Florida's Minimum Wage in 2023 and Beyond

Minimum Wage After 2026

Starting in 2027, the state will go back to using inflation rates to adjust its minimum wage. The Department for Economic Opportunity will use the Consumer Price Index for Urban Wage Earners and Clerical Workers to figure out future minimum wage increases.

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What does that mean for you? 

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The minimum wage rates can still change in 2027 as long as inflation keeps going up.

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That said, Florida’s law requires that the state government post changes and effective dates on its website by Oct. 15 of each year. You can find those changes on the Florida Department of Economic Opportunity or Department of Revenue pages.

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You can also add yourself to the state’s Reemployment Assistance Database if you want to receive written notice of changes. The state has to mail them by Nov. 15 of each year.

How Much Does a Minimum-Wage Worker in Florida Earn Each Year?

Now that you know about the minimum wage in 2023, let’s see how much a full-time employee earning minimum wage makes in Florida.

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Someone working 40 hours per week at a rate of $11.00 per hour will earn:

Florida doesn’t have a state income tax, but you still need to withhold a portion of each employee’s wages for federal income tax and FICA taxes (Medicare and Social Security taxes).

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If you offer benefits, such as retirement plans or health insurance, you will also have to subtract those voluntary contributions from your employee’s gross wages each time you run payroll. 

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Keeping track of these mandatory and voluntary withholdings can become a hassle. Hourly payroll software automatically calculates payroll deductions and workers’ comp expenses to make your life easier.

Minimum Wage Calculator

You can use the minimum wage calculator to see how much a part-time employee or someone working overtime would make.

Who Else is Raising Their Minimum Wage?

Florida is one of the 25 states scheduled to increase their minimum wage in 2022. Here are the others:

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• States that increased minimum wage on Jan. 1, 2022: Arizona, California, Colorado, Delaware, D.C., Illinois, Maine, Massachusetts, Maryland, Michigan, Minnesota, Missouri, Montana, New Jersey, New York, Ohio, Rhode Island, South Dakota, Vermont, Virginia, and Washington
• States that increased minimum wage on July 1, 2022: Connecticut, Nevada, and Oregon (and Florida on Sept. 30, 2022)

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Now that we answered your burning question, let’s take a closer look at what'll happen in the coming years. 

Comparing Federal Minimum Wage with Florida’s 

So, how does Florida’s hourly minimum wage compare to the federal rate? It’s higher. 

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The federal minimum wage is set by the Fair Labor Standards Act (FLSA) at $7.25 per hour for covered non-exempt employees. This rate only applies in states that don’t have their own minimum wage (Alabama, Louisiana, Mississippi, South Carolina, and Tennessee).

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If you’re an employer in Florida, you can’t cherry-pick which rate to use. You always have to pay the higher minimum wage, which—in this case—is the state’s. 

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However, some types of employees are exempt from the minimum wage depending on factors like age or student status.

Minimum Wage Exemptions and Subminimum Wage Categories 

The minimum wage doesn’t apply to all employees. Florida has some exemptions and subminimum wage categories that let you pay people less than minimum wage. 

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Let’s take a closer look.

Employees Under 20

According to the FLSA, you can pay new employees under 20 an hourly wage of $4.25 for the first 90 days, which is treated as a training period. The 90 days start with their first day of work, and you have to pay them the regular rate after it ends. 

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You can check out the Department of Labor’s Youth Minimum Wage Fact Sheet for more information.

Student Workers

Florida also follows FLSA guidelines that allow certain employers, such as in college work-study programs, to pay student workers less than minimum wage. The lower rate applies to high school students working full time and college students working part time. 

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You can pay them 85% of the current minimum wage (at least $9.35 if the minimum wage is $11.00) for up to 20 hours per week. 

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The Federal Fair Labor Standards Act also has rules for compensation in Student-Learner programs. If you hire a high-school student over the age of 16 who is in a “shop course” (a vocational course or trade school), they can be paid at 75% of the minimum wage ($8.25 when the minimum hourly rate is $11.00) while still in the program.

Tipped Minimum Wage

If you have tipped employees (people who earn more than $30 per month in tips), such as servers or bartenders, you can pay a tipped minimum wage. In Florida, you can take a $3.02 tip credit. This means that the tipped minimum wage is the regular rate minus $3.02. 

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Here’s how that breaks down each year:

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Still, an employee’s total pay must be at least what they would earn if they made minimum wage. 

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For example, let’s say you have a waiter named Josh you pay bi-weekly. In two weeks, he works 60 hours. 

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If the minimum wage is $11.00, his total pay (what you pay + his tips) has to be at least $660.00 (which is what he would have earned if you paid the full minimum wage). 

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So, if you pay him $7.98 per hour, that’s a total of $487.80. Josh has to earn at least $181.20 in tips during those two weeks. If he doesn’t, you have to make up the difference so he makes at least minimum wage.

Disabled Workers

Florida follows the FLSA guidelines for employees with disabilities. The federal law says you can pay an employee with disabilities a subminimum wage (a rate lower than the minimum) if you have a subminimum wage certificate for workers with disabilities. The government does this to ensure disabled people can get opportunities to find work. 

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If you want to apply for a certificate, you can call the U.S. Department of Labor Wage and Hour at (312) 353-3809 or mail them at: 

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U.S. Department of Labor Wage and Hour 

230 South Dearborn Street

Room 562A

Chicago, IL 60604

Florida Laws About Unpaid Minimum Wage

As a Florida employer, you are required to display the Federal and Florida Employment posters in a visible area of your workplace. 

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And if you pay your employees less than minimum wage—say you forgot to update your payroll information after a Sep. 30 deadline—your employees have the right to claim unpaid minimum wage (including unpaid overtime) through a civil action in court. 

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An employee that wants to claim wages has to notify you in writing before filing a suit. The notification needs to include the work dates, hours, and total amount of unpaid wages.

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As the employer, you have a 15-day safe harbor period once you receive a notice to pay the wages before a claim gets made in court. After 15 days, the employee can go to court.

Make Compliance Easy with Payroll Software

As an employer, you want to do right by the people who work for you. But, when compensation laws change, it can be hard to keep up. Now that you know about Florida’s minimum wage increases, make sure to mark your payroll calendars so you get it right the first time.

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Or, to make it even easier, choose payroll software like Hourly that has automatic features in place to help you stay compliant.