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Pennsylvania Guide · Updated 2026

Pennsylvania Minimum Wage & Tip Credit

Pennsylvania's minimum wage tracks the federal floor and hasn't changed in years — but the tip-credit rules and the local-preemption point still trip employers up.

The rate: $7.25/hour

Pennsylvania's minimum wage is $7.25/hour— the same as the federal floor, and unchanged since 2009. Many bills to raise it have failed, so confirm whether a change has passed before assuming a higher number (PA Minimum Wage Act, 43 P.S. § 333.104).

A tip credit IS allowed

Unlike California and Nevada, Pennsylvania permits a tip credit. The tipped cash wage is $2.83/hour, and a worker only counts as "tipped" once they make $135+/month in tips (2022 PA regulations). The employer must make up the difference so cash wages plus tips reach $7.25, and the 80/20 and tip-pooling rules apply (34 Pa. Code § 231.101 et seq.).

No local minimum wages

Pennsylvania preempts local minimum wages, so a city or county cannot set its own higher rate. (This is different from local paid sick leave, which Philadelphia and Pittsburgh domandate — see our Philadelphia & Pittsburgh sick-leave guide.)

Overtime & the exempt threshold

Overtime is 1.5× after 40 hours/week (no daily overtime). The white-collar exemption follows the federal FLSA salary level — $684/week ($35,568/yr)— after PA's higher thresholds were repealed by Act 70 of 2021.

Stay current

Post the required PA Minimum Wage notice and confirm the current rate with the PA Department of Labor & Industry (dli.pa.gov) before stating a figure as current.

This guide is general HR information, not legal advice, and doesn't replace legal counsel. Specifics should be tailored to your business and, for high-stakes or fact-specific matters, reviewed by a qualified Pennsylvania employment attorney.

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