 2028 step to $18.00 is currently scheduled.
This article is general legal information, not legal advice, and may not reflect the most current law or the law in your jurisdiction. Laws vary by state and change over time. For advice about your specific situation, consult a licensed attorney.
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