Ohio Minimum Wage Increases to $10.70 Per Hour Effective January 1, 2025
By Joel Riley
Ohio's minimum wage increases to $10.70/hour for non-tipped employees and $5.35/hour for tipped employees effective January 1, 2025, based on the annual inflation adjustment required by the state constitution.
What Changed
Ohio's minimum wage increases to $10.70 per hour for non-tipped employees, up from $10.45 per hour in 2024. The tipped employee minimum wage increases to $5.35 per hour, up from $5.25 per hour. This annual adjustment is mandated by Ohio Constitutional Amendment Article II, Section 34a, approved by voters in November 2006, which requires the state minimum wage to increase each January 1 by the rate of inflation.
The 2025 increase of approximately 2.4% reflects the Consumer Price Index change measured between September 1, 2023 and August 31, 2024.
A new mandatory minimum wage poster reflecting these rates has been released and must be displayed at all Ohio work locations.
Who Is Affected
The $10.70 per hour minimum wage applies to Ohio employers with annual gross receipts exceeding $394,000. Employers below this threshold, as well as workers aged 14-15, are subject to the federal minimum wage of $7.25 per hour.
The tipped employee rate of $5.35 per hour applies to employees who customarily receive more than $30 per month in tips, provided their total compensation (tips plus base wage) meets or exceeds the full minimum wage.
All industries are affected. There are no sector-specific exemptions to Ohio's minimum wage law.
Where It Applies
Ohio statewide. The updated rates apply to all employees performing work within the state of Ohio, regardless of where the employer is headquartered.
When It Takes Effect
The new rates take effect January 1, 2025. Employers should ensure payroll systems reflect the updated rates for the first pay period of the new year. Updated compliance posters should be displayed before or on January 1, 2025.
Why It Matters
While the increase is modest in dollar terms (a $0.25 per hour increase), Ohio's constitutional minimum wage adjustment is automatic and non-negotiable. Employers cannot opt out or delay implementation. Failure to pay the updated rate exposes employers to wage claims, back pay liability, and potential penalties. Additionally, displaying an outdated minimum wage poster is a separate compliance violation.
This increase continues the trend of steady, inflation-linked minimum wage growth that Ohio has experienced since voters approved the constitutional amendment in 2006.
The Humareso Take
Ohio's annual minimum wage bump is one of those changes that is predictable but still catches employers off guard if payroll updates are not made by January 1. The increase itself is small, but the compliance obligation is absolute. We recommend building Ohio's annual adjustment into your year-end payroll checklist so it becomes automatic. And while you are at it, swap out your minimum wage poster. Auditors check those dates.
Recommended Action Steps
Update payroll systems to reflect the new minimum wage of $10.70 per hour (non-tipped) and $5.35 per hour (tipped) before the first pay period of 2025.
Post the updated Ohio Minimum Wage poster at all Ohio work locations in a conspicuous area accessible to employees before January 1, 2025.
Review tipped employee compensation to confirm that total compensation (base wage plus tips) meets or exceeds $10.70 per hour for each pay period.
Verify employer gross receipts to confirm which minimum wage threshold applies to your organization for the coming year.
Audit your year-end compliance checklist to include Ohio's annual minimum wage adjustment as a recurring item.
Contact your Humareso representative for a year-end compliance review covering minimum wage updates across all states where you operate.
✅ Recommended Action Steps
Originally posted by Joel Riley on 2024-10-17T10:02:33Z in Full Team Group Chat.