The minimum wage in Illinois increased in January 2021, for tipped and non-tipped employees. For Illinois, the minimum wage situation is unique, sharing similar rules to other states, the minimum wage varies depending on where you are located within the state. There are some differing rates for some cities and counties in Illinois.
If you are a business owner in the hospitality industry with tipped employees who may be waiting tables, serving and mixing drinks, carrying luggage, cleaning hotel rooms, etc., you are able to take credit for your employee’s tips since in some cases, employees can earn more in tips than in the base wage paid by employers.
The basic rule of tips which is recognized under federal law and state law is that the tips belong to the employee, not the employer. To find out more about the Illinois tip rules, overtime standards, and other wage and hour issues you can visit the Illinois Department of Labor (IDOL) website.
Did the Illinois Minimum Wage Go Up?
The graphic below highlights the Illinois minimum wage over the past several years. The minimum wage did go up in 2021 from $10.00 per hour (in 2020) to $11.00 in 2021.
Illinois Minimum Wage 2o21
Illinois’ minimum wage is reviewed each year using the Consumer Price Index, similar to most other states. The Illinois minimum wage increase in 2021 saw the state wage increase by $1.00 per hour, making it $11.00 per hour, this is the second time the state minimum wage has been increased since 2010!
To find out more information regarding the Minimum Wage in all US States, check out our page that has a table in alphabetical order of all 50 states.
There are many interesting facts about Illinois that you probably haven’t heard of. Feel free to check out a comprehensive list of them that also includes some very important economic facts if you are looking to start your own business or franchise or get a job in the state.
Are you interested in starting a company in Illinois?
If you would like to register a new business in Illinois, check out our ultimate guide on How to Register a Business in Illinois.
Illinois Minimum Wage History
The table below provides the history of Illinois’ minimum wage over the years since 2008. You can see when there were increases in the minimum wage, how much they were, and what percentage increase it represents.
|State||Wage||Year||$ Wage Increase||% Increase|
|Illinois Minimum Wage 2021||$11.00||2021||$1.00||10%|
|Illinois Minimum Wage 2020||$10.00||7/1/2020||$0.75||8.1%|
|Illinois Minimum Wage 2020||$9.25||2020||$1.00||12.1%|
|Illinois Minimum Wage 2019||$8.25||2019||$0||0%|
|Illinois Minimum Wage 2018||$8.25||2018||$0||0%|
|Illinois Minimum Wage 2017||$8.25||2017||$0||0%|
|Illinois Minimum Wage 2016||$8.25||2016||$0||0%|
|Illinois Minimum Wage 2015||$8.25||2015||$0||0%|
|Illinois Minimum Wage 2014||$8.25||2014||$0||0%|
|Illinois Minimum Wage 2013||$8.25||2013||$0||0%|
|Illinois Minimum Wage 2012||$8.25||2012||$0||0%|
|Illinois Minimum Wage 2011||$8.25||2011||$0||0%|
|Illinois Minimum Wage 2010||$8.25||2010||$0.25||3.1%|
|Illinois Minimum Wage 2009||$8.00||2009||$0.25||3.2%|
|Illinois Minimum Wage 2008||$7.75||2008||$0||0%|
EIN Number Illinois
As an Illinois business owner and employer, or someone that is looking to register an LLC or an incorporated company in Illinois with the goal of hiring employees, now, or in the future, you will need to have an Illinois EIN number.
An EIN is also known as an Employer Identification Number and is issued by the internal revenue service (IRS). We have created a guide on how to get your Illinois EIN with the IRS, and it includes links to the appropriate sources and forms and the differences between whether you are a U.S. citizen or foreign national applying for an Illinois EIN.