Glossary

National Minimum Wage

A national minimum wage is the lowest hourly wage that federal or national law generally allows covered employers to pay covered workers. In the United States, federal minimum wage rules operate alongside state and local wage laws.

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A national minimum wage is the lowest hourly wage that federal or national law generally allows covered employers to pay covered workers. In the United States, federal minimum wage rules operate alongside state and local wage laws.

Employers need to know which wage rule applies where an employee works. State or local minimum wages may be higher than the federal rate, and special rules can apply to tipped employees, younger workers, or certain occupations. When multiple standards apply, employers generally need to follow the rule that provides the greater protection to the employee.