<img height="1" width="1" style="display:none" src="https://q.quora.com/_/ad/0198544fd2514a0fb72f9b9f75905f7f/pixel?tag=ViewContent&amp;noscript=1">
Contact Sales
Sign in
Book a demo
Platform
Platform Overview
Platform Overview
Why Workstream
Why Workstream
Integrations
Integrations
Fully Supported
Fully Supported
Product
icon-Sep-24-2024-09-43-58-1107-AM
Hiring
Active sourcing
Applicant Tracking
Multilingual hiring
Screening
icon-1-3
Payroll
Full-Service Payroll
Employee Experience
Full-Service Setup
icon-2-3
HR
Team View
Secure records
Documents & Signatures
Onboarding
icon-3-2
Engagement
Employee Surveys
Communication
icon-4-1
Time & Scheduling
Time clock
Shift Scheduling
Solutions for
Featured Reads
Webinar
For our customers: Product roadmap sneak peek
Watch now
LEARN
CONNECT
hiring
Restaurant

Help restaurant and franchise owners hire, pay, and retain your hourly team.

Restaurant Payroll 101
Learn how to tackle the hardest aspects of paying restaurant workers from taxes and tip reporting to labor law compliance.
Master hourly pay
HOURLY WAGE INDEX

Let’s talk wages in Indiana

Back to home
balance_scale
$7.25

What is the minimum wage in Indiana?

As of March 8, 2023, the minimum wage in Indiana is $7.25 per hour. It is the same as the federal minimum wage. The Indiana minimum wage for tipped employees is $2.13 per hour. However, if the employee's tips combined with the hourly wage do not equal the minimum wage, the employer must make up the difference.

The Indiana minimum wage has not increased since 2009. However, there are several proposals to increase the minimum wage, but none of them have been successful.

Here are some of the exceptions to the minimum wage law in Indiana:

  • Learners: Employers may pay learners a sub-minimum wage of $4.25 per hour for the first 90 consecutive calendar days after the learner is initially employed by the employer.
  • Certain workers with physical or mental limitations: Employers may pay sub-minimum wages to workers with physical or mental limitations that limit their ability to do the job.
  • Employees under 18 years old: Employers may pay employees under 18 years old a sub-minimum wage of $4.25 per hour for the first 90 consecutive calendar days after the employee is initially employed by the employer.
statistics
$27.12

What is the average wage in Indiana?

The average wage in Indiana is $27.12 per hour. This is slightly lower than the national average of $24.34 per hour. 

Wages can vary greatly depending on your occupation, experience, and education level. For example, entry-level jobs in customer service may pay around $13 per hour, while experienced lawyers can earn upwards of $100 per hour.
money
$31.39

What is the living wage in Indiana?

The living wage in Indiana is $11.14 per hour. This is the hourly wage that an individual must earn to cover their basic living expenses. 

The living wage is higher for families with children. For a family of four, the living wage is $23.54 per hour.

Wages aren’t everything!

While pay is one of the main factors that hourly employees consider when choosing to join (or stay at) a company, it’s not the end all be all. Research shows that advancement opportunities, supportive management, and schedule flexibility are all incredibly important as well.

Want to learn more about this trend? We dive deep into the data behind which perks and benefits matter most to hourly workers. Check out our full conversation with expert Sara Wasserteil of Cara Collective.

hwi-thumb

A guide to hourly labor laws in Indiana

Verified by Legal Counsel Brooke Davis

  • Standard Minimum Wage: $7.25 (Ind. Code § 22-2-2-4) (29 US Code § 206).
  • Tipped Minimum Wage: $2.13, totaling at least minimum wage after tips (Ind. Code § 22-2-2-4).
  • Overtime: Hours exceeding 40 in a fixed week are overtime, paid at 1.5 times the regular rate (29 US Code § 207) (DoL).
  • Meal Breaks: No state or federal law requiring meal breaks. Federal law allows unpaid, non-working, bona-fide meal breaks over 30 minutes; exceptions may apply (29 C.F.R. § 785.19) (DoL).
  • Rest Breaks:
    • Children under 18: One or two rest breaks totaling 30 minutes if they work six or more consecutive hours (IN DoL).
    • Adults: No state or federal law requires rest breaks. Breaks lasting 5–20 minutes must be paid (29 C.F.R. § 785.18).
  • Wage Deductions: Employers can only make wage deductions for specific purposes such as those required by law or authorized in writing. Third-party deductions benefitting the employer may not reduce wages below the applicable minimum (Ind. Code § 22-2-6-2) (29 C.F.R. § 4.168) (29 US Code § 203 ).
  • Final Paychecks: Payable on the next regular payday after termination or resignation (Ind. Code § 22-2-9-2).
  • Wage Payment Frequency: Semimonthly or biweekly, if requested (Ind. Code § 22-2-5-1).
  • Paid Sick Leave: Indiana has no state or federally-mandated paid sick leave. Policies are determined by the employer or through collective bargaining agreements (DoL).
  • Paid Family and Medical Leave: No Indiana paid leave law. The federal FMLA provides eligible employees up to 12 unpaid  weeks per one-year period for a qualifying medical condition (FMLA).
  • Maximum Daily and Weekly Hours for Children Under 16:
    • School session: No working during school hours; three hours per day; 18 hours per week.
    • Non-school session: Eight hours per day; 40 hours per week.
    • Working Hours: Only between 7 a.m. and 7 p.m., extended until 9 p.m. June 1 through Labor Day (Ind. Code § 22-2-18.1-1 et seq.) (29 C.F.R. 570.35).
  • Maximum Daily and Weekly Hours for Children 16 and 17:
    • School session: Eight hours per school day and 30 hours per school week. No working between 10 p.m. and 6 a.m. on school nights.
    • Non-school session:Eight hours per day and 40 hours per week. No working between 12 a.m. and 6 a.m. on non-school nights (Ind. Code § 22-2-18.1-1 et seq. (29 C.F.R. § 570.35.

Frequently asked questions

What is the difference between gross wages and net wages?

It's important to remember that the Hourly Wage Index data above reflects gross wages, or the amount of money an employee earns before accounting for payroll deductions like taxes, benefits, or wage garnishments. Due to variability in tax rates across locations, slightly lower gross wages in a certain location might result in higher take home pay, or vice versa.

What is a good hourly wage?

This question is a difficult one to answer, as a "good hourly wage" is highly subjective according to experience, work responsibilities, cost of living, and other factors. We recommend using Hourly Wage Index data as a starting point. Once you have established a baseline for certain positions, do further research into similar businesses in your area.

Lastly, consider surveying your employees. They're the best resource to help you know what is a good hourly wage, what competitive pay looks like in your location, and how competitive wages change in your industry over time.

Offering competitive pay is one of my top priorities—what other resources do you have that might help?

We know that getting applicants to pay attention to your business can be extremely challenging, and that offering competitive pay is a huge part of that. Wages aren’t everything, however! Applicant experience is another important factor that can help set you apart from your competition. A few examples include:

  • Short, easy to understand job descriptions
  • Mobile-friendliness
  • Quick communication
  • Streamlined interview stages
Resources

Learn more about hiring and
retaining the hourly workforce

Cover
GUIDE

4 secrets to increasing loyalty among today’s deskless workforce

Get the guide
hiring-hacks-thumb
HIRING HACKS

Get actionable tips in this series of quick videos

Watch now
container_two
GUIDE

Checking the box on hiring and retention

Download the packet
Resources

Become a hiring and onboarding expert.

blog_3
GUIDE

Checking the box on hiring and retention

Download the packet
blog_2
BLOG

5 Steps to build your convenience store brand

Read now
blog_1
BLOG

Social media recruiting: Why your employees should help

Read now

We're here to help!

A Workstream hiring specialist can help you identify high impact ways to improve your applicant experience, and even help you determine what is a good hourly wage for your location and business.

Sign up for a free 30 minute chat with a hiring specialist now

Learn about wages in your city

Indianapolis Minimum Wage 2024