What is the minimum wage for tipped workers?

The minimum wage for tipped workers in Louisiana is $3.25 per hour. The minimum cash wage is the amount that must be paid to tipped employees by their employers before tips are taken into consideration. This does not mean that tipped employees can be paid in cash, as tips must be paid in addition to the minimum cash wage rate. The wages for those who work in Louisiana must also reach the federal minimum wage, which is currently set at $7.25 per hour. If the combined cash wages and tips do not reach the federal minimum wage, the employer must make up the difference. For example, if an employee makes $5 an hour in cash wages and $3 an hour in tips, the employer must pay the employee an additional $1.25 per hour so that the wage reaches the federal minimum wage. In addition, Louisiana employers must also pay employees for overtime at time and a half their regular rate for any hours worked over 40 in a workweek. For tipped employees, the overtime rate is determined by taking the federal minimum wage of $7.25 and dividing it by 2 to get the overtime rate of $3.625 per hour. In summary, the minimum wage for tipped workers in Louisiana is $3.25 per hour and for overtime wages must be at least 1.5 times the regular rate or $3.625 per hour. Employers must also ensure that the combined wages and tips must reach the federal minimum wage of $7.25 per hour.

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