COLUMBUS, Ohio — Ohio’s minimum wage is set to increase on January 1, 2024. For non-tipped employees, it will rise to $10.45 per hour, while tipped employees will see their minimum wage go up to $5.25 per hour. This change will affect employees of businesses with annual gross receipts exceeding $385,000 per year.
In 2023, the minimum wage for non-tipped employees was $10.10 per hour, and tipped employees received a minimum wage of $5.05 per hour. This rate was applicable to employees of businesses with annual gross receipts of over $372,000.
The increase in Ohio’s minimum wage each year is governed by a Constitutional Amendment (II-34a) passed by Ohio voters in November 2006. According to this amendment, Ohio’s minimum wage is adjusted annually based on the rate of inflation. The adjustment is tied to the Consumer Price Index (CPI-W) for urban wage earners and clerical workers over the 12-month period leading up to September. For the period from September 1, 2022, to August 31, 2023, the CPI-W index increased by 3.7 percent.
For employees at smaller companies with annual gross receipts of $385,000 or less as of January 1, 2024, as well as for 14- and 15-year-olds, the state’s minimum wage will remain at $7.25 per hour. This rate is tied to the federal minimum wage of $7.25 per hour, which can only be changed through congressional action and the President’s signature.
Employers can obtain the 2024 Minimum Wage poster for display in their establishments by visiting the Ohio Department of Commerce’s Division of Industrial Compliance’s Bureau of Wage and Hour website. This poster will provide employees with information about their updated minimum wage rights.