What is the minimum wage for tipped workers?

The minimum wage for tipped workers in California is $12.00 per hour or $2.00 higher than the current statewide minimum wage of $10.00 per hour. This means that employees who receive tips must be paid the full minimum wage of $12.00 per hour, plus tips, by their employer. Employers must make sure that tipped employees still earn at least the full minimum wage when tips are included. If the amount of tips received by the employee during a workweek, combined with the employer’s wages, does not result in at least the California minimum wage of $12.00 an hour, the employer must make up the difference. In California, employers may also pay the “tip credit” of $3.00 per hour. This means that, for employees who make tips, the employer must pay the employee at least $9.00 per hour and make up the difference if the employee’s tips do not add up to the full minimum wage of $12.00 per hour. In this case, the employer must still make sure that the employee receives at least the full minimum wage of $12.00 per hour when the tips are included. It is important that employers both understand and follow the wage and hour rules to ensure their employees are receiving a fair wage. All employees, including tipped employees, must be paid the California minimum wage of $12.00 per hour or higher.

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What is the minimum wage for tipped workers?

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