Ohio's minimum wage will increase to $8.80 per hour on January 1, 2021. The change is a result of an annual adjustment for inflation.
Coverage:
The 2021 minimum wage rate applies to Ohio businesses with annual gross receipts of $323,000 or more per year. For employees of businesses that gross less than $323,000 per year, and for employees under the age of 16, the minimum wage will remain at $7.25 per hour.
Tipped Employees:
Beginning January 1, 2021, tipped employees must receive direct cash wages of at least $4.40 per hour. If the tipped employee's tips and direct cash wages fail to meet or exceed the applicable minimum wage, the employer must make up the difference.
Compliance Recommendations:
Beginning January 1, 2021, Ohio employers must pay all non-exempt employees at least the minimum wage per hour. Ohio employers must also post an updated minimum wage poster. Please contact your dedicated service professional with any questions.