Young Idaho Falls fast-food worker examining a pay stub in a commercial kitchen, fluorescent lighting and stainless steel equipment

Idaho Minimum Wage 2026: 7 Things Workers and Employers Must Know

6 min read May 3, 2026

Idaho's minimum wage hasn't changed since 2009. While over 30 states have raised their wage floors above the federal minimum, Idaho remains tied to the federal rate — and that has practical consequences for more than 200,000 Idaho workers. Here are 7 things every worker and employer in Idaho needs to know about minimum wage in 2026.

1. Idaho's Minimum Wage Is $7.25/Hour — Equal to the Federal Floor

Under Idaho Code § 44-1502, Idaho's minimum wage is set at the federal rate. The federal minimum has been $7.25 per hour since July 24, 2009 — the longest period without a federal increase in U.S. history.

Idaho has no legislative mechanism for automatic annual increases, no cost-of-living adjustments, and no scheduled future raises. Unless the federal minimum rises or the Idaho legislature acts separately (no pending legislation as of 2026), $7.25/hour remains the floor.

For context: the MIT Living Wage Calculator estimates the living wage for a single adult in Idaho's Boise metro at approximately $18.41/hour [MIT, 2025]. At $7.25, a full-time worker earns $15,080 per year before taxes.

$7.25/hr
Idaho minimum wage (2026)
Idaho Code § 44-1502
$3.35/hr
Tipped employee base wage
Idaho Code § 44-1502(2)
$6.16/hr
Youth training wage (85% of minimum)
Idaho Code § 44-1502(4)
2009
Year of last Idaho minimum wage increase
Idaho Legislature

Wage calculation worksheet for Idaho tipped and non-tipped workers on a cluttered desk in Twin Falls, calculator showing 7.25

2. Tipped Employees Receive a Lower Base Wage — but Tips Must Make Up the Difference

Idaho permits employers to pay tipped employees as little as $3.35 per hour — exactly 46 cents above the minimum tipped wage under the FLSA. However, this lower base is conditional: if tips received during the workweek do not bring the worker's total hourly compensation up to $7.25, the employer must make up the difference. This is called the "tip credit."

If a Boise restaurant server earns $3.35/hour and receives only $2.00/hour in tips during a slow shift, the employer owes an additional $1.90/hour to reach the $7.25 floor. Employers who fail to monitor and supplement tip shortfalls face IDOL wage claims.

Tip pooling is permitted in Idaho as long as it does not extend tips to non-tipped employees (managers, owners, supervisors). Under the FLSA's 2018 amendments, back-of-house employees (cooks, dishwashers) may participate in tip pools if the employer does not take a tip credit — but in Idaho, where many employers do take the $3.35 tip credit, tip pools must be limited to service staff.

3. Idaho Has a Youth Training Wage: 85% of Minimum for New Workers Under 20

Under Idaho Code § 44-1502(4), employers may pay a training wage of $6.16 per hour (85% of $7.25) to workers who are:

  • Under 20 years of age, AND
  • Within their first 90 days of employment at that employer

After 90 days, or when the worker turns 20, the full $7.25 minimum applies. Employers may not displace existing adult workers to hire youth at the training rate — this is an anti-substitution rule built into the FLSA youth minimum wage provisions.

4. Some Idaho Workers Are Exempt from the Minimum Wage Entirely

Not every Idaho worker is protected by the minimum wage law. The following categories are exempt under Idaho Code or FLSA provisions:

  • Bona fide executive, administrative, and professional employees who meet the salary threshold ($684/week) and duties tests are exempt from both overtime AND minimum wage requirements
  • Outside sales employees who primarily make sales away from the employer's premises
  • Agricultural workers on small farms (employers who used fewer than 500 "man-days" of farm labor in any quarter of the prior year)
  • Immediate family members of the employer (a spouse, parent, or child working in the family business)
  • Student learners in accredited vocational programs may be paid at a reduced rate under a specific FLSA certificate

For a comprehensive breakdown of how Idaho minimum wage fits within the broader employment framework, the Idaho Labor Law dossier covers all major wage and hour topics. For comparison across states, state minimum wage laws in 2026 shows where Idaho ranks nationally — near the bottom for minimum wage floors.

5. No Local (City or County) Minimum Wage Option in Idaho

Unlike Colorado, Washington, or California — where cities and counties can set minimum wages above the state floor — Idaho preempts local minimum wage ordinances. Under Idaho Code § 44-1502, only the state (and federal government) can set minimum wage requirements. Boise, Coeur d'Alene, or any other Idaho city cannot pass a local minimum wage higher than the state rate. This is a significant difference from the landscape in neighboring Washington, where Seattle has maintained a $20.76/hour minimum since 2024.

5.5 Idaho vs. Neighboring States: The Wage Gap Reality

Workers within commuting distance of Idaho's borders face a stark disparity. Washington State's minimum wage is 6.28/hour as of January 2026 — more than double Idaho's rate. Oregon's is $14.70/hour statewide, with higher rates in the Portland metro area. Workers in border communities near Pullman, Washington or Pendleton, Oregon face wage floors more than twice what their Idaho neighbors receive for identical work. This competitive pressure is one reason some Idaho employers in the Treasure Valley and northern Idaho voluntarily pay above minimum wage to attract and retain workers who could easily cross state lines.

6. Wage Deductions Cannot Reduce Pay Below the Minimum Wage

Employers may deduct certain costs from wages — uniform fees, equipment costs, cash register shortages, meal costs — but only with the employee's written authorization AND only if the deduction does not bring the employee's pay below the minimum wage for the hours worked. An Idaho fast food worker who earns $7.25/hour cannot have a cash shortage deducted if it would push their effective hourly rate below $7.25. Many Idaho employees are unaware that this protection exists.

Example: A convenience store cashier earns $8.00/hour and works 40 hours/week ($320 gross). If the employer deducts a $50 cash shortage from her paycheck, her effective rate falls to $6.75/hour — below the minimum. That deduction is illegal, regardless of the authorization form she signed.

7. Wage Theft Complaints Are Filed with the Idaho Department of Labor — and the Process Is Free

If you believe your employer is paying below minimum wage, failing to make up tip shortfalls, or applying illegal deductions, you can file a wage claim with the Idaho Department of Labor Wage Claim Unit at no cost. The IDOL will:

  • Contact your employer
  • Investigate the claim
  • Compel payment if a violation is found

The statute of limitations for Idaho wage claims under the state Wage Claim Act is three years from the date wages were due. Under the FLSA, it is two years (three for willful violations).

À retenir: Idaho's minimum wage of $7.25 has not changed in 15 years and is among the lowest in the country. Workers who are tipped, under 20, or in specific exempted categories have different rate structures. No Idaho city can supplement the state minimum, and illegal deductions that push pay below the minimum are a wage violation regardless of written consent.

Disclaimer: This article provides general information about Idaho minimum wage laws. Wage and hour situations are fact-specific. Consult the Idaho Department of Labor or a qualified employment attorney for guidance on your specific situation.

Idaho Labor Law: The Complete Dossier for Workers, HR, and Employers 2026

View Dossier

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