Tipped minimum wage / Ohio

By NorseHorse. Rates in force on October 15, 2026, checked against the sources at the bottom of this page. General information, not legal advice.

What employers must pay

In Ohio, the minimum wage is $11.00 an hour. An employer can pay a tipped employee as little as $5.50 an hour in cash, as long as tips bring the total to at least $11.00. The difference, $5.50, is the tip credit.

Employers with yearly gross receipts under $405,000, and workers under 16, are owed only the federal minimum: $7.25 an hour, or $2.13 in cash for tipped workers if tips make up the rest.

Who counts as a tipped employee: more than $30 a month in tips.

If your cash wage plus tips comes up short of $11.00 an hour in a workweek, your employer has to make up the difference.

What changes next

On January 1, 2027, the minimum wage goes to $11.40 and the tipped cash wage to $5.70. Ohio raises the rate with inflation each January 1. For 2027, the small-employer exception rises to businesses with less than $419,000 in yearly gross receipts.

Tip pooling and service charges

Ohio has no separate tip pool rule and follows federal law: employers, managers and supervisors may not keep tips, and a mandatory pool that includes tip credit workers may only include staff who customarily and regularly receive tips.

Overtime

Time and a half after 40 hours in a workweek, no daily overtime; employers grossing under $150,000 a year are exempt from the state overtime rule (federal law may still apply). Tipped overtime is figured on the full $11.00 minimum, then the $5.50 tip credit is subtracted.

Taxes on your tips

Ohio taxes wage income, and tips are wages, so its income tax applies to your tips. Federal income tax, Social Security and Medicare still apply. The federal tip deduction can cut the income tax part: see how the No Tax on Tips deduction works.

Check a week's pay

If you are underpaid

Start by comparing your pay stubs with your own record of hours and tips. If the numbers don't add up, you can file a complaint with the Ohio Department of Commerce, Division of Industrial Compliance, Bureau of Wage and Hour Administration: how to file. You can also call the U.S. Department of Labor, Wage and Hour Division, at 1-866-487-9243.

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