Minimum Wage Increases
Effective December 31, 2021, New York’s minimum wage will increase for many employers. It should be noted that the increases are based on the employer’s location.
The minimum wage for employees other than fast food employees in New York. It will gradually increase to $15 according to the following schedule:
Starting on December 31, 2021, the minimum wage for employees in the remainder of New York will be increased by a percentage determined by the Director of the New York Division of Budget (NYDOB) in consultation with the New York State Department of Labor based on indices including, but not limited to:
These adjustments will take place on December 31 of every year until the minimum wage for employees in the remainder of New York reaches $15.00.
Employers in the hospitality industry may consider an employee’s tips as part of the minimum wage, as long as certain conditions are met. No tip credit is available for farm workers, employees in the building service industry or employees in nonprofit institutions.
A tip credit for employers in miscellaneous industries and occupations was repealed, effective December 31, 2020.
Employers that fall under the Minimum Wage Order for the Hospitality Industry may consider an employee’s tips as part of the minimum wage as long as the employee:
Tip sharing and tip pooling is allowed in the hospitality industry under certain conditions.
Employers in Nassau, Suffolk, and Westchester counties will see an increase in the minimum cash wage and maximum tip credit for their employees as of December 31, 2021.