Regardless of whether you are just taking your first steps in the workforce or are looking for entry-level positions. Understanding the minimum wage in your area is important. It gives you a chance to estimate your income and see if you think the pay for a particular job is fair. Which is based on the workload. If you are looking for a job in Grand Canyon State. Here's what you need to know about the Arizona minimum wage:
What is a minimum wage?
Before starting the minimum wage in Arizona. It is important to understand what a minimum wage is and how it works in different scenarios. In general, the minimum wage is a dollar amount. Indicates the lowest amount that an employer can pay per hour when compensating insured non-exempt employees.
While the minimum wage applies to most employees. There are exceptions. For example, young workers, student learners and full-time students working for certain institutions may be paid less during their first 90 consecutive working days. There are also separate rules for disabled people working under certain types of contract. As well as for workers with tips.
At the federal level, the minimum wage for insured non-exempt employees is $ 7.25 per hour. For tipped workers, the federal minimum wage is $ 2.13 per hour. However, tipped workers still have the right to earn the equivalent of $ 7.25 an hour. If the value of their tips doesn't get them there, the employer will need to adjust their hourly pay for that pay period to ensure they hit the threshold.
The federal minimum wage has not changed since July 2009. No laws have currently been passed that would increase it.
Now it is important to understand that states and cities can enact their own minimum wage laws. With these they can demand a higher minimum wage than is required at the federal level. However, you are not allowed to lower the minimum wage.
In addition, states and cities may require that workers with tips receive the full minimum wage instead of the reduced rate
What is the minimum wage in Arizona?
In 2020, the minimum wage in Arizona for workers without a tip is $ 12 per hour. However, employees who are tipped can receive up to $ 3.00 less per hour. As a result, the minimum wage for tipped workers in Arizona is $ 9.00 per hour, suggesting that any tips earned bring them the equivalent of $ 12.00 per hour. If the tips are not enough, the employer must make up the difference.
On January 1, 2021, the minimum wage in Arizona will change. For workers without a tip, it is said to increase by $ 0.15, which equates to $ 12.15 an hour. Tipped workers will also see their wages rise. Since they can only be paid up to $ 3.00 less per hour, their minimum wage at the start of the new year is $ 9.15.
Higher minimum wages
Some cities in Arizona have higher minimum wages. For example, in Flagstaff, the 2020 minimum wage is $ 13.00 per hour ($ 10.00 per hour for tipped workers). On January 1, 2021, it will be up to $ 15 an hour ($ 12 an hour for tipped workers).
Flagstaff is also slated to increase through 2022, with the minimum wage at $ 15.50 per hour or $ 2.00 above the state minimum wage, whichever is greater. For tipped workers, they earn $ 13.00 an hour, or $ 2.00 above the state minimum wage, whichever is greater.
By 2023, the index of consumer prices (CPI) will play a role in Flagstaff's minimum wage. The minimum wage will be adjusted based on shifts in the CPI, although it will never be less than $ 2.00 above the state minimum wage.
Do you think the minimum wage in Arizona is high enough? Why or why not? Share your thoughts in the comments below.
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