Current Minimum Wage on Tipped Workers in Mississippi

1. What is the current minimum wage for tipped workers in Mississippi?


The current minimum wage for tipped workers in Mississippi is $2.13 per hour.

2. Is there a difference between the tipped minimum wage and regular minimum wage in Mississippi?

Yes, there is a difference between the tipped minimum wage and regular minimum wage in Mississippi. The regular minimum wage in Mississippi is currently $7.25 per hour, while the tipped minimum wage is only $2.13 per hour. This means that employees who receive tips as part of their job are legally required to be paid at least $2.13 per hour by their employer, but if their tips do not bring them up to the regular minimum wage of $7.25 per hour, the employer is required to make up the difference.

It’s important to note that this is the federal tipped minimum wage rate; some states have their own laws regarding the tipped minimum wage which may differ from the federal rate. In these cases, employers are required to pay whichever rate is higher.

3. How much do tipped workers make per hour in Mississippi?


The minimum wage for tipped workers in Mississippi is $2.13 per hour. However, the actual amount they make per hour can vary depending on tips received from customers. If their hourly wage plus tips do not equal the state minimum wage of $7.25 per hour, the employer is required to make up the difference.

4. Has the minimum wage for tipped employees increased in Mississippi recently?


No, the minimum wage for tipped employees in Mississippi has not increased recently. It has remained at $2.13 per hour since 1991.

5. Are there any pending changes to the tipped minimum wage in Mississippi?


At this time, there are no pending changes to the tipped minimum wage in Mississippi. The current tipped minimum wage of $2.13 per hour has been in effect since 1991 and there have been no recent proposals or legislation to change it. Any potential changes to the tipped minimum wage would need to be proposed and passed by the state legislature.

6. Can a tipped worker afford a living wage in Mississippi?


It is unlikely that a tipped worker would be able to afford a living wage in Mississippi. While the state’s minimum wage for tipped workers is currently $2.13 per hour, this is significantly lower than the federal minimum wage of $7.25 per hour and does not provide enough income for an individual to live on.

According to the MIT Living Wage Calculator, the living wage for a single adult in Mississippi is $12.47 per hour, assuming they work full-time (40 hours per week). This means that even if a tipped worker received their full tips on top of their base wage, they would still fall short of making a living wage in Mississippi.

Furthermore, many tipped workers rely heavily on their tips to make ends meet due to their low base wages. This can be unpredictable and inconsistent, leading to financial instability and making it difficult for them to save or plan for expenses.

In addition, Mississippi has one of the highest poverty rates in the country and many workers struggle with basic needs such as housing, food, and healthcare. Without an adequate living wage, these workers face significant challenges in meeting these basic needs and improving their overall quality of life.

7. How does Mississippi’s minimum wage for tipped employees compare to neighboring states?

According to data from the National Conference of State Legislatures, as of January 2021, Mississippi’s minimum wage for tipped employees is $2.13 per hour. This is the same rate as neighboring state Louisiana and lower than the rates in Arkansas ($2.63), Alabama ($2.13 plus tips must equal at least $7.25), Tennessee ($2.13 plus tips must equal at least $7.25), and Georgia ($2.13 plus tips must equal at least $5.15).

8. Are employers required to make up the difference if a tipped worker’s wages fall below the standard minimum wage in Mississippi?


Yes, employers are required to make up the difference if a tipped worker’s wages, including tips received, do not meet the standard minimum wage of $7.25 per hour in Mississippi. This is known as the tip credit law.

Under this law, employers can pay tipped workers a minimum cash wage of $2.13 per hour and take a tip credit of up to $5.12 per hour towards meeting the standard minimum wage requirement. However, if a worker’s tips combined with their cash wage do not equal or exceed the standard minimum wage, then the employer is required to make up the difference.

For example, if a tipped worker earns $3 in tips per hour and receives a cash wage of $2.13 per hour (for a total of $5.13 per hour), but the standard minimum wage is $7.25 per hour, then the employer must pay an additional $2.12 per hour to meet the minimum wage requirement.

It is important for employers to keep accurate records of all tips received by their employees and ensure that they are compensating their employees appropriately to comply with state and federal laws. Failure to do so may result in legal consequences for the employer.

9. Do cities within Mississippi have their own separate tipped minimum wage rates or is it consistent throughout the state?


Currently, the state of Mississippi does not have a separate tipped minimum wage rate. The minimum wage for all employees, including tipped employees, is $7.25 per hour. Cities within the state do not have their own separate tipped minimum wage rates.

10. Has there been any discussion of increasing the minimum wage for tipped employees in Mississippi?


Yes, there have been ongoing discussions and debates about increasing the minimum wage for tipped employees in Mississippi. Currently, the minimum wage for tipped workers in the state is $2.13 per hour, which has not been updated since 1991. Some advocates argue that this wage is inadequate to support workers and their families, while opponents argue that increasing the minimum wage could hurt small businesses and lead to job losses. In recent years, there have been several bills introduced in the state legislature to raise the minimum wage for tipped employees, but none have gained enough support to pass. The issue continues to be a topic of discussion among lawmakers, workers’ rights groups, and business owners in Mississippi.

11. Does Mississippi have a different minimum wage for servers versus other types of tipped workers?


Yes, Mississippi has a different minimum wage for servers who receive tips. The state’s minimum wage for tipped workers is $2.13 per hour, which is lower than the federal tipped minimum wage of $2.13 per hour. However, if the employee’s tips and hourly wage do not add up to at least $7.25 per hour, the employer is required to make up the difference.

12. How does Mississippi’s current tipped employee minimum wage compare to federal standards and neighboring states’ rates?


As of 2021, the tipped minimum wage in Mississippi is $2.13 per hour, which is also the federal tipped minimum wage. This is significantly lower than the standard minimum wage in Mississippi, which is $7.25 per hour.

In comparison to neighboring states, Mississippi’s tipped minimum wage is similar to Alabama and Louisiana, which also have a tipped minimum wage of $2.13 per hour. However, Arkansas and Tennessee have a lower tipped minimum wage of $2.63 and $2.13 respectively.

On the other hand, some neighboring states have higher tipped minimum wages such as Florida ($5.63), Georgia ($5.15), and Kentucky ($3.00). In recent years, there has been a push in these states to increase the tipped minimum wage to be more aligned with the standard minimum wage.

It should also be noted that some cities in neighboring states have implemented their own higher tipped minimum wages above the federal rate, such as New Orleans in Louisiana (currently at $8.50).

13. In Mississippi, are employers allowed to use tips towards fulfilling their obligation to pay the standard minimum wage for employees?


No, Mississippi does not have a separate minimum wage for tipped employees. Employers are required to pay their employees the full state minimum wage of $7.25 per hour regardless of tips received. Tips should be considered additional income for employees and cannot be used to offset the employer’s obligation to pay the minimum wage.

14. Is there a plan to increase the tip credit percentage in Mississippi, which currently has one of the lowest rates nationwide?


As of now, there is no specific plan to increase the tip credit percentage in Mississippi. Any changes to wage laws, including increases in the tip credit rate, would need to be proposed and passed by the state legislature.

15. Are there exemptions from paying the state’s established tip credit rate for certain industries or professions in Mississippi?

As of now, there are no specific exemptions from paying the state’s established tip credit rate for certain industries or professions in Mississippi. All covered employees who receive tips can be paid the minimum cash wage of $2.13 per hour as long as their total earnings (tips + cash wages) equal at least the full federal minimum wage of $7.25 per hour.

16. Can legislators override local laws regarding the establishment of a separate tipped worker minimum wage rate in [State?


Yes, legislators can override local laws regarding the establishment of a separate tipped worker minimum wage rate in [State] through the passing of state-level legislation. This means that if the state government passes a law stating that all workers, including tipped workers, must be paid the same minimum wage, it would supersede any local laws that set a lower minimum wage specifically for tipped employees.

17. Has Mississippi recently adjusted its tip pooling laws affecting server wages?


At the time of publication, there have been no recent updates or adjustments to tip pooling laws in Mississippi that would affect server wages. The state follows federal law regarding tip pooling requirements, which allows for employers to require servers to share their tips with other employees who are customarily tipped, such as bussers and bartenders. However, employers are required to inform employees of any tip pooling arrangements and cannot retain any portion of the tips for themselves.

18. How do Mississippi’s current hourly wages for non-tipped workers compare with those applied specifically to restaurant personnel?


According to the National Restaurant Association, the current minimum wage for tipped employees in Mississippi is $2.13 per hour. This is lower than the state’s minimum wage of $7.25 per hour for non-tipped workers.

In addition, certain cities and counties in Mississippi have implemented their own minimum wages that may be higher than the state or federal minimum wage. For example, in Jackson, Mississippi, the city’s minimum wage is currently $10.00 per hour.

Overall, non-tipped workers in Mississippi tend to earn higher hourly wages compared to restaurant personnel who receive tips as part of their income.

19. In Mississippi, are separate restaurants and other establishments categorized differently with regards to applying differing hourly rates for employees who receive tips?


Yes, in Mississippi, separate restaurants and other establishments are categorized differently with regards to applying differing hourly rates for employees who receive tips. According to the Fair Labor Standards Act (FLSA), employers can take a tip credit towards their minimum wage obligations for employees who customarily and regularly earn more than $30 per month in tips. However, there are different minimum wage requirements for tipped employees based on the type of establishment they work in.

For tipped employees in regular restaurants and other establishments, the minimum wage is $2.13 per hour. This means that if an employee’s tips combined with that hourly rate do not equal at least $7.25 per hour (federal minimum wage), the employer must make up the difference.

For tipped employees in “tipped-credit” establishments, such as hotels, motels, or businesses engaged primarily in offering food or beverages for consumption on location (such as bars), the minimum wage is $5.12 per hour. In these types of establishments, if an employee’s tips combined with that hourly rate do not equal at least $7.25 per hour, the employer must make up the difference.

Additionally, alcohol servers – including bartenders and waitresses – have a separate minimum wage of $2.13 per hour plus their tips.

Overall, it is important for employers to know which category their establishment falls under and ensure they are paying their tipped employees appropriately according to state and federal law.

20 Where can I access (or has anyone correlated) information about how each of the US states and territories have approached minimum wage laws for tipped workers?


The National Employment Law Project (NELP) has compiled a comprehensive database of state and local tipped minimum wage laws, including effective date, tipped minimum wage rates, and any exemptions or variations. This information can be accessed on their website:

https://www.nelp.org/publication/tipped-minimum-wage-coverage-map/

Additionally, the Economic Policy Institute (EPI) has also published a report analyzing the current state of tipped minimum wage laws in the US:

https://www.epi.org/publication/the-tipped-worker-data-hub/