The minimum wage in Houston TX is $7.25 per hour in 2023.
Houston, Texas is undoubtedly one of the most popular cities in the U.S., not just within the state itself.
Many people choose Houston as their place to live and work due to continued job growth, affordable housing, and overall low cost of living, and its abundance of world-class attractions and restaurants.
The following graphic shows the Houston minimum wage rate over the past several years, which unfortunately for many, has not increased.
The weekly minimum wage in Houston equates to $290 ($7.25×40) if you are working a full 40-hour week.
There are, however, some exceptions to this hourly wage for student workers, tipped employees, and overtime workers who will all receive different minimum wage rates.
Houston Minimum Wage Exemptions
The state of Texas does not have its own specific minimum wage policy, which is why it defaults to the federal minimum wage rate, and subsequently, so does Houston.
There are rules and laws in place to ensure that employers are paying their employees the minimum wage or above in Houston, Texas unless they are exempt employees.
On February 17, 2022, the Mayor of Houston, Sylvester Turner signed an executive order that would raise the wages of Houston airport workers to $15.00 per hour by October 1, 2023.
Until then, the minimum wage for airport workers in Houston is $13.00 per hour after an April 2022 increase that saw it rise to $13.00 from $12.00 per hour.
The next Houston airport worker minimum wage increase took place on October 1, 2022, when the wage increased to $14.00 per hour.
Also, in late 2021, Houston increased the minimum wage rate for municipal workers in the city, from $14.25 per hour to $15.00 per hour.
Below we have listed all the minimum wage rates for exempt employees in Houston:
- Houston’s minimum wage for tipped employees is $2.13 per hour with a tip credit rate of $5.12.
- Student-workers (full-time high school or college) in Houston are paid a minimum wage of $6.16 per hour for up to 20 hours of work a week. Any more than this and they are eligible for the full minimum wage of $7.25.
- The overtime minimum wage in Houston is $10.88 per hour for every hour worked in excess of 40 hours per week.
- The Houston airport workers’ minimum wage rate is $13.00 per hour.
- The minimum wage in Houston for municipal workers is $15.00 per hour.
What is the Houston Living Wage?
Due to Houston being such a big expansive city with a large population and competitive job market, you would expect the minimum wage to be higher for the city.
But, unfortunately for many, Houston still follows the state minimum wage rate of $7.25 per hour for the majority of its workers.
However, there is a ‘living wage’ for Houston, which is calculated based on how much a person needs to pay their bills, food, and general cost of living expenses while living in the city.
So, the living wage for an adult living alone with no children in Houston is $14.60 per hour (via Living Wage Calculator), which is $7.35 higher than the minimum wage for the state itself.
Fortunately, most employers in Houston take this into account when they contemplate how much they should be paying employees within the city.
Taking all of the living expenses into account, the living wage annual salary (for a full-time person) in Houston is $30,368 before state income tax in Texas.
Houston Living Wage for 1 Adult
Below is a table representing the living wage in Houston for a single adult, with different living wages for the additional amount of children they live with and care for.
| Single Adult | 0 Children | 1 Child | 2 Children | 3 Children |
|---|---|---|---|---|
| Living Wage | $14.60 | $29.97 | $37.61 | $47.77 |
| Poverty Wage | $6.53 | $8.80 | $11.07 | $13.34 |
Houston Living Wage for 2 Adults
The table below showcases the living wage in Houston for 2 adults with only one working, including the costs for the different numbers of children.
| 2 Adults (1 working) | 0 Children | 1 Child | 2 Children | 3 Children |
|---|---|---|---|---|
| Living Wage | $24.17 | $30.28 | $35.05 | $38.02 |
| Poverty Wage | $8.80 | $11.07 | $13.34 | $15.61 |
What is the Average Wage in Houston?
Now that we know the minimum wage, exemptions, and the cost of living, or living wage in Houston, it makes sense to take a look at what the average wage is for employees in Houston.
According to payscale.com, the average base hourly rate is $20.61 per hour in Houston. If you worked full-time (40 hours per week or 2080 hours per year) the average annual income would be $42,868.80.
So, as an employee or future employee in Houston, you have a very good chance of being paid a higher wage than the minimum wage of $7.25 per hour.
Fortunately, the average wage in Houston is just an average calculation, and you could certainly earn more than this when moving to the state.
However, you may be paid even less, with the minimum wage being $7.25 per hour, which is the case for many Servers in Texas.
If the living wage in Houston is $14.60 and the average salary equates to an effective hourly rate of $20.61 per hour, Houston can be considered a brilliant choice for those seeking a move to Lone Star State.
Houston Minimum Wage History
The table below displays the historical minimum wage rates in Houston since 1983. As you can see in the table, we have included percentage increases as well as the dollar increase per year.
| Texas City | Wage | Year | $ Wage Increase | % Increase |
|---|---|---|---|---|
| Houston | $7.25 | 2023 | $0 | 0% |
| Houston | $7.25 | 2022 | $0 | 0% |
| Houston | $7.25 | 2021 | $0 | 0% |
| Houston | $7.25 | 2020 | $0 | 0% |
| Houston | $7.25 | 2019 | $0 | 0% |
| Houston | $7.25 | 2018 | $0 | 0% |
| Houston | $7.25 | 2017 | $0 | 0% |
| Houston | $7.25 | 2016 | $0 | 0% |
| Houston | $7.25 | 2015 | $0 | 0% |
| Houston | $7.25 | 2014 | $0 | 0% |
| Houston | $7.25 | 2013 | $0 | 0% |
| Houston | $7.25 | 2012 | $0 | 0% |
| Houston | $7.25 | 2011 | $0 | 0% |
| Houston | $7.25 | 2010 | $0 | 0% |
| Houston | $7.25 | 2009 | $0.70 | 10.6% |
| Houston | $6.55 | 2008 | $0 | 0% |
| Houston | $6.55 | 2007 | $0.70 | 11.96% |
| Houston | $5.85 | 2006 | $0.70 | 13.59% |
| Houston | $5.15 | 2005 | $0 | 0% |
| Houston | $5.15 | 2004 | $0 | 0% |
| Houston | $5.15 | 2003 | $0 | 0% |
| Houston | $5.15 | 2002 | $0 | 53.73% |
| Houston | $3.35 | 2001 | $0 | 0% |
| Houston | $3.35 | 2000 | $0 | 0% |
| Houston | $3.35 | 1999 | $0 | 0% |
| Houston | $3.35 | 1998 | $0 | 0% |
| Houston | $3.35 | 1997 | $0 | 0% |
| Houston | $3.35 | 1996 | $0 | 0% |
| Houston | $3.35 | 1995 | $0 | 0% |
| Houston | $3.35 | 1994 | $0 | 0% |
| Houston | $3.35 | 1993 | $0 | 0% |
| Houston | $3.35 | 1992 | $0 | 0% |
| Houston | $3.35 | 1991 | $0 | 0% |
| Houston | $3.35 | 1990 | $0 | 0% |
| Houston | $3.35 | 1989 | $0 | 0% |
| Houston | $3.35 | 1988 | $0 | 0% |
| Houston | $3.35 | 1987 | $1.95 | 139.28% |
| Houston | $1.40 | 1986 | $0 | 0% |
| Houston | $1.40 | 1985 | $0 | 0% |
| Houston | $1.40 | 1984 | $0 | 0% |
| Houston | $1.40 | 1983 | $0 | 0% |
Final Thoughts
The minimum wage in Houston is the same rate as the Texas state minimum wage, which also follows federal guidelines, resulting in an hourly wage for both Houston and Texas of $7.25 per hour.
As an employee in Houston, you must be paid this wage or higher by law.
The living wage is significantly higher than the minimum wage within the city, which is why the majority of Houston employers will pay more than $7.25 per hour to their employees despite not being legally obliged to.
