Georgia minimum wage in 2026 (and 2027)

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Georgia's minimum wage is effectively $7.25 an hour in 2026: state law sets $5.15 for employers with six or more employees, but any employer covered by the federal Fair Labor Standards Act must pay the federal $7.25, in place since July 24, 2009 (U.S. Department of Labor, checked October 2026). No 2027 change has been announced at either level.

Over a year of 40-hour weeks that is $15,080 in wages, and a newly registered Georgia employer pays another $1,452.12 in federal and state payroll taxes.

2026 minimum wage
$5.15 statean hour
Tipped cash wage
$2.13an hour
2027
Not announcedas of October 2026
Federal floor
$7.25an hour
On this page

The $5.15 rate on the books, and why few employers can use it

Georgia's own minimum wage law still reads $5.15 an hour and applies only to employers with six or more employees. The Department of Labor notes that the state law excludes any job covered by the FLSA when the federal rate is higher, and that FLSA-covered employers must pay $7.25. So the $5.15 rate matters only for an employer with six or more employees that the FLSA does not cover. Everyone covered by the federal law pays at least $7.25.

If you think your business falls outside federal coverage, confirm it with the U.S. Department of Labor before you set pay. Underpaying a covered worker leaves you owing back wages.

Tipped employees in Georgia

Georgia's law does not cover tipped employees, so federal rules apply: a cash wage of $2.13 an hour with up to $5.12 of tips counted toward $7.25. The worker must customarily receive more than $30 a month in tips, must be told about the tip credit in advance, and if tips fall short in a week you pay the difference. That makes Georgia's tipped rate the same as North Carolina's, and far below Florida's $11.98. See payroll for restaurants for tools that track the credit.

Pay at $7.25: weekly, monthly, yearly

Pay at the federal floor is $290.00 for a 40-hour week, $1,256.67 per month, and $15,080.00 across 52 weeks. Overtime follows the FLSA: time and a half once a workweek passes 40 hours, $10.88 for each extra hour at $7.25.

Employer cost of a Georgia minimum wage worker

First-year employer cost of one full-time Georgia worker at $7.25
ItemAmountHow it is worked out
Gross wages$15,080.00$7.25 x 2,080 hours
FICA (7.65%)$1,153.626.2% Social Security plus 1.45% Medicare
FUTA (0.6% net)$42.000.6% of the first $7,000
Georgia UI (2.70% new employer)$256.502.70% of the first $9,500
Employer taxes on top of wages$1,452.129.63% of wages
All-in cost for the year$16,532.12$7.95 per hour worked

Sources: Georgia Department of Labor (2.64% contribution rate plus 0.06% administrative assessment = 2.70% on $9,500), FICA and FUTA per the IRS. Checked Oct 16, 2026.

The 2.70% new-employer rate includes a 0.06% administrative assessment that applies to new employers too. Georgia also has a state income tax to withhold. Registration and other rules are in the Georgia payroll tax guide.

Paying Georgia employees

For single-state payroll, Gusto Simple lists a $49 monthly base and $6 per employee paid (checked October 16, 2026). The plan runs single-state payroll, which fits a business with staff only in Georgia. Line it up against other providers in our payroll software rankings and see what payroll costs for a small team.

Every state's rate is in the 2026 minimum wage table, and the federal rules are on the federal minimum wage page.

Frequently asked questions

What is the Georgia minimum wage in 2026?
$7.25 an hour for any employer covered by the federal Fair Labor Standards Act. Georgia's own law sets $5.15 for employers with six or more employees, but the U.S. Department of Labor notes that FLSA-covered employers must pay the federal $7.25.
Is Georgia raising its minimum wage in 2027?
Neither rate has a scheduled change for 2027 as of mid-October 2026. Georgia's state rate remains $5.15 and the federal rate that FLSA-covered employers pay remains $7.25.
What do servers make an hour in Georgia?
$2.13 an hour in cash under federal law, because Georgia's law does not cover tipped employees. Employers may count up to $5.12 an hour in tips and must make up any shortfall below $7.25.
Who can be paid $5.15 an hour in Georgia?
Only employees of employers with six or more workers who are not covered by the federal FLSA. Any FLSA-covered employer must pay at least $7.25, so confirm your coverage with the U.S. Department of Labor before using the state rate.
Sources (5)
  1. U.S. Department of Labor, Wage and Hour Division: State minimum wage laws (checked Oct 18, 2026)
  2. U.S. Department of Labor, Wage and Hour Division: Minimum wages for tipped employees (checked Oct 16, 2026)
  3. Georgia Department of Labor: Employer FAQs: unemployment insurance (checked Oct 16, 2026)
  4. IRS: Instructions for Form 940 (FUTA) (checked Oct 16, 2026)
  5. Gusto: Gusto pricing page (checked Oct 16, 2026)

This page is general information, not tax, legal or accounting advice. Rules and rates change, so check the official source linked above before you file or sign a contract. Read our disclaimer.