The minimum wage in New Jersey is $8.85 per hour. This is the lowest rate that employees can be paid for their work. In addition to this, there are also a number of other factors which affect how much an employee can be paid.
The first factor is the company’s size. In New Jersey, there are three different categories: small, medium and large businesses. A small business has less than 25 employees on its payroll, while a medium-sized business has between 26 and 50 employees, and a large business has more than 50 employees on its payroll.
Another factor is the industry in which the company operates. For example, if an employee works in hospitality or food services then they must be paid at least $12 per hour. If they work in retailing then they must receive at least $12 per hour as well; however if they work in manufacturing then they must receive at least $13 per hour instead (#2).
Finally, there are certain occupations which have minimum salaries above those set out above (#3). For example dishwashers must receive at least $10 per hour; waiters/waitresses must receive at least $8 per hour; and bartenders must receive at least $9.
Minimum Salary In New Jersey
TRENTON – New Jersey’s statewide minimum wage will increase by $1 to $13 per hour for most employees, effective January 1, 2022.
The increase is part of legislation signed by Governor Murphy in February 2019 that gradually raises the minimum wage to $15 per hour by 2024 for most employees. When Governor Murphy took office in 2018, the state’s minimum wage was $8.60 per hour; he and the Democratic-controlled Legislature immediately identified increasing the minimum wage as a legislative priority.
Under the law, seasonal and small employers were given until 2026 to reach $15 per hour to lessen the impact on their businesses. The minimum hourly wage for these employees will increase to $11.90/hour on Jan. 1, up from $11.10.
Agricultural workers are guided by a separate minimum wage timetable and were given until 2027 to reach the $15/hour minimum wage. Employees who work on a farm for an hourly or piece-rate wage will see their minimum hourly wage increase to $11.05, up from $10.44. Additionally, long-term care facility direct care staff will see their minimum wage rise by $1, to $16/hour.
“The challenges of the pandemic have shown why it’s so important that the Garden State remain on course to a $15 minimum wage,” said Labor Commissioner Robert Asaro-Angelo. “In support of Governor Murphy’s vision for a stronger and fairer economy, we’re working to get our residents into not just jobs, but good jobs with sustainable wages and the generous benefits that come with working in our state.”
The New Jersey Department of Labor and Workforce Development (NJDOL) sets the minimum wage for the coming year using either the rate specified in the law or a calculation based on the Consumer Price Index (CPI), whichever is higher. Once the minimum wage reaches $15 per hour, the state Constitution specifies that it continue to increase annually based on any increase in the Consumer Price Index.
Tipped workers will also see their minimum cash wage rise by $1 to $5.13/hour, with employers able to claim a $7.87 tip credit. If the minimum cash wage plus an employee’s tips do not equal at least the state minimum wage, then the employer must pay the employee the difference.
The minimum wage rate in New Jersey is $13.00 per hour for employees working in a large organization (>5), $11.90 for employees working in a small organization(<5), and $11.05 for employees working in agriculture. This minimum wage rate is greater than the federal minimum wage of $7.25 per hour. Employers are required to pay their employees the higher state minimum wage, which in this case is $13.00 per hour. This minimum wage applies to most of the employees working in the state of NJ with limited exceptions including some student workers, tipped employees, and other exempt occupations.
Managing labor compliance at large organizations in New Jersey may lead to legal issues. Learn how organizations are leveraging Replicon’s solutions with built-in compliance modules to solve New Jersey’s minimum wage needs.
What is the NJ minimum wage in 2022?
The minimum wage in New Jersey 2022 is $13.00 per hour. The weekly minimum wage in NJ comes up to $520 / 40-hours a week. The minimum wage rate in New Jersey is linked to the Consumer Price Index (CPI), which is intended to raise the minimum rate along with the inflation rate. The current minimum wage rate in NJ is yearly re-evaluated based on these values.
The New Jersey states minimum wage was raised a full dollar from $7.25 to $8.25 per hour when the voters of NJ approved a constitutional amendment in 2013. This amendment also helped attach New Jersey’s minimum wage rules to the Consumer Price Index (CPI), so the minimum wage rate may be adjusted yearly based on CPI.
It is mandatory for all New Jersey Employers to display an approved New Jersey Minimum Wage poster in a prominent place to inform their employees about the minimum wage rules and their rights under the NJ labor laws. Employers of the state of New Jersey are not required to pay their employees $13.00 per hour if their occupation is specially exempt from the minimum wage under state or federal law.
New Jersey State’s Minimum Wage Schedule
| Effective Date | NJ Large Employers (>5) | NJ Small Employers(<5) | Agricultural Employers |
| 1st Jan 2022 | $13.00 | $11.90 | $11.05 |
| 1st Jan 2023 | $14.00 | $12.70 | $11.70 |
| 1st Jan 2024 | $15.00 | $13.50 | $12.50 |
| 1st Jan 2025 | $14.30 | $13.40 | |
| 1st Jan 2026 | $15.00 | $14.20 | |
| 1st Jan 2027 | $15.00 |
Overtime Minimum Wage in New Jersey
All the employees working in the state of New Jersey are entitled to a minimum wage of at least 1.5 times the regular applicable minimum wage if they exceed 40 weekly hours. The overtime minimum wage will be $19.50 for every additional hour worked beyond 40 hours which is the weekly cutoff hours for overtime. The FLSA law guarantees adequate overtime compensation for all the NJ employees who qualify for the overtime minimum wage rate.
If under any circumstances, your employer fails to comply with the overtime minimum wage rule and you are not paid the required minimum overtime wages, you can file an unpaid overtime claim with the New Jersey Department of Labor.
NJ Minimum Wage and Labor Law Posters
According to the Fair Labor Standards Act (FLSA) and the New Jersey Labor Laws, all the employers in the state of New Jersey are required to display an approved New Jersey minimum wage poster and other NJ and federal Law posters, in a prominently visible place to ensure that all the employees are aware of federal and New Jersey State’s labor laws, failing which may result in severe penalties/fines.
New Jersey Minimum Wage Exemptions
According to the FLSA (Fair Labor Standards Act) certain types of workers are eligible for special minimum wage rates. Under the FLSA and New Jersey minimum wage law, employees are eligible for the special minimum wage to pay if they fit into any of the below categories:
- Student Minimum Wage: Employers are allowed to pay college students or High School students who work part-time, 85% ($11.05 per hour) of the New Jersey minimum wage for up to 20 hours of work per week.
- Under 20 Minimum Wage: Under the Federal Law, employers in NJ are allowed to pay a new employee who is under the age of 20 years a training wage of $4.25 per hour for the first 90 days of his/her employment.
- Tipped Minimum Wage: Under this law, employees working in the state of New Jersey who earns a certain amount of tips every month may be paid a lower minimum wage. The minimum wage for tipped employees is $5.13 per hour, a raise from $4.13 per hour in 2022. This is provided that the cash wage paid by the employer and the tips earned together equals the $13 per hour minimum wage.
New Jersey’s Take on the Pandemic
Labor Commissioner Robert Ansari-Angelo said that in the wake of the pandemic, the challenges brought by it have shown why it’s important that the Garden State remain on course to a $15 minimum wage. He supports Governor Murphy’s vision for a stronger and fairer economy. The government is working to get their residents into good jobs with sustainable wages and generous benefits.
Frequently Asked Questions on New York State Minimum Wage and Labor Laws:
- What is the New Jersey minimum wage in 2022?
- The New Jersey minimum wage in 2022 is $13.00 per hour. The weekly minimum wage will come up to $520 for 40 hours of work per week. There is a special minimum wage for certain exempt employees such as tipped employees, student workers, and other jobs which fall under NJ exempt conditions
- What is the minimum for tipped employees in NJ?
- The minimum wage for tipped employees in New Jersey is $5.13 per hour in 2022. The total minimum wage which a tipped employee earns must be greater than or equivalent to $11.00 per hour including tips.
- In New Jersey, how much will I earn working in a Minimum wage job?
- Under the New Jersey minimum wage law, a full-time minimum wage employee working for 8 hours per day, 40 hours per week will earn $104.00 per day, $520.00 per week, and $27,040.00 per year.
- How much is the overtime minimum wage in NJ?
- All the employees working in the state of New Jersey are eligible for the overtime pay of 1.5 times the regular applicable minimum wage. Hence, for the year 2022, the overtime minimum wage in NJ will be $19.50 per hour, for every hour worked in excess of the mandated 8 hours per day.
- What is NJ under 20 minimum wage rule?
- Under the New Jersey youth minimum wage law, all the employers in NJ employees aged 20 years and below, a minimum wage of $4.25 per hour for the first 90 days of employment.
