Overview of Mississippi's Minimum Wage Requirements
As of the most recent data available in January 2024, Mississippi does not have a state minimum wage law. Therefore, employers in Mississippi who are subject to the Fair Labor Standards Act are required to pay the current Federal minimum wage of $7.25 per hour. This means that, unless exempted by specific conditions, most employees in Mississippi should be receiving at least the Federal minimum wage.
The minimum wage in Mississippi has not been increased since 2009, which means that it has lost purchasing power over time. In 2009, the minimum wage could buy about 10% more goods and services than it can today. This stagnant minimum wage has led to a number of negative consequences, including difficulty for low-wage workers to make ends meet, and contributing to poverty and inequality.
Understanding Local Minimum Wage Variations
In Mississippi, the minimum wage requirements in different counties and cities are the same as the federal minimum wage, which is $7.25 per hour. This rate applies to most employees in the state, with certain exceptions including tipped employees, some student workers, and other exempt occupations. The weekly minimum wage for a 40-hour work week is $290.00, and the yearly minimum wage is $15,080.00.
For overtime work, the minimum wage is 1.5 times the regular applicable minimum wage, which is $10.88 per hour for any worker who puts in over 40 weekly hours. All employers in Mississippi are required to visibly display an approved Mississippi minimum wage poster to inform employees about the minimum wage and their worker's rights under Mississippi labor law.
Minimum Wage Eligibility and Exemptions
In the state of Mississippi, the majority of employees are eligible for the minimum wage, which is currently set at $7.25 per hour as of 2024. This rate is in line with the Federal Minimum Wage. However, there are certain exceptions to this rule. Tipped employees, for instance, can be paid a lower cash wage by their employers. This is due to the fact that up to $5.12 in tips earned per hour can be deducted from their wage as a "Tip Credit".
In addition to tipped employees, some student workers and other exempt occupations may not be eligible for the minimum wage. Mississippi follows the Fair Labor Standards Act (FLSA), a federal statute. Employers in Mississippi are not allowed to pay you less than $7.25 per hour unless you or your occupation are specifically exempt from the minimum wage under state or federal law.
Minimum Wage Considerations and Compliance Tips
As of January 1, 2024, food business employers in Mississippi should be aware of several key minimum wage legal and compliance considerations. The basic combined cash and tip minimum wage rate is $7.25 per hour, as per the federal Fair Labor Standards Act (FLSA) since Mississippi does not have a state minimum wage law. The maximum tip credit against the minimum wage is $5.12, which employers can count towards meeting the minimum wage requirement. The minimum cash wage that must be paid directly by the employer is $2.13 per hour.
Businesses with annual gross sales from one or more establishments that total at least $500,000 are subject to the FLSA. Any person who works on or handles goods that are moving in interstate commerce is individually subject to the minimum wage and overtime protection of the FLSA. Covered non-exempt workers are entitled to a federal minimum wage of not less than $7.25 per hour. Deductions made from wages for items such as cash shortages, required uniforms, or customer walk-outs are illegal if the deduction reduces the employee's wages below the minimum wage or cuts into overtime pay.
FAQs
- What is the current minimum wage in Mississippi? The current minimum wage in Mississippi is $7.25 per hour, which is the same as the Federal Minimum Wage.
- Who is eligible for minimum wage in Mississippi? Most employees in Mississippi are eligible for the minimum wage, with exceptions for tipped employees, some student workers, and other exempt occupations.
- What is the minimum wage for tipped employees in Mississippi? Tipped employees in Mississippi can be paid a lower cash wage of at least $2.13 per hour, with up to $5.12 in tips earned per hour deducted from their wage as a "Tip Credit".
Information Source Links
- Mississippi Minimum Wage
- Federal Minimum Wage
- Mississippi Overtime Pay
- U.S. Department of Labor's Wage and Hour Division
- Wage and Hour Division Website
- SHRM
Learn more about Local Food Delivery Trends and Insights
About Otter
- Increase revenue up to 10% with Marketing*
- Reduce storefront downtime by up to 50% with Live Alerts*
- Increase sales up to 50% with Digital Dine-In's QR code ordering*
- Reduce missed orders to less than 1% with Order Manager's Auto-Accept feature*
- Supercharge your food business with our all-in-one restaurant POS system*