Ohio sets its own minimum wage above the federal floor and adjusts it for inflation every year. The rate is fixed in the Ohio Constitution (Article II, Section 34a), which requires the wage to rise each January 1 in line with the Consumer Price Index. For larger employers, the Ohio minimum wage was $10.70 per hour in 2025, with a tipped cash wage of $5.35 per hour. Because the figure is recalculated each September for the following year, the 2026 rate is set higher than the 2025 amount through the CPI adjustment. Before relying on a specific number, confirm the current Ohio rate with the Ohio Department of Commerce, which publishes an official minimum wage poster each year.
Ohio's minimum wage versus the federal $7.25
The federal Fair Labor Standards Act (FLSA) sets a national minimum wage of $7.25 per hour, a figure that has not changed since 2009. Ohio's constitutional minimum is meaningfully higher, so most Ohio workers are entitled to the state rate, not the federal one. When state and federal minimums differ, the employer must pay whichever is higher, which in Ohio means the state rate for covered employees.
Ohio's higher wage does not apply to every employer, however. Ohio's constitution ties full coverage to a business-size threshold based on annual gross receipts. Employers whose gross receipts fall below the threshold (a figure that itself rises each year with inflation, set in the high $300,000s for recent years) may pay the federal minimum of $7.25 instead of the higher Ohio rate. The same $7.25 federal floor applies to employees who are under 16 years old. For everyone else working for a covered Ohio employer, the higher state minimum governs.
How the annual inflation adjustment works
Unlike the frozen federal wage, Ohio's minimum is indexed. Voters approved this in 2006, and since then the Ohio Department of Commerce recalculates the rate each year using the change in the Consumer Price Index for urban wage earners and clerical workers (CPI-W) over the 12-month period ending in August. The new rate takes effect the following January 1.
This is why the Ohio number changes annually and why you should never assume last year's figure still applies. Practically:
The state announces the new rate in late September or early October each year.
The increase takes effect on January 1.
Both the standard rate and the tipped cash wage rise together, because the tipped wage is defined as half the standard minimum.
The gross-receipts threshold that determines whether an employer must pay the Ohio rate or the federal rate also adjusts upward.
The tipped wage and tip credit
Ohio permits a tip credit, which lets employers of tipped workers pay a lower direct cash wage and count customer tips toward the minimum. Under Ohio law, the cash wage for tipped employees is half the standard state minimum wage. In 2025 that worked out to $5.35 per hour in direct cash wages, with the standard rate at $10.70; the 2026 figures are higher after the inflation adjustment.
The tip credit comes with firm conditions:
A "tipped employee" is one who customarily and regularly receives more than $30 per month in tips.
The employee's cash wage plus tips must equal or exceed the full Ohio minimum wage for every hour worked. If tips fall short, the employer must make up the difference so the worker still reaches the full minimum.
Tips belong to the employee. Employers generally may not keep employees' tips, though valid tip pools among employees who customarily receive tips are allowed.
The federal FLSA also allows a tip credit, but its tipped cash wage floor is just $2.13 per hour. Ohio's $5.35-and-rising cash wage is far higher, so Ohio's rule is what tipped workers in the state should rely on.
City and county minimum wages in Ohio
Ohio does not have a patchwork of local minimum wages. State law preempts cities and counties from setting their own higher minimum wage for private employers. A well-known example came from Cleveland: an effort to raise the local minimum to $15 was blocked after the Ohio General Assembly enacted a statewide preemption law. As a result, there is effectively one private-sector minimum wage across Ohio, the constitutional state rate, rather than separate Columbus, Cleveland, Cincinnati, or county rates.
Public-sector pay can differ. State and local governments can set higher pay for their own employees, and some public contracts or living-wage ordinances impose higher rates on government contractors. But for ordinary private employers, the Ohio statewide rate is the number that applies no matter which city you work in.
Common exceptions
Several categories of workers fall outside Ohio's higher minimum and may be paid the federal $7.25 or another rate:
Employees under 16 years of age.
Workers for employers below the annual gross-receipts threshold.
Certain workers expressly exempted under federal law, such as some agricultural workers and specified trainees or apprentices, where federal rules permit.
Overtime is a separate protection. Ohio generally follows the federal standard: non-exempt employees must receive 1.5 times their regular rate for hours worked beyond 40 in a workweek. Ohio does not add a daily overtime requirement on top of the weekly-40 federal rule.
How to enforce your wage rights
If you believe you are being paid less than Ohio's minimum wage or are not receiving the tip make-up you are owed, you have options:
Keep your own records of hours worked, pay received, and tips reported.
File a minimum wage complaint with the Ohio Department of Commerce, Bureau of Wage and Hour Administration, which enforces the state wage law.
Ohio's constitutional wage provision also allows employees to pursue claims directly, and successful workers may recover back wages plus additional damages and costs.
Because minimum wage and tip rules also exist under federal law, the U.S. Department of Labor's Wage and Hour Division is an alternative avenue for some claims.
There are time limits for bringing wage claims, so do not wait indefinitely. If a significant amount is at stake, consider consulting an employment lawyer who handles Ohio wage cases.
Where to confirm the current Ohio rate
Because Ohio's minimum wage changes every January 1, always verify the figure rather than relying on a memorized number. The authoritative source is the Ohio Department of Commerce, which issues the official annual minimum wage poster showing the current standard rate, the tipped cash wage, and the gross-receipts threshold. Employers are required to post this notice where employees can see it. Checking the current poster, or the Department of Commerce website, is the surest way to know exactly what you must be paid this year in Ohio.
Official Ohio Sources
This page is based on Ohio employment law. Rules and figures change — verify the current details directly with the official Ohio 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 Ohio state law.
Frequently asked questions
What is Ohio's minimum wage in 2026?
Ohio's minimum wage rises every January 1 with inflation. The 2025 rate for larger employers was $10.70 per hour, and the 2026 rate is set higher after the CPI adjustment. Because the figure changes yearly, confirm the exact current rate on the Ohio Department of Commerce minimum wage poster.
How much can tipped employees be paid in Ohio?
Ohio allows a tipped cash wage equal to half the standard state minimum, which was $5.35 per hour in 2025 and is higher in 2026. The employer must ensure tips bring the worker up to the full Ohio minimum wage for every hour, and must cover any shortfall.
Can Ohio cities set their own minimum wage?
No. Ohio law preempts cities and counties from setting a higher private-sector minimum wage. An attempt by Cleveland to raise its local minimum was blocked by a statewide preemption statute, so the single Ohio constitutional rate applies across the state.
Does the federal $7.25 minimum ever apply in Ohio?
Yes. The federal FLSA minimum of $7.25 applies to employees under 16 and to employees of businesses whose annual gross receipts fall below Ohio's size threshold. Most other Ohio workers are entitled to the higher state minimum wage.
Who enforces Ohio's minimum wage law?
The Ohio Department of Commerce, through its Bureau of Wage and Hour Administration, enforces the state minimum wage. Workers can file a complaint there, and Ohio's constitution also lets employees pursue wage claims directly, with possible back pay and additional damages.
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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