Colorado minimum wage update

  • Effective January 1, 2021, the state minimum wage is $12.32 per hour, and is applicable to all employees whether employed on an “hourly, piecework, commission, time, task, or other basis”.
  • Effective January 1, 2021, the state minimum wage for tipped employees is $9.30 per hour. Tipped employees are those engaged in an occupation that regularly receive more than $30.00 per month in tips.
  • For tipped employees, employers may use a maximum tip credit of $3.02 per hour to meet the state 2021 minimum wage of $12.32 per hour. If a deficit exists between the state minimum wage and the employee’s base wage plus tips, the employer must make up the difference.
  • For persons in highly technical computer-based occupations, they must receive at least a minimum hourly wage of $28.38 or the equivalent of the weekly minimum salary for exempt, white collar employees which is $778.85 per week effective January 1, 2021.
  • For more information please visit the Colorado Department of Labor and Employment website.

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