Arizona Minimum Wage for 2016, 2017
Contents :: Arizona Minimum Wage
Arizona's state minimum wage rate is $10.00 per hour. This is greater than the Federal Minimum Wage of $7.25. You are entitled to be paid the higher state minimum wage. The minimum wage applies to most employees in Arizona, with limited exceptions including tipped employees, some student workers, and other exempt occupations.†
The Arizona minimum wage was last changed in 2008, when it was raised $3.10 from $6.90 to $10.00. Arizona's minimum wage rate is linked to a Consumer Price Index, which is intended to raise the rate along with inflation. The current minimum wage rate is re-evaluated yearly based on these values.
Arizona's minimum wage did not change in 2016. Arizona's minimum wage rate is increased annually on January 1 based upon based on the previous year’s cost of living increase as defined by Arizona Proposition 202. The most recent resolution, signed on October 15, 2015 is based on A.R.S. section 23-363(B) and was initially put into effect on Jan 1, 2008. Arizona's minimum wage was last raised by 15 cents in January 2015. In previous years, Arizona raised its minimum wage by 10 cents on January 1 2014, 15 cents on January 1 2013, 30 cents in January 2012, and 10 cents in 2011.
The Arizona Minimum Wage has several exemptions allowing certain employees to be paid under the Arizona minimum wage
- Casual domestic employees (like babysitters) and people employed by their parents or siblings are exempt from the minimum wage
- Anyone employed by the Arizona or Federal government is exempt from the minimum wage. Notably, this exempts students who work for their universities (which are classified as government institutions)
- Businesses grossing under $500,000 a year may pay employees under the minimum wage, provided the business is not covered by the FLSA (Fair Labor Standards Act). Since most small businesses are covered by FLSA, this is a very limited exemption.
For information about tipped employee wages, click here.
Arizona employers may not pay you under $10.00 per hour unless you or your occupation are specifically exempt from the minimum wage under state or federal law.
If you have questions about the Arizona minimum wage, please ask us and someone will respond to you as soon as possible. Looking for a new job? Use the free Arizona job search utility to find local job openings hiring now.
All Arizona employers must display an approved Arizona minimum wage poster in a prominent place to inform employees about the minimum wage and their worker's rights under Arizona labor law.
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Arizona Minimum Wage & Labor Law Posters
The Fair Labor Standards Act (FLSA) and Arizona labor law requires all employers in Arizona to visibly display an approved Arizona minimum wage poster, and other Arizona and federal labor law posters, to ensure that all employees are aware of federal and Arizona labor law and overtime regulations. Failure to display a Arizona labor law poster in the workplace can result in severe fines.
The Arizona minimum wage poster, and additional required Arizona labor law posters, are also available on the Arizona labor law posters download page.
Arizona Overtime Minimum Wage
All workers who put in over 40 weekly hours are entitled to a minimum wage of at least 1.5 times the regular applicable minimum wage (learn more about Arizona overtime pay). Some states require workers who work over a certain number of daily hours to be eligible for this overtime rate as well (Arizona law does not specify a daily overtime limit).
The FLSA guarantees all AZ employees adequate overtime compensation for all qualifying overtime hours worked. If your employer does not pay adequate overtime wages, you can file an unpaid overtime claim with the Arizona Department of Labor.
Arizona Minimum Wage Exemptions
In addition to any Arizona-specific minimum wage exemptions described above, the Federal Fair Labor Standards act defines special minimum wage rates applicable to certain types of workers. You may be paid under the Arizona minimum wage if you fit into one of the following categories:
- Arizona Under 20 Minimum Wage - $4.25 - Federal law allows any employer in Arizona to pay a new employee who is under 20 years of age a training wage of $4.25 per hour for the first 90 days of employment.
- Arizona Tipped Minimum Wage - See Here - Employees who earn a certain amount of tips every month may be paid a lower cash minimum wage, but must earn at least $10.00 including tips every hour. For more details, read about the Arizona tipped minimum wage.
Local Minimum Wage Rates in Arizona
While Arizona's state minimum wage is $10.00 per hour, there are localities that have set their own, higher minimum wages that apply to some or all employees within their jurisdictions. The following is a table of all Arizona localities with established minimum wage laws.
|Locality||Applies To||Minimum Wage||Comparison to State|
Frequently Asked Questions - Arizona Minimum Wage & Labor Law
- What is the Arizona minimum wage?
The current Arizona minimum wage of $10.00 per hour is the lowest amount a non-exempt employee in Arizona can legally be paid for hourly work. Special minimum wage rates, such as the "Arizona waitress minimum wage" for tipped employees, may apply to certain workers.
- How much will I earn working a minimum wage jobin Arizona?
A full time minimum wage worker in Arizona working 40 hours a week, 52 weeks a year, will earn $80.00 per day, $400.00 per week, and $20,800.00 per year1. The national poverty line for a family unit consisting of two people is $16,020.00 per year.
- What is the Arizona under 18 minimum wage?
Arizona employers may pay 18 year olds and minors the youth minimum wage of $4.25 for the first 90 days of employment. Other labor law exemptions for minors in Arizona may exist.
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1 These earnings estimates do not account for the Arizona income tax , federal income tax, or local/municipal income taxes.
2 Poverty line for a family of two in the lower 48 published 2016 by the U.S. Department of Health & Human Services