Arizona Raises Minimum Wage for 2013

arizona payroll minimum wageArizona employers paying the minimum wage will pay more per hour when the state minimum wage increases to $7.80 on January 1, 2013.

The 15-cent increase, from $7.65 to $7.80, is nearly a 2% increase for Arizona minimum wage earners. Arizona is one of 10 states that connect the minimum wage to increases in the cost-of-living index.

Employers can continue to pay employees earning tips or gratuities $3.00 less than the minimum wage, as long as the tips and wages add up to not less than the minimum wage. The employer must keep accurate records of wages and tips.

Small businesses not covered by the federal Fair Labor Standards Act and grossing less than $500,000 in annual revenue are exempt from the Arizona minimum wage act.

Also exempt are persons employed by a parent or a sibling, anyone providing babysitting in the employer’s home on a casual basis, and anyone employed by the state of Arizona.

You can download the 2013 Arizona minimum wage poster from the Industrial Commission of Arizona. For more information, refer to our fact sheet on Arizona payroll and labor laws.

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