Nebraska State Minimum Wage

In 2023 Nebraska increased its statewide minimum wage rate for the first time since 2016 – increasing from $9.00 per hour by $1.50 to $10.50 per hour.

This 2023 increase represents a 16.6% increase from 2022, and the prior years beginning with 2016.

As a Nebraska business owner, it is important to familiarize yourself with the minimum wage so that you can pay your employees the correct and legal wage requirements.

Of course, the minimum wage is just the lowest threshold that you can pay employees, but there are many industries that still start their base pay at the Nebraska state minimum wage level.

For employees, you will also want to familiarize yourself with the minimum wage to make sure you are being paid fairly and your workers’ rights are protected.

If you are a full-time employee being paid the minimum wage in Nebraska, here are what your earnings could look like:

• Daily Minimum Wage: $84.00 (based on an 8-hour working day).
• Weekly Minimum Wage: $420.00 (based on a 40-hour week).
• Monthly Minimum Wage: $1,680.00 (based on a 160-hour month).
• Yearly Minimum Wage: $21,840.00 (based on being paid 52 weeks per year).

You can download the graphical summary of an employee’s earnings on the minimum wage rate for free below:

The latest increase to the minimum wage occurred on January 1, 2023, when it increased to $10.50 per hour.

Here is our downloadable graphic consisting of the minimum wage rates in Nebraska dating back to 2018:

Typically, increases to the Nebraska minimum wage are calculated via the consumer price index (CPI) for the state.

The consumer price index takes into account cost of living increases, which includes the changes in prices of all goods and services purchased for consumption by urban households.

Nebraska Minimum Wage Increases

On November 8, 2022, Nebraska released Initiative 433, which is a ballot that is set to increase the minimum wage each year, until January 1, 2026!

The ballot measure was approved and after many votes were made, the result was in favor of implementing these minimum wage changes.

So, here are the future minimum wage increase plans for Nebraska going forward:

• $10.50 on January 1, 2023
• $12.00 on January 1, 2024
• $13.50 on January 1, 2025
• $15.00 on January 1, 2026

This has undoubtedly delighted many employees within the state! Below is a summary graphic of the future increases to the Nebraska state minimum wage:

Nebraska Minimum Wage Exemptions

In addition to the regular minimum wage rate, there are a few Nebraska state minimum wage exemptions that typically depend on your age or employment situation.

You can download the following graphic which summarizes the minimum wage exemptions further down:

Below are the various minimum wage exemptions with some situational examples.

Nebraska Student Minimum Wage

The minimum wage for student employees in Nebraska is 85% of the state minimum wage, making their hourly pay $8.93 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 Nebraska minimum wage rate of $10.50 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 Nebraska 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.

Nebraska Under 20 Minimum Wage

If you are under 20 years old in Nebraska, 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 Nebraska minimum wage of $10.50 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.

Nebraska Tipped Minimum Wage

If you are a tipped employee in Nebraska (someone who receives regular tips as a part of their job) then you are eligible to be paid a minimum wage of $2.13 per hour, with a tip credit of $8.37 per hour, ensuring that you reach the statewide minimum wage regardless if you make enough hourly tips.

Nebraska 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 Nebraska is $15.75 per hour, 1.5 times the minimum wage of $10.50 per hour.

Specific Employment Type/Job Role Exemptions from the Nebraska State Minimum Wage

In addition to the exemption rates mentioned above, here are some specific job roles that are also exempt from the minimum wage rate in Nebraska:

• Any individual employed in agriculture.
• Any individual employed as a babysitter in a private home.
• Any individual employed in a bona fide executive, administrative, or professional role.
• Any individual employed as a superintendent or supervisor.

Nebraska Minimum Wage History

The table below provides the current rate and history of Nebraska’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.

Nebraska Labor Law Poster and Department of Labor Contact Details

As a Nebraska employer, you need to keep yourself compliant with the law. To do this, you need to display a Nebraska Labor Law poster in a prominent place.

The good news is that you can acquire one of these posters for free from the Department of Labor website, and download the poster in English and Spanish.

If you wish to contact the department directly, here are all of the contact details you need:

Department of Labor
203 East Stolley Park Rd,
Ste. A Grand Island, NE 68801
Telephone: 308-385-6300
Email: ndol.grandislandwfd@nebraska.gov