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2020 Minimum Wage in Utah: $7.25 Per Hour
Utah follows the federal minimum wage rate, which is set at $7.25. The state does specify certain Utah-specific wage laws, but, for the most part, federal regulations apply, and further information can be acquired by contacting the Utah Labor Commission directly. The state and federal regulations are very similar in most circumstances.
Subminimum Wage: $4.25 per hour
Utah allows for a special subminimum wage of $4.25 per hour for workers under the age of 18, but only for the first 90 days of their employment. Otherwise federal subminimum wage laws apply.
Tipped: $2.13 per hour
Utah follows the federal standards for tipped employees which allow employers to apply up to a $5.12 tip credit to an employee’s wages, resulting in a minimum cash wage of $2.13 per hour. However, a tipped employee must still make at least $7.25 per hour with tips and cash wages combined. Employers are held to strict reporting standards for tip credits.
The weekly minimum wage of $290 is calculated by multiplying the hourly minimum wage of $7.25 by 40, because there are 40 hours in a standard workweek. This amount is calculated pre-tax and before other deductions, so it does not represent the actual take-home pay a minimum wage employee will receive.
The $15,080 annual rate of pay for a minimum wage employee is based on the weekly total pay times 52 weeks in a year. This number is calculated before tax, and before deductions, and doesn’t necessarily represent the amount an employee will actually receive. Take-home pay will vary based on the amount of company deductions, and the tax withholdings of each individual.
Overtime: $10.88 Per Hour
Since the minimum wage in Utah is tethered to the federal minimum wage, it is also tethered to federal overtime wage rulings. Federal regulations require that for every hour above 40 an employee works in a single week, they be compensated with their wage plus one half of the wage per hour. For minimum wage workers, that amounts to $10.88 per hour.
Overtime pay is not required on holidays unless working on a holiday puts the employee over 40 hours in a week. Contact the state labor commission to find out about potential exemptions to both overtime and minimum wage rules.
Utah Minimum Wage Increase News
Multiple attempts have been made to raise Utah’s minimum wage to $12 per hour, however over the last few years they have failed to create any upward movement in the minimum wage. There isn’t any legislation currently up for debate concerning Utah’s wage laws, so it may be some time before workers in that state see any increases to their pay.
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