HOURLY WAGE INDEX
Let’s talk wages in Ohio
What is the minimum wage in Ohio?
The minimum wage in Ohio is $11.00 per hour for employers grossing $405,000 or more. Employers below that threshold and employees under 16 are subject to the federal minimum wage of $7.25 per hour. Tipped employees must be paid at least $5.50 per hour, but employers must ensure wages and tips combined equal at least the minimum wage.
What is the average wage in Ohio?
According to the U.S. Bureau of Labor Statistics, the average hourly wage in Ohio is $27.38. Wages vary by occupation, industry, and location.
What is the living wage in Ohio?
The estimated living wage in Ohio is $21 per hour. A living wage represents the estimated hourly rate needed to cover basic living expenses, including housing, food, transportation, healthcare, and other essential costs.
A guide to hourly labor laws in Ohio
● Standard Minimum Wage:
● Employers grossing $405,000+: $11.00.
● Employers grossing less than $405,000: $7.25 (federal rate applies).
● Employees under 16: $7.25 (OH DoC) (Ohio Rev. Code § 4111.02) (29 US Code § 206).
● Tipped Minimum Wage: $5.50, totaling no less than the minimum wage with tips (OH DoC) (Ohio Rev. Code § 4111.01 et seq.) (29 US Code § 206).
● Overtime: Hours exceeding 40 in a fixed week are overtime, paid at 1.5 times the regular rate (Ohio Rev. Code § 4111.03).
● Meal Breaks:
● Minors under 18: A 30-minute break for five work hours.
● Adults: No state or federal law requiring meal breaks. Federal law allows unpaid, non-working, bonafide meal breaks over 30 minutes; exceptions may apply (29 C.F.R. § 785.19) (DoL). (Ohio Rev. Code § 4109.07).
● Rest Breaks: No state or federal law requires rest breaks. Breaks lasting 5–20 minutes must be paid (29 C.F.R. § 785.18)
● Wage Deductions: Only those required by law, such as taxes, and those authorized by the employee in writing. Third-party deductions benefitting the employer may not reduce wages below the applicable minimum (Ohio Rev. Code § 4113.15) (29 C.F.R. § 4.168) (29 US Code § 203).
● Final Paychecks: By the next regularly scheduled payday or within 15 days of resignation or termination (Ohio Rev. Code § 4113.15).
● Wage Payment Frequency: Semi-monthly, with payments made on regularly designated paydays (Ohio Rev. Code § 4113.15).
● Paid Sick Leave: No state/federal law. Policies are determined by the employer or through collective bargaining agreements (DoL).
● Paid Family and Medical Leave: No paid leave. Up to 12 unpaid weeks in one year for eligible employees (FMLA).
● Maximum Daily and Weekly Hours for Children Under 16:
● School session: No working during school hours; up to three hours per day and 18 hours per week. Only between 7 a.m. and 7 p.m.
● Non-school session: Up to eight hours per day and 40 hours per week. Only between 7 a.m. and 9 p.m. (Ohio.gov) (Ohio Rev. Code § 4109.01 et seq.) (29 C.F.R. § 570.35).
● Maximum Daily and Weekly Hours for Children 16 and 17:
● School session: Up to eight hours per day and 40 days per week. Not before 6 a.m. or 7 a.m. if employed after 8 p.m. the last night. Not after 11 p.m. before school days. No hourly limitation per day or week. Non-school session: No daily or weekly hour limitations (Ohio.gov) (Ohio Rev. Code § 4109.01 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
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