Wage-and-hour ground rules for hotel and hospitality employers in Indiana — minimum wage, tipped-employee rules, overtime, breaks, premium pay, and the hotel-specific obligations that apply on top. Figures below were last reviewed on June 12, 2026; most rates adjust annually.
Verified as of June 12, 2026 — every figure on this page was checked against the official sources listed at the bottom on that date. How we verify →
Minimum wage#
The Indiana minimum wage is $7.25 per hour, effective July 24, 2009. Indiana Code §22-2-2-4 tracks the federal minimum wage; $7.25 since July 24, 2009. State law covers employers with 2+ employees not covered by the FLSA.
Preemption Indiana preempts local minimum wage ordinances — cities and counties cannot set their own general wage floors.
Tipped employees & tip pooling#
Indiana allows a tip credit: employers may pay tipped employees a cash wage of $2.13 and claim up to $5.12 per hour in tips toward the minimum wage. Mirrors federal FLSA: more than $30/month in tips, tip-credit notice, tips bring total compensation to $7.25/hour. Ind. Code §22-2-2-4(c) authorizes the federal-style tip credit.
Tip pooling#
No state pooling statute; federal rules govern (no employers/managers/supervisors; tip-credit pools limited to customarily tipped employees). (29 C.F.R. §531.54)
See the federal baseline rules in our tip credit and tip pooling briefs — the stricter of federal or Indiana law controls.
Overtime#
Overtime is due after 40 hours in a workweek. State overtime mirrors the FLSA at time-and-a-half after 40 hours (Ind. Code §22-2-2-4(f) et seq.) for employers not covered federally.
Run the math — including the tipped-overtime trap — with the tipped overtime calculator.
Meal & rest breaks#
Meal breaks: Not required by Indiana law for adult employees — No state meal or rest break requirement for adult employees (the teen break law was repealed in 2015).. Federal law requires only that breaks under 20 minutes, if offered, be paid.
Rest breaks: Not required by Indiana law.
Scheduling & premium pay#
- Reporting-time pay: None required by state law.
- Split-shift premium: None.
- Spread of hours: None.
Service charges & gratuities#
Indiana has no service-charge-specific statute — the federal tip/service-charge line (and IRS treatment) controls. Background: service charges, auto-gratuities & resort fees.
Pay administration#
- Pay frequency: At least semimonthly or biweekly, within 10 business days of the period close (Ind. Code §22-2-5-1, the 'Ten Day Rule' with treble-damage exposure for violations).
- Wage statements: Employers must furnish a statement of hours worked, wages paid, and itemized deductions each pay period. (Ind. Code §22-2-2-8)
- Exempt salary floor: $684.00/week (federal) — No state EAP salary floor; federal $684/week applies (DOL's 2024 increase was vacated and DOL reverted).
- Lodging credit: Federal FLSA §3(m) reasonable-cost board/lodging standards apply; no separate state rule.
Ind. Code §22-2-2-10.5 preempts local minimum wages and benefits mandates, so Indianapolis hospitality stays at federal rates. Wage Payment/Wage Claims statutes (with liquidated damages) make pay-timing and final-pay errors the main state-law exposure.
Official sources#
- Indiana Department of Labor — Wage & Hour
- US DOL consolidated state minimum wage table (accessed 2026-06-12)
- US DOL minimum wages for tipped employees table (accessed 2026-06-12)
- Paycom minimum wage rate by state (2026) cross-check (accessed 2026-06-12)