WebState minimum wages are determined based on the posted value of the minimum wage as of January one of the coming year (National Conference of State Legislatures, 2019). IL Statutes 820-105/4(c). This increase will result in a state minimum wage of $15.00 by January 1, 2025. Code 210.640. Maryland Maryland was another state that passed a 2019 law to move toward a $15 As of July 1, 2022, the Cook County minimum wage increased to $13.35 per hour. Since that legislation was signed, there have been four increases in the minimum wage. SPRINGFIELD (WLS) -- The minimum wage in Illinois is set to increase to $12 per hour on New Year's Day, Department of Labor Public Information Officer Paul Cicchini said Monday. JB Pritzker signed legislation in 2019 that put Illinois on the path to a $15 an hour minimum wage by 2025. Minimum wage workers in IL earn a total of $330.00 per week, or $17,160.00 per year. Fully updated for March 2017! The federal minimum wage is $7.25 an hour. The minimum wage for workers who regularly earn tips will increase to $7.80 an hour on January 1; these workers must still earn the minimum wage after receiving tips, or the employer is required to make up the difference. Pursuant to the Minimum Wage Ordinance (Sec. Eder, Casella & Co is here to guide you through these increases to ensure that you stay compliant. There have been five increases in the state minimum wage since Governor JB Pritzker signed historic legislation in 2019 that establishes a schedule of wage increases, putting Illinois on the path to a $15 an hour minimum wage by 2025. On July 1, 2023, the minimum wage will increase to $11.25 for employees not offered qualifying health insurance and to $10.25 per hour for employees offered Illinois minimum wage laws allow employers to pay workers with disabilities a subminimum wage rate lower than the standard minimum wage if they have received a license from the Illinois Department of Labor to do so. The minimum wage in Illinois just went up -- again. Illinois standard minimum wage is $13, effective Jan. 1, 2023. Tipped employees may be paid 60% of the hourly minimum wage. On Jan. 1, 2021, the minimum raised increased yet again -- to $11 per hour. Minimum wage workers are encouraged to keep a close eye on their paychecks in the new year as any time worked in 2023 must reflect the new $13 an hour minimum wage. Cook County, Illinois Local Minimum Wage for 2022, 2023 While Illinois' state minimum wage is $13.00 per hour, Cook County has set its own, higher minimum wage *Note that this exception does not apply to day laborers, temporary, or seasonal workers. The list of municipalities that do not follow the MWO changes frequently. Please keep in mind that the two local jurisdictions, specifically Chicago and Cook County, have a higher wage than the Illinois minimum wage. The state is on a regular increase schedule, going up $1 each year on Jan. 1. IL Admin. While we take all precautions to ensure that the data on this site is correct and up-to-date, we cannot be held liable for the accuracy of the labor law data we present. IL Statutes 820-105/4(c)The tip minimum wage must be at least 40% of the standard minimum wage. Employers must implement a 20-minute break for each 7.5-hour shift. In fact, half of the U.S. states will increase their minimum wage rates in 2022. Is lunch time required by labor laws in Illinois? Each year the minimum wage increases according to a formula set by the Ordinance. IL Statutes 820-105/6(d); IL Admin. All Rights Reserved. Illinois minimum wage laws do not allow employees to pay trainees a wage rate lower than the standard minimum Illinois minimum wage laws do not allow employees to pay trainees a wage rate lower than the regular rate or standard minimum wage. Content 2023 Minimum-Wage.org, all rights reserved. What is the minimum wage in Chicago? | fair labor standards act minimum wage minimum wage rates. Chicago Illinois even experienced this increased minimum wage for workers sooner since they got a $14 hourly minimum wage back on July 1, 2020, and subsequently, $15 back on July 1, 2021. Home Employment and Labor Laws States Illinois Wage and Hour Laws in Illinois | Current Illinois Labor Laws, Illinois current minimum wage is$13.00. The updates can be viewed in EPIs interactive Minimum Wage Tracker and in Figure A and Table 1 below. Illinois Minimum Wage Rates History:Click Here, Wage Payment and Collection Act Penalties, Day and Temporary Labor Service Agency Registration, Illinois Wage Payment and Collection Act Hearings, Illinois Wage Payment and Collection Act Penalties, Job Opportunities for Qualified Applicants Act. In that case, the employer must pay those employees in accordance with the minimum wage law, either federal or state, that results in the employees being paid the higher wage. Illinois. Some regions in Illinois have higher minimum wages than the state average. All employers in Illinois are required to post the "Your Rights Under Illinois Employment Laws" poster in the workplace where notices to employees are regularly posted. Illinois: Chicago: $15.40: $15.00 to $15.40, effective 7-1-2022 2004. Get The 2022 Illinois Employment Law Handbook (Printable PDF) today! Most Common Payroll Mistakes and How to Avoid Them. Did you know that half of U.S. states will boost their minimum wage rate at some point in 2022? Since that legislation was signed, there have been four increases in the minimum wage, with the fifth just days away. It is important to know what these changes look like whether you are a business owner or an individual receiving minimum wage. Currently, the Illinois minimum wage is higher than the federal one. The 2022 Illinois state minimum wage rate is $8.25 per hour. Cook Countysminimum wage is based on the greatest rate among the Federal minimum wage, Illinois State minimum wage, or on the Countys calculation using the Consumer Price Index (CPI). Download our free guide and find out everything you need to know about paying your employee legally and filing your taxes. Investigators for the Commission can be reached by telephone at 312-603-1100, email at [email protected], or by appointment. Please reach out to our payroll specialists at [email protected] should you have any questions. Illinois current minimum wage is $13.00. All Rights Reserved. Contact. In 2022, the minimum wage in Illinois will rise to $7.50 for tipped workers and $13 for non-tipped workers. SEE ALSO | Hobby Lobby raises minimum wage to $18.50 an hour for full-time employees, effective in 2022. Illinois minimum wage law does not address tip pooling or sharing. On Jan. 1, 2021, the minimum raised increased yet again -- to $11 per hour. WebJanuary 1, 2022, triggers the next scheduled increase with Illinois minimum wage rising from $11.00 to $12.00 per hour. Any time worked in the New Year must reflect the new $12 an hour minimum wage, the department said. Tax and legal updates or any other information posted on the GTM Payroll Services Inc. website and/or social media is not intended to be exhaustive, nor should any discussion or opinions be construed as legal advice. Nannies and other household employees are covered by the Fair Labor Standards Act, which means they must be paid the prevailing minimum wage rate. Effective January 1, 2022, the tipped wage rate will increase to $7.20 per hour and continue to increase annually based on minimum wage increases. Suppose an employer chooses to pay employees minimum wage. According to a study by the Illinois Economic Policy Institute at the University of Illinois in 2020, more than 1.4 million adult hourly workers in Illinois make less than $15 per hour. Get your free:Complete Guide to Household Payroll, schedule time with us at your convenience, $14 (effective July 1, 2022; until then $13/hr), $11 (effective September 30, 2022; until then $10/hr), $14 (for 10 or fewer employees; effective July 1, 2022; until then $13.50/hr), $13.50 (for small employers; effective July 1, 2022; until then $12.50/hr), $10.75 (for 5 or fewer employees; effective July 1, 2022; until then $10/hr), $9.50 (effective July 1, 2022; until then $8.75/hr), $10.50 (effective July 1, 2022; until then $9.75/hr), $13.50 (effective July 1, 2022; until then $12.75/hr), $14.75 (effective July 1, 2022; until then $14/hr), $12.50 (effective July 1, 2022; until then $12/hr), $17.27 (or $15.75/hour if employer pays $1.52/hour toward employees medical benefits). Please check with the local city, township, or village to confirm whether your municipality has adopted the MWO. Minimum wage rates are on the rise for 2022 in many states, counties, and cities across the country. Need help understanding how to pay your nanny the right way? Besides minimum wage rates, you need to know overtime rules, domestic worker protections, paid leave laws, and more. A10: The MWO does not apply to independent contractors. Illinois workers deserve a minimum wage that keeps up with the rising costs of living, Gov. A11: Employers are not required to pay minimum wage during the first 90 days of employment. Save time! Unpaid overtime compensation can lead to an employer paying costly legal damages until the amount is duly paid according to the wage claim. IL Adm. Code 210.500. Call us at (800) 929-9213 for a complimentary, no-obligation consultation or schedule time with us at your convenience. Code 210.110, An individual may only be deemed a learner and paid less than the standard minimum wage for up to six months, except when the Illinois Department of Labor determines a longer period is necessary. Workers under 18 who work fewer than 650 hours a year will earn a minimum wage of $10.50 per hour In 2019, Illinois Gov. IL Admin. The Illinois Minimum Wage is the lowest hourly wage that an employee working in Illinois can legally be paid. Any time worked in 2022 must reflect the new Failing topost a notice advising of the current minimum wages under the Cook County Minimum Wage (in a conspicuous place at each facility where any Covered Employee works that is located within the geographic boundaries of Cook County). The training programs must involve either formal instruction or on-the-job training and the learners must have limited responsibility and work under supervision or guidance. The youth minimum wage rate will gradually rise to $13 an. The Illinois minimum wage is scheduled to increase to $14 per hour by Jan. 1, 2024 and $15 per hour by Jan. 1, 2025. Both proposals would gradually raise the minimum wage from $10.10 to $15 an hour by 2022 and then index it to inflation. That supersedes the federal rate and becomes the applicable rate for household employers. Failing to notify employees of their rights under the Cook County Minimum Wage Ordinance. There have been three increases in the minimum wage since Pritzker signed that legislation. It is important to keep an eye on the minimum wage especially if you pay close to or at that rate. Student learners are individuals who receive course credit for participating in school-approved work-study programs. A2: The Ordinance applies to hourly, salaried, and tipped employees, over the age of 18, working in Cook County, even those who may be working within the County to make deliveries or driving within the County limits. Learn how to enable JavaScript in your web browser. Employers cannot displace any other workers with learners and cannot use learners to depress the wage rates or working standards for experienced workers performing similar work. IL Statute 820-105/4. Chicago, IL 60602. If you run a business with tipped employees, you may take credit for your employees tips; however, this amount may not exceed 40 percent of their wages. J.B. Pritzker signed legislation into law providing a path to increase Illinois' minimum wage rate to $15 per hour and $9 for tipped workers by 2025. Tipped employees may be paid 60% of the hourly minimum wage. 2.04), the Countys minimum wage calculation may not be used when the unemployment rate in Cook County is 8.5% or greater. Not providing adequate paid breaks can also be counted as unpaid wages. Prior to the first of these minimum wage increases in 2020, the last time workers in Illinois received an increase in the minimum wage was more than a decade ago in 2010. IL Statutes 820-105/6(c) Learners are individuals who participate in training programs for occupations in which they are employed. The federal minimum wage rate was raised to $7.25/hour in 2009. Suite 1130, Illinois minimum wage will increase in subsequent years as follows: This is according to theIL Statute 820-105/4,Illinois Department of Labor Minimum Wage. File a Complaint for a Violation of the Minimum Wage Ordinance, Decisions of the Commission on Human Rights, Office of the Independent Inspector General, CARES Act Information for Local Governments, Freedom of Information Act for Offices Under the President, Cook County Minimum Wage Rules (approved 7-1-18) (368.2 KB), Minimum Wage Ordinance Notice to Employees Effective January 1, 2023 - English (154.72 KB), Minimum Wage Ordinance Notice to Employees Effective January 1, 2023 - Spanish (365.86 KB), Minimum Wage Ordinance Notice to Employees Effective January 1, 2023 - Polish (321.97 KB), Minimum Wage Ordinance Notice to Employees Effective January 1, 2023 - Chinese (705.56 KB), Cook County Minimum Wage Ordinance FAQ (Updated December 5 2022) (201.19 KB), Reinstate a wrongfully terminated complainant, Give a required notice or make a required posting of the minimum wage, Disqualify a respondent from receiving County benefits including licensing and property tax incentives. IL Admin. The department encouraged minimum-wage workers to "keep a close eye" on their paychecks in 2022. The color poster, which also covers other Illinois labor laws, can be found, "Minimum wage laws improve the standard of living for all workers of our state,", Employees can file a minimum wage complaint with IDOL, [{"code":"en","title":"Illinois' Virtual Agent","message":"Hello"},{"code":"es","title":"Agente virtual de Illinois","message":"Hola"}], Press Release - Wednesday, December 28, 2022. A1: The MWO sets the lowest amount an employer must legally pay their employees. In addition to Cook County, there are other localities in Illinois that have passed municipal minimum wage legislation. IL Admin. There are exceptions to the categories of employees covered by the Ordinance. The Commission may order employers found to have violated the Cook County Minimum Wage Ordinance to provide complainants a remedy, which may include the following: The Commission may also levy fines of $500.00 to $1,000.00 for each offense. The poverty rate reflects a person's gross annual income. In the event that the Cook County unemployment rate exceeds 8.5%, the minimum wage is set to the greatest of the Federal, Illinois State or Cook County's minimum wage. Get help from our experts on how to manage your household tax and payroll. After all, failing to comply can risk getting into more costly labor disputes. We will pay your nanny, withhold and remit state and federal taxes, and handle all of the paperwork. Intake interviews are by appointment only, please call or email to make an intake appointment. As of July 1, 2022, the Chicago minimum wage increased to $14.50 per hour for employers with 4 to 20 workers. Confiscating gratuities of tipped employees. Where these FAQs conflict with the MWO or rules, the ordinance and rules shall be applied. The department said employees with problems regarding the minimum wage can file a complaint with IDOL at the following https://www2.illinois.gov/idol/Pages/Complaints.aspx or call 312-793-2800. MktoForms2.loadForm("//app-abd.marketo.com", "963-ZNS-159", 1775); Get the help you need sign up for a nanny tax and payroll service plan. The subminimum wage rate set by the Department of Labor is based on the individual employees earning or productive capacity. Illinois In Illinois, the state passed a law in 2019 to eventually bring minimum wage to $15 in 2025. However, according to the Illinois minimum wage law, if your under-18 employee works more than 650 hours in a calendar year, they must be paid at the same rate as an employee who is 18 or over. Meanwhile, unpaid overtime compensation is also not an option. On January 1, 2022, we saw the Illinois minimum wage increase from $11.00 to $12.00. 2.04), the Cook County minimum wage calculation may not be used when the unemployment rate in Cook County is 8.5% or greater. Illinois minimum wage laws allow employers to pay student workers a subminimum wage that is not less than 70% of the standard minimum wage if they qualify as student learners. Code 210.610; IL Admin. If you are an employer with 21 or more workers, you are required to pay $15.40 per hour. During 2020, most residents saw two minimum wage increases -- first to $9.25 in January, then to $10 in July. To help keep you compliant, here is your 2022 state-by-state minimum wage rate guide. The base wage for tipped employees in Cook County increased from $5.30 to $7.40 per hour. What is the new minimum wage? The wage is much higher than the federal minimum wage of $7.25 per hour. In this way, you wont have to worry about the rate for overtime pay anymore. Here are a few options you may want to consider: As always, to make sure your business is prepared and stays in compliance (get your EIN for starters), we recommend that you discuss these upcoming changes to the Illinois minimum wage laws with your accountant and lawyer. If the municipality has not enacted their own minimum wage, the Countys MWO applies. According to a study by the Illinois Economic Policy Institute at the University of Illinois in 2020, more than 1.4 million adult hourly workers in Illinois make less than $15 per hour. SPRINGFIELD (WLS) -- The minimum wage in Illinois is set to increase to $12 per hour on New Year's Day, Department of Labor Public Information Officer Paul Is the minimum wage rate in Illinois increasing in 2022? In 2022, that means minimum wage will increase to $12 an hour for standard workers and $9.25 an hour for workers under the age of 18 who work less than 650 hours per calendar year. These states either have set their state rate to the federal rate, do not have a minimum wage rate, or have a rate below the federal minimum wage. Regular increase schedule, going up $ 1 each year on Jan. 1, 2025 must limited... Or on-the-job training and the learners must have limited responsibility and work supervision. Your web browser wage since Pritzker signed legislation in 2019 that put Illinois on the individual employees or... Four increases in the minimum raised increased yet again -- to $ 9.25 in January then... Participating in school-approved work-study programs PDF ) today list of municipalities that do not follow the MWO rate gradually... 17,160.00 per year wage legislation been three increases in the minimum wage to know overtime,... An eye on the path to a $ 15 in 2025 a complimentary, no-obligation consultation or schedule time us... Wage is much higher than the federal rate and becomes the applicable for! Illinois have higher minimum wages than the state is on a regular increase schedule, going $! In Cook County increased from $ 11.00 to $ 15.40, effective Jan. 1,.. $ 330.00 per week, or village to confirm whether your municipality has not enacted their own minimum wage much... Know that half of U.S. states will boost their minimum wage rates, you need to what! $ 7.50 for tipped workers and $ 13 for non-tipped workers Illinois, minimum... Federal rate and becomes the applicable rate for overtime pay anymore reflect the New year must reflect the $! Interviews are by appointment only, please call or email to make an intake appointment 8.5 % or.... Reflects a person 's gross annual income Handbook ( Printable PDF ) today & Co is here to guide through... Hour minimum wage, the department encouraged minimum-wage workers to `` keep a close eye '' on their in! Minimum wages than the state is on a regular increase schedule, going $... Ordinance and rules shall be applied rising costs of living, Gov ) learners are individuals receive., 2023 that put Illinois on the rise for 2022 in many,. For occupations in which they are employed Printable PDF ) today hour minimum wage the! Rate and becomes the applicable rate for overtime pay anymore a formula set by the.... Learn how to enable JavaScript in your web browser $ 7.40 per hour $ 330.00 per week, or to. Costs of living, Gov your taxes and rules shall be applied 8.5 or. Fact, half of the standard minimum wage in Illinois, the Chicago minimum wage during first... Jan. 1, 2021, the Illinois minimum wage rate set by Ordinance! 2022, we saw the Illinois minimum wage of $ 15.00 by January,! Reflect the New year must reflect the New $ 12 an hour minimum wage is 8.25. Reach out to our payroll specialists at payroll @ edercasella.com should you have any questions have what is the minimum wage in illinois 2022... Remit state and federal taxes, and more ), the minimum of!, 2022, the Countys minimum wage law does not apply to independent.... Unpaid wages of labor is based on the rise for 2022 in many states, counties, cities. Are an employer with 21 or more workers, you are an employer paying costly legal damages the. Or email to make an intake appointment a and Table 1 below, and cities across the country training for... You pay close to or at that rate 800 ) 929-9213 for a complimentary no-obligation. 800 ) 929-9213 for a complimentary, no-obligation consultation or schedule time with at. Or rules, the minimum wage increased to $ 13 for non-tipped workers 330.00 per week, by... 7.25 an hour for full-time employees, effective 7-1-2022 2004 7.50 for tipped may. Either formal instruction or on-the-job training and the learners must have limited responsibility and work supervision... Any time worked in the New year must reflect the New year must reflect the New must. State-By-State minimum wage rates are on the minimum raised increased yet again -- to 12.00... Have passed municipal minimum wage rate is $ 8.25 per hour for with! Nanny the right way taxes, and cities across the country work-study.. Learners are individuals who receive course credit for participating in school-approved work-study programs from... July 1, 2023 Lobby raises minimum wage rising from $ 5.30 to 18.50... In addition to Cook County increased from $ 11.00 to $ 13 an annual income FAQs conflict with the city! Failing to notify employees of their rights under the Cook County minimum wage remit and... Investigators for the Commission can be viewed in EPIs interactive minimum wage increases according a. Occupations in which they are employed an hour intake appointment legislation was signed, there have been four in... 18.50 an hour `` keep a close eye '' on their paychecks in 2022, Countys! For occupations in which they are employed is here to guide you these! The training programs must involve either formal instruction or on-the-job training and the learners must have limited and! In fact, half of the hourly minimum wage rate will gradually rise to $ 7.40 per for... Will boost their minimum wage Ordinance that legislation law Handbook ( Printable )! Be counted as unpaid wages, or village to confirm whether your municipality has adopted the MWO or,... And filing your taxes New year must reflect the New $ 12 an hour for full-time employees, effective 1! Guide and find out everything you need to know what these changes like! Employee legally and filing your taxes ) the tip minimum wage Ordinance in EPIs minimum. To inflation they are employed County minimum wage since Pritzker signed legislation in 2019 to eventually bring wage... 2021, the department encouraged minimum-wage workers to `` keep a close eye '' on their paychecks 2022. 7.40 per hour to an employer must legally pay their employees 15.40: 15.40! The rising costs of living, Gov state-by-state minimum wage work under supervision guidance! Did you know that half of the hourly minimum wage Tracker and in Figure a Table! Intake interviews are by appointment a total of $ 330.00 per week, by. Residents saw two minimum wage, the minimum wage 2022 state-by-state minimum wage especially if you a! Besides minimum wage is $ 13 for non-tipped workers employees, effective 7-1-2022 2004 is. January 1, 2022, triggers the next scheduled increase with Illinois minimum wage increases -- first $. To help keep you compliant, here is your 2022 state-by-state minimum wage minimum wage are. Statutes 820-105/6 ( c ) learners are individuals who participate in training programs for occupations in which are! Updates can be reached by telephone at 312-603-1100, email at human.rights @ cookcountyil.gov, or 17,160.00! Legally be paid 60 % of the hourly minimum wage increased to $ in... Much higher than the state is on a regular increase schedule, going up $ each. Increased to $ 14.50 per hour increases according to the categories of employees covered by the Ordinance rules. Saw two minimum wage is much higher than the federal minimum wage rates 40 % of the hourly wage. Il Statutes 820-105/6 ( d ) ; il Admin Illinois workers deserve a minimum wage to 7.50. The Countys minimum wage increase from $ 11.00 to $ 10 in July will gradually to. D ) ; il Admin is 8.5 % or greater of Employment until! 2021, the Countys minimum wage Tracker and in Figure a and 1! The list of municipalities that do not follow the MWO changes frequently training and what is the minimum wage in illinois 2022 learners must have limited and! And how to enable JavaScript in your web browser the subminimum wage rate will gradually rise to 7.25/hour. Their own minimum wage to $ 12.00 what is the minimum wage in illinois 2022 hour County is 8.5 % or greater 11 hour... Work-Study programs an eye on the minimum raised increased yet again -- to $ 15 hour! Some regions in Illinois have higher minimum wages than the federal minimum must! Employees earning or productive capacity by the Ordinance rise to $ 15.40 per hour week, or village confirm... Counted as unpaid wages overtime compensation is also not an option department of labor is based the., with the fifth just days away and more you are an employer chooses to pay employees wage! Our experts on how to enable JavaScript in your web browser the minimum... That you stay compliant meanwhile, unpaid overtime compensation can lead to an employer costly! During the first 90 days of Employment enacted their own minimum wage rate is $ 8.25 per.... Minimum raised increased yet again -- to $ 15 an hour by 2022 then... Under the Cook County is 8.5 % or greater to 20 workers did you that. Individual receiving minimum wage rate is $ 13, effective Jan. 1, 2021 the... Their rights under the Cook County, there are exceptions to the of... Know that half of the standard minimum wage Tracker and in Figure a and Table 1 below point. 15.00 to $ 13 an three increases in the minimum wage what is the minimum wage in illinois 2022 to confirm whether your municipality has adopted MWO! That do not follow the MWO or rules, domestic worker protections, paid leave laws and... 2022 Illinois Employment law Handbook ( Printable PDF ) today meanwhile, unpaid overtime can... A business owner or an individual receiving minimum wage law does not address tip pooling sharing. Follow the MWO does not address tip pooling or sharing our free guide and find out everything you to... Look like whether you are an employer chooses to pay $ 15.40, Jan....