Effective January 1, 2021, Florida’s minimum wage rate will increase from $8.56 per hour to $8.65 per hour. Florida’s minimum wage law applies to all employees in the state of Florida who are covered by the federal minimum wage law. For “tipped employees” who meet eligibility requirements for the tip credit under the federal Fair Labor Standards Act (FLSA), employers may take a “tip credit” of up to $3.02 per hour for tips received by the employee. However, they must still pay employees a direct wage. The direct hourly wage for tipped employees in Florida for 2021 is $5.63 (the 2021 Florida minimum wage rate ($8.65) minus the federal tip credit ($3.02)). Both Florida’s minimum wage rate and the direct hourly wage rate for tipped employees are higher than the federal rates, so Florida employers must pay employees the higher Florida rates.
In addition, in November 2020, Florida voters passed Amendment 2 by a constitutional referendum. Effective September 30, 2021, Florida’s minimum wage will rise from $8.65 to $10 an hour and increase $1 every year until it reaches $15 per hour on September 30, 2026. Starting September 30, 2027, Florida’s minimum wage rate will be adjusted annually for inflation.
If employers have not already done so, they should make appropriate pay adjustments for their minimum wage earners. Employers who must pay their employees the Florida minimum wage must post a notice of the state minimum wage requirement (besides posting a notice as required by the FLSA) in a conspicuous and accessible location. The Florida notice is available online.