There has been a significant increase in Florida’s minimum wage laws, which has considerably impacted fellow businesses and employees across the state. In 2024, Florida’s minimum wage rate is continuously rising toward reaching $15 per hour by the end of 2026 as per the state’s constitutional amendment.
These changes are necessary for businesses operating in the state and for employees working to make a living for themselves. Furthermore, these laws also serve as guidelines to ensure that workers receive fair compensation while also placing a heavy responsibility on employers to comply with state and federal wage laws.
This guide will offer insights into the current wage rates, how employers and businesses can comply with the laws and state regulations, and the consequences of non-compliance.
Minimum Wage Rate in Florida
As of September 30, 2024, the minimum wage rate in Florida is $13.00 per hour. Whereas, tipped workers earn at least $9.98 per hour, including tips. These wages are higher because of a scheduled increase driven by the state’s constitutional amendment (amendment 2). This change requires yearly increases by $1.00 until the minimum wage reaches $15 per hour in 2026.
By contrast, the federal minimum wage rate in Florida, which remains at $7.25 per hour, does not apply in Florida where the state rate is higher than the federal standard. This discrepancy means that the employers in Florida must follow the state’s rules and pay the higher wage, not the federal one.
Wage Rates for Tipped Employees
| Year | Minimum Wage ($) | Tipped Wage ($) | Increase Tip Wage from Current ($) |
| 2023 | 12.00 | 8.98 | 3.44 |
| 2024 | 13.00 | 9.98 | 4.44 |
| 2025 | 14 | 10.98 | 5.44 |
| 2026 | 15 | 11.98 | 6.44 |
Employer Responsibilities in Florida
Employers in Florida must stay active to follow state minimum wage laws. As mentioned before, Florida’s minimum wage changes every year based on the Consumer Price Index (CPI), therefore, business owners have to stay updated with these changes to avoid legal problems. If however, an employer is not compliant with these laws and regulations, they will have to face legal issues, such as lawsuits, paying damages, and fines.
Employers must also put up posters in their workplaces to notify their employees about the minimum wage rights. Additionally, failure to meet these wage standards can lead to claims for unpaid wages, which can expose employers to costly lawsuits.
On the other hand, for businesses with employees who get tips, it’s important to ensure they are paid at least $9.98 per hour before counting tips as part of their total compensation. Additionally, businesses must adjust their pay rates each year to match the increasing minimum wages, and ensure they are paying employees correctly.
If the conditions are not met, the Florida Department of Labor (FODL) can enforce the following penalties:
| Penalties | Description |
| Fines | A fine of up to $2,000 will be charged to employers for each violation. |
| Back Pay | If employers are not following the rules and regulations of the state, they are required to pay their employees wages they haven’t received. |
| Punitive Damages | Knowingly breaking the rules will result in hefty fines to employers as a penalty. |
| Criminal Charges | A serious violation could lead to criminal charges that would open doors to heavy lawsuits and potentially affect the company’s reputation. |
Stay Updated With Florida’s Minimum Wage Adjustments
Update Payroll Systems
Ensuring that payroll systems are updated to follow Florida’s latest minimum wage rates is important. Employers must verify that their systems highlight the current wage of $13.00 per hour and the tipped wage of $9.98 per hour, effective September 30, 2024. By regularly verifying your payroll systems with the wage rates, employers can avoid any compliance issues.
Display Wage Posters
As we’ve mentioned before, employers have to conspicuously post the latest state and federal minimum wage rate notices in their workplaces. These notices are important because they tell employees about their rights with the latest wage rules. Furthermore, copies of these posters can be accessed directly from the Florida United Business Association’s website.
Budget for Future Increases
It is crucial for employers to do a forecasting of their budget that complies with the federal and state minimum wage rates of Florida. As there’s a yearly $1 per hour raise in the minimum wage rate of Florida, it will eventually reach the $15 per hour target by 2026. This means employers have to look at their budgets again and find ways to save money. For smaller businesses, good financial planning will help them handle these updates and changes without impacting their business profitability.
Train The Workforce
Every good business follows the practice of training its workforce to ensure compliance. Training HR personnel and supervisors can be done by educating them to deal with employees who get tips and handle payroll issues. Managers who are properly trained to tackle these core aspects prevent any chance of mistakes and help create an open and trusting environment within the workforce.
How WorkStaff360 Can Help You Comply With Florida’s Wage Laws
At WorkStaff360, we acknowledge the complexities of staying compliant with Florida’s rising wage laws. Perhaps this is one of the reasons why we’ve designed solutions to help your business navigate the seasonal updates in the wage rates, payroll adjustments, and labor law requirements, through the help of our payroll assistants.
For the same reason, if you need help with accurate wage calculations, notifying employees about their wages, or making sure your business follows the updated wage rules, we offer a specialized set of services to keep you in line. Consequently, our experienced Virtual Assistants at WorkStaff360 can simplify your HR and payroll tasks, helping your business avoid legal risks that are associated with non-compliance and stay updated with Florida’s minimum wage changes. By working with us, you can concentrate on managing your business while we handle the detailed aspects of wage law compliance.
