Is the Minimum Wage Going Up in Texas?


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What is the minimum wage in Texas 2021? The regular minimum wage in Texas is $7.25 per hour. This implies that the weekly minimum wage for 8 hours per day is $290 and the yearly minimum wage rate in Texas is $15,080.00. However, there is a possibility that the minimum wage in Texas will increase soon. Texans earning minimum wage are hoping for a living wage soon. The US House passed the RAISE THE WAGE ACT to incrementally increase the minimum wage by 2025. The Senate has yet to act. Texans need to make the call today to TEXAS US CONGRESSIONAL REPRESENTATIVES and DEMAND ANSWERS. They respond to your voicemail. Texans cannot continue to thrive especially during a pandemic when prices of gas, home goods, groceries and rent are unsustainable.


What Is The Minimum Wage in Texas 2021?

Texas minimum wage per hour is not different from the federal wage rate. The state doesn’t have a minimum wage policy of its own. This is why the minimum wage rate in Texas in 2021 is $7.25. Texas increased its minimum wage rate many years ago. The last minimum wage raise increased in 2008 from $6.55 per hour to $7.25 per hour. The last minimum wage increase was a result of inflation. The Consumer Price Index influenced the state minimum wage rate with inflation. 

To spread awareness about labor laws, employers in Texas are required to display posters of labor laws. The laws include the current minimum wage per hour in the state. Employers that do not comply with this law are penalized with fines. This will ensure that all employers are complying with fair labor standards.

Will There be a Minimum Wage Increase in Texas? 

Lately, a bill was filed to gradually increase the minimum wage rate in Texas to $15. Under this bill, it was proposed that the minimum wage rate in Texas should be increased to $10 in 2022, $12.50 in 2023, $14 in 2024, and $15 in 2025. If this bill is passed, the state minimum wage in Texas could go up soon. The bill also states that employers shouldn’t pay their workers less than the proposed wage rates or the federal wage rate.

Texas Overtime Minimum

All employees in Texas working over 40 hours in a week are entitled to at least 1.5 of the approved minimum wage. Since the regular minimum wage per hour in Texas is $7.25, this means that the overtime minimum wage in Texas is $10.88. The overtime rate can be increased if there is a minimum wage raise.

In some states, workers are required to work for a certain number of hours in a day before getting the overtime minimum wage. Unlike other states, Texas labor law doesn’t indicate the number of hours needed to be eligible for overtime minimum wage. All employees are entitled to overtime minimum wage payments under the Fair Labor Standards Act. Under this act, employees can file a claim against their employers that refuse to pay their full overtime wages. 

Texas Minimum Wage Exemptions

According to the Federal Fair Labor Standards, some employees are not eligible for the general minimum wage rate.

The special categories under Texas labor laws include the following: 

  1. Under 20 Minimum Wage: This law states that all workers under the age of twenty years in Texas can be paid a training wage of $4.25 per hour. This wage can only be paid for the first ninety days of employment.
  2. Student Minimum Wage Law: Both high school students and college students in Texas who are not full-time workers can be paid a wage of $6.16 per hour. These students can be paid for up to twenty hours a week. 
  3. Tipped Minimum Wage Rule: Under this law, employees who earn a particular amount of monthly tips in Texas can be paid a lesser minimum wage per hour than the federal wage rate, provided that they are earning a minimum of $7.25 per hour with the total tips. 

Finally, the state minimum wage in Texas has been the same since 2008 but a new bill HB 1827 proposed recently to raise the minimum wage rate per hour in Texas to $15. If this new bill passes the legislative session, there can be a minimum wage increase in Texas. The current legal minimum wage per hour for nonexempt workers in Texas is $7.25. However, a special minimum wage rate is paid to certain exempt workers like some tipped workers, employees younger than the age of twenty, and part-time student workers. Again, call your Texas US Congressional Representatives and demand answers.

  • TN SC MS LA AL – have no state minimum. The federal wage applies
  • GA & WY have state minimums of $5.15 so the federal wage applies
  • The following states use state minimums of WI UT TX PA OK ND NC NH KY KS IA IN ID which is in line with federal of $7.25