Iowa State Minimum Wage

Author: Jason Coles

Updated On:

The Iowa state minimum wage situation is identical to many others in the US, 21 in fact. It sits at $7.25 per hour in 2023 – pegged at the same rate as the Federal minimum wage. Iowa’s state minimum wage has remained the same since 2009. Over 10 long years with no increase.

If you are a full-time worker on minimum wage in Iowa, your earnings could be as follows:

  • Daily Minimum Wage: $58.00 (based on an 8-hour working day).
  • Weekly Minimum Wage: $290.00 (based on a 40-hour week).
  • Yearly Minimum Wage: $15,080 (based on being paid 52 weeks per year).

Did the Iowa Minimum Wage Go Up?

The graphic below highlights the Iowa minimum wage over the past several years. The minimum wage did not go up and remains at $7.25 per hour in 2023.

Minimum wage in Iowa

You can view and download the Iowa state minimum wage labor law poster for 2022-2023 here at no charge. Employers must display an official poster outlining the requirements of the Fair Labor Standards Act (FLSA), ensuring that accurate employee time and pay records are kept.

2023 has seen no change to the Iowa state minimum wage, and there seems to be no indication of an increase coming in the distant future either. For more information on the other labor laws in Iowa, please visit the Iowa Division of Labor website.

The way in which the minimum wage increase is usually decided per state is through the consumer price index. But there are still 21 states with minimum wages all set at $7.25 per hour.

Many believe the federal minimum wage is due to increase throughout the new decade as it has remained the same for over 10 years. If this were to happen, many small businesses would have to adapt and adjust to a potential increase in their employees’ wages.

Iowa Minimum Wage History

The table below provides the current rate and history of Iowa’s minimum wage over the past 40+ years since 1983. You can see when there were increases in the minimum wage, how much they were, and what percentage increase it represents each year.

StateWage$ Wage Increase% Increase
Iowa Minimum Wage 2023$7.25$00%
Iowa Minimum Wage 2022$7.25$00%
Iowa Minimum Wage 2021$7.25$00%
Iowa Minimum Wage 2020$7.25$00%
Iowa Minimum Wage 2019$7.25$00%
Iowa Minimum Wage 2018$7.25$00%
Iowa Minimum Wage 2017$7.25$00%
Iowa Minimum Wage 2016$7.25$00%
Iowa Minimum Wage 2015$7.25$00%
Iowa Minimum Wage 2014$7.25$00%
Iowa Minimum Wage 2013$7.25$00%
Iowa Minimum Wage 2012$7.25$00%
Iowa Minimum Wage 2011$7.25$00%
Iowa Minimum Wage 2010$7.25$00%
Iowa Minimum Wage 2009$7.25$00%
Iowa Minimum Wage 2008$7.25$1.05%
Iowa Minimum Wage 2007$6.20$1.05
Iowa Minimum Wage 2006$5.15$00%
Iowa Minimum Wage 2005$5.15$00%
Iowa Minimum Wage 2004$5.15$00%
Iowa Minimum Wage 2003$5.15$00%
Iowa Minimum Wage 2002$5.15$00%
Iowa Minimum Wage 2001$5.15$00%
Iowa Minimum Wage 2000$5.15$00%
Iowa Minimum Wage 1999$5.15$00%
Iowa Minimum Wage 1998$5.15$00%
Iowa Minimum Wage 1997$5.15$0.408.42%
Iowa Minimum Wage 1996$4.75$0.102.15%
Iowa Minimum Wage 1995$4.65$00%
Iowa Minimum Wage 1994$4.65$00%
Iowa Minimum Wage 1993$4.65$00%
Iowa Minimum Wage 1992$4.65$0.409.41%
Iowa Minimum Wage 1991$4.25$0.4010.38%
Iowa Minimum Wage 1990$3.85$0.5014.92%
Iowa Minimum Wage 1989$3.35$00%
Iowa Minimum Wage 1988$3.35$00%
Iowa Minimum Wage 1987$3.35$00%
Iowa Minimum Wage 1986$3.35$00%
Iowa Minimum Wage 1985$3.35$00%
Iowa Minimum Wage 1984$3.35$00%
Iowa Minimum Wage 1983$3.35$00%

Iowa minimum wage history for the past 10+ years – downloadable PDF below

Iowa minimum wage history

Iowa Minimum Wage History – Downloadable PDF

Iowa Minimum Wage Exemptions

In addition to the regular minimum wage rate, there are a few Iowa state minimum wage exemptions that typically depend on your age or employment situation. Below are the various minimum wage exemptions with some situational examples.

Iowa Student Minimum Wage

The minimum wage for student employees in Iowa is 85% of the Iowa state minimum wage, making their hourly pay $6.16 per hour in 2023.

This hourly rate is for any hours worked up to 20 hours per week. As a student employee, once you surpass 20 hours per week, you will be eligible to be paid the Iowa state minimum wage rate of $7.25 per hour.

Being a student can be financially challenging, leading many students to pick up part-time jobs to make extra money while studying. Despite a student minimum wage rate, many Iowa employers will not necessarily follow it and pay you equal to or more than the statewide minimum wage.

Many work-study programs are available at universities, which is a route many students go down. Still, coffee shop, cafe, bar, and restaurant jobs are commonly taken by students as they can work them into their class schedule.

Iowa Under 20 Minimum Wage

If you are under 20 years old in Iowa, federal law allows your employer to pay you as little as $4.25 per hour for your first 90 days of employment.

Once the 90-day period is over, you will be eligible to be paid the 2023 Iowa state minimum wage of $7.25 per hour or potentially even more.

Fortunately for young workers, this is 90 calendar days and not 90 working days; therefore, it can be completed relatively quickly and within about three months.

Iowa Tipped Minimum Wage

If you are a tipped employee in Iowa (someone who receives regular tips as a part of their job) then you are eligible to be paid a minimum wage of $4.35 per hour, with a tip credit of $2.90 per hour, ensuring that you reach the statewide minimum wage regardless if you make enough hourly tips.

Iowa Overtime Minimum Wage

Once you work over 40 hours a week, you are eligible to be paid an overtime rate of 1.5 times your hourly wage for every hour you work past 40. So, the overtime minimum wage in Iowa is $10.88 per hour, 1.5 times the minimum wage of $7.25 per hour.

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Jason Coles

Jason Coles is the Founder of Foreign USA and its Chief Content Writer and Editor. Recognized as a prolific business plan writer by many prominent immigration attorneys in the U.S., Jason has written over 1,280 business plans over the past 17+ years for start-ups looking to establish and expand their footprint in the United States.