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Iowa Minimum Wage 2026: $7.25/hr

Iowa pays the federal minimum of $7.25 an hour.

Data updated

Key facts for Iowa

Minimum wage
$7.25/hr
In effect since
Tipped cash wage
$4.35/hr
Compared with federal
Same as the federal $7.25
Overtime
1.5x after 40 hrs/week

Source

Rule
Iowa minimum wage law
Published by
dial.iowa.gov
Last updated
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Hourly rate and hours in, weekly pay with Iowa overtime rules out.

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The short answer

Iowa's minimum wage is $7.25/hr in 2026, the same as the federal $7.25 minimum , ranked #36 of 51 US jurisdictions. The tipped cash wage is $4.35/hr.

How the Iowa minimum wage works

In Iowa, the minimum wage is $7.25 per hour, effective January 1, 2008. Iowa sets its own minimum wage, and a tip credit is allowed: the tipped cash wage is $4.35 per hour, with tips expected to bring total pay to at least the full minimum wage. Overtime is paid at 1.5× the regular rate after 40 hours in a workweek. The state defers to the federal FLSA standard.

Iowa's state minimum wage has been $7.25 since January 1, 2008 (Iowa Code 91D.1), matching the federal rate. Tipped minimum cash wage is 60% of the state minimum ($4.35/hr).

How Iowa compares

State rate
$7.25/hr
Federal minimum
$7.25/hr
Difference
None
National rank
#36 of 51

Ranked by 2026 effective minimum wage across all 51 U.S. states and jurisdictions. Federal comparison source: U.S. Department of Labor.

Iowa overtime rules

Weekly overtime threshold
40 hours (1.5x)
Governing law
Federal FLSA only

Iowa has no state overtime law. Federal FLSA rules apply.