Utah minimum wage in 2026 (and 2027)

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Utah's minimum wage is $7.25 an hour in 2026, the same as the federal rate in place since July 24, 2009. Our local research found no Utah city with its own rate, so Salt Lake City, Provo and Ogden use $7.25 too, and Utah has published no 2027 change. Expect to spend at least $16,426.42 a year on one full-time $7.25 employee, and more if your industry's unemployment rate sits above Utah's 1% floor.

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

How Utah applies the $7.25 rate

Two laws, one number. Federal law covers most Utah jobs, and the Utah Labor Commission lists the same $7.25 under state law.

  • Restaurant and bar staff: Utah uses the federal split, $2.13 paid in cash and $5.12 credited from tips, with the employer owing any shortfall.
  • Long weeks: hour 41 and beyond pay $10.875 at the minimum, time and a half under the FLSA.
  • Youth: federal law permits $4.25 during a new hire's first 90 days if they are under 20. Confirm Utah's position with the Labor Commission before you use it.

What $7.25 an hour adds up to

On a semimonthly schedule, the usual one in Utah, a full-time $7.25 worker grosses $628.33 per check ($15,080 / 24). The year is 2,080 hours x $7.25 = $15,080.00, the month $1,256.67 and the 40-hour week $290.00.

Employees on a yearly salary may be paid monthly instead.

Utah employer cost, line by line

Employer cost of one full-time Utah employee at $7.25 (2026)
ItemAnnual cost
Wages$15,080.00
Social Security and Medicare (7.65%)$1,153.62
FUTA (0.6% x first $7,000)$42.00
Subtotal before Utah unemployment tax$16,275.62
Utah unemployment tax at the 1% minimum (1% x $15,080)$150.80
Total at the minimum rate$16,426.42

Built from Utah Workforce Services tax rate questions, IRS Pub 15 (2026) and DOL FUTA rules. Checked Oct 2026.

Utah's 2026 unemployment wage base is $50,700, so a minimum wage worker's entire pay is taxable. A new employer's rate equals its industry's two-year average benefit cost ratio, never below 1%, so every point above 1% adds another $150.80 here. Your rate notice may also show a social cost factor, which Utah fixed at 0.001 for all employers in 2026. New out-of-state contractors start at the maximum 7.1%, which would be $1,070.68 on this worker. Workers' compensation is required from the first employee. See how this compares in the SUTA rates by state.

Utah against its neighbors

Utah sits with Idaho and Wyoming at the federal floor. Nevada pays $12.00, Arizona $15.15 and Colorado $15.16, so an employer in St. George or near the Colorado line faces a large gap with jobs a short drive away. See the 2026 minimum wage in every state.

Running payroll for Utah hourly workers

If you fire someone, all wages are due within 24 hours of separation; a worker who quits without a written contract is paid on the next regular payday. Registration with Workforce Services and the Tax Commission is covered on the Utah payroll tax page. If you would rather hand off payroll and HR together, see PEO options in Utah.

A Gusto Simple account runs $49 a month and $6 per person (checked October 16, 2026). Our payroll software ranking covers the alternatives.

Frequently asked questions

What is the Utah minimum wage in 2026?
Utah employers must pay at least $7.25 an hour, the federal rate, and the Utah Labor Commission lists the same $7.25 under state law.
Will the Utah minimum wage increase in 2027?
Not on current law. Utah's rate equals the federal $7.25, and no federal or state change for 2027 existed as of October 18, 2026.
What is the tipped minimum wage in Utah?
Utah lets employers pay tipped staff $2.13 in cash, taking a $5.12 credit for tips, as the DOL tipped wage table shows. If tips fall short, the employer pays up to $7.25.
How much is $7.25 an hour a year in Utah?
Full time, it is $15,080 gross for the year. Paid semimonthly, each of the 24 checks is $628.33 before withholding.
Does Salt Lake City have its own minimum wage?
No. Salt Lake City private employers pay the same $7.25 as the rest of Utah; our October 2026 review of local wage ordinances found none in the state.
Sources (5)
  1. U.S. Department of Labor: State minimum wage laws (updated July 1, 2026) (checked Oct 18, 2026)
  2. U.S. Department of Labor: Minimum wages for tipped employees (checked Oct 16, 2026)
  3. Utah Labor Commission: Wage claims and minimum wage (checked Oct 16, 2026)
  4. Utah Department of Workforce Services: Unemployment tax rates questions (checked Oct 16, 2026)
  5. Gusto: Gusto pricing (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.