WORKERS across the US have to be paid at least the federal minimum wage.

    We explain all you need to know about the rate - and how it varies across different states.


    We explain all you need to know about federal minimum wage Credit: Alamy

    It comes as the Bank of America in May 2021 announced plans to lift its minimum wage to $25 an hour by 2025.

    The US bank hiked its minimum wage to $20 an hour - up from $17 an hour - in March 2020.

    What is the federal minimum wage 2022?

    The federal minimum wage for covered employees is currently $7.25 per hour - and it hasn't been raised since 2009.

    It's said to be the longest period of time without an increase since the Roosevelt administration implemented it in 1938.

    Previous changes to the rates meant the rate increased to $5.85 in 2007, to $6.55 in 2008 and then finally to $7.25 in July 2009.

    In 2020, President Joe Biden said he would push for a $15-per-hour minimum wage and rejected the idea that it would hurt small businesses.

    Most read in Money

    He added that being paid $6 or $7 an hour was below the poverty line no matter where you live in America.

    However, legislation sponsored by Senator Bernie Sanders and others to lift the rate to $15 an hour failed in Congress.

    What you need to know about the minimum wage

    THE minimum wage law applies to employees at businesses that have an annual gross volume of sales of at least $500,000.

    It also applies to employees of smaller firms if they are engaged in interstate commerce or in the production of goods for commerce.

    Plus, it applies to employees of federal, state or local government agencies, hospitals and schools, and generally also domestic workers.

    A minimum wage of $4.25 per hour applies to young workers under the age of 20 during their first 90 consecutive calendar days of employment, as long as their work doesn't displace other workers.

    After this or the employee reaches 20 years of age, whichever comes first, the employee must be paid a minimum wage of $7.25 per hour.

    If you get tipped more than $30 a month, your employer is only required to pay $2.13 per hour in direct wages if that amount combined with the tips at least equals the federal minimum wage.

    However, many states require higher direct wage amounts for tipped employees.

    The federal minimum wage is enforced by the the US Department of Labor.

    Which state has the highest minimum wage?

    In the absence of action at the federal level, many states and localities have raised their own minimum wages .

    January 1, 2022 signaled a rise in workers' wages in 21  states  and 35 cities and counties.

    A report by the  National Employment Law Project  found a total of 81 jurisdictions will raise their minimum wage over the course of 2022.

    Federal minimum wage law supersedes state minimum wage laws where the federal rate is higher than the state one.

    It means you shouldn't be paid any less than $7.25 an hour, no matter where you live.

    On New Year's Day, the nation's highest minimum wage went into effect in West Hollywood, California but it only affects hotel workers who are now making $17.64 an hour.

    Mr Biden believes strong unions and higher wages can resurrect America's middle class while helping to bridge economic and racial inequities.

    In April 2021, he signed an executive order that hikes the minimum wage for federal workers to $15 an hour.

    The move will increase the current minimum wage of $10.95 by nearly 37% by March 2022.

    Pelosi vows to fight for $15 minimum wage and include hike in stimulus package after Senate rules policy should be removed

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    What is the minimum wage in America 2022?
    $7.25 Minimum wage laws by state for 2022 In those states, the federal minimum wage of $7.25 applies. Excluding Washington, D.C.'s $15.20 hourly minimum wage, California will have the highest in the country at $15 per hour come Jan. 1, 2022. more
    What is TN minimum wage 2022?
    This bill establishes an hourly minimum wage in Tennessee, which will be the greater of the federal minimum wage or, on and after January 1, 2022, not less than $12.00 per hour. more
    What is the lowest minimum wage in America 2022?
    Here's the new minimum wage in every state as of 2022, according to the Department of Labor.
    • Alabama: $7.25.
    • Alaska: $10.34.
    • Arizona: $12.80.
    • Arkansas: $11.
    • California: $14 for small companies; $15 for companies of 26+ workers.
    • Colorado: $12.56.
    • Connecticut: $13.
    • Delaware: $10.50.
    What is Georgia's minimum wage 2022?
    $7.25 $7.25 - July 24, 2009 more
    Is national minimum wage going up 2022?
    From 1 April 2022, there will be a National Minimum and National Living Wage increase. more
    Is Target raising minimum wage in 2022?
    Target Corp. plans to set a new starting wage range of $15 to $24 per hour as part of an up to $300 million employee pay and benefits package in 2022. more
    What is Japan's minimum wage 2022?
    961 yen TOKYO, Aug. 1 (Xinhua) -- A panel of the Japanese government on Monday agreed to the plan to increase the average minimum wage by a record hike of 31 yen (0.23 U.S. dollar) to 961 yen (7.28 dollars) an hour for fiscal 2022. more
    What is the lowest minimum wage in America 2022?
    Here's the new minimum wage in every state as of 2022, according to the Department of Labor.
    • Alabama: $7.25.
    • Alaska: $10.34.
    • Arizona: $12.80.
    • Arkansas: $11.
    • California: $14 for small companies; $15 for companies of 26+ workers.
    • Colorado: $12.56.
    • Connecticut: $13.
    • Delaware: $10.50.
    What is america's minimum wage?
    $7.25 per hour The federal minimum wage for covered nonexempt employees is $7.25 per hour. Many states also have minimum wage laws. In cases where an employee is subject to both the state and federal minimum wage laws, the employee is entitled to the higher of the two minimum wages. more
    What is Hawaii's minimum wage 2022?
    Under the Act the minimum wage, which was last increased to $10.10 in 2018, will increase to $12.00 per hour on October 1, 2022; to $14.00 per hour on January 1, 2024; to $16.00 per hour on January 1, 2026; and finally to $18.00 per hour on January 1, 2028. more
    What is the Texas minimum wage 2022?
    $7.25 per hour Texas Minimum Wage for 2021, 2022. Texas' state minimum wage rate is $7.25 per hour. This is the same as the current Federal Minimum Wage rate. The minimum wage applies to most employees in Texas, with limited exceptions including tipped employees, some student workers, and other exempt occupations. more


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