New Jersey Minimum Wage 2020

Comprehensive guidelines on the minimum wage rules in NJ

Minimum Wage in New Jersey

The minimum wage rate in New Jersey is $11.00 per hour. 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 $11.00 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.

What is the NJ minimum wage in 2020?

The minimum wage in New Jersey 2020 is $11.00 per hour. The weekly minimum wage in NJ comes up-to $440 / 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.

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It is mandatory for all the 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 $11.00 per hour if their occupation is specially exempt from the minimum wage under the 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 2019 $10.00
1st Jan 2020 $11.00 $10.30
1st Jan 2021 $12.00 $11.10 $10.30
1st Jan 2022 $13.00 $11.90 $10.90
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 $16.50 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.

new jersey minimum wage

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 prominent 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 special minimum wage 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% ($9.35 per hour) of the New Jersey minimum wage for upto 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 earn a certain amount of tips every month may be paid a lower minimum wage, but he/she must earn at least $11.00 per hour including tips.

Frequently Asked Questions on New York State Minimum Wage and Labor Laws:

  1. What is the New Jersey minimum wage in 2020?
    1. The New Jersey minimum wage in 2020 is $11.00 per hour. The weekly minimum wage will come up-to $440 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
  2. What is the minimum for tipped employees in NJ?
    1. The minimum wage for tipped employees in New Jersey is $3.13 per hour in 2020. In the following years it will increase to $4.13 in 2021 and $5.13 in 2022. Total minimum wage which a tipped employee earns must be greater than or equivalent to $11.00 per hour including tips.
  3. In New Jersey, how much will I earn working in a Minimum wage job?
    1. 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 $88.00 per day, $440.00 per week and $22,880.00 per year.
  4. How much is the overtime minimum wage in NJ?
    1. 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 2020, the overtime minimum wage in NJ will be $16.50 per hour, for every hour worked in excess of mandated 8 hours per day.
  5. What is NJ under 18 minimum wage rule?
    1. Under the New Jersey youth minimum wage law, all the employers in NJ employees aged 18 years and below, a minimum wage of $4.25 per hour for the first 90 days of employment.

Related Topics

New Jersey Overtime Law

Arizona Minimum Wage

Texas Minimum Wage 2020

Florida Minimum Wage 2020

California Overtime Law