Indiana Employment Law — full calculator

Frequently Asked Questions

• When must Indiana employers pay a final paycheck?

  Indiana Code §22-2-9 requires employers to pay all final wages by the next regularly scheduled payday after an employee's separation — whether the employee was fired, laid off, or quit voluntarily. This rule applies regardless of how employment ended. There is no equivalent federal FLSA deadline.

• What are the penalties for a late final paycheck in Indiana?

  If an employer fails to pay within 10 days after a written demand is made, and a court finds the non-payment was not in good faith, the employer may owe up to twice the unpaid wages (liquidated damages) plus reasonable attorney fees. For example, an employer who owes $2,000 could face up to $6,000 in total liability.

• How do I file a wage complaint in Indiana?

  You can file a wage claim online through the Indiana Department of Labor (in.gov/dol). The Wage and Hour Division investigates claims and can pursue recovery on your behalf. First make a written demand to your employer; if unpaid after 10 days, file with the DOL.

• Are non-compete agreements enforceable in Indiana?

  It depends on your role and the agreement's terms. For primary care physicians (family medicine, general pediatrics, internal medicine), non-compete agreements are prohibited by law since July 1, 2023 (IC §25-22.5-5-8). For all other employees, Indiana courts apply a common-law rule of reason: the agreement must be reasonable in duration, geographic scope, and restricted-activity scope.

• Can an Indiana employer require a primary care physician to sign a non-compete?

  No. Indiana law (IC §25-22.5-5-8, effective July 1, 2023) prohibits non-compete agreements for physicians practicing family medicine, general pediatric medicine, or internal medicine. Such agreements are void and unenforceable regardless of what the employment contract says.

• How long can an Indiana non-compete agreement be?

  Indiana courts evaluate non-competes under a rule-of-reason standard. Agreements of 12 months or less are generally viewed favorably; those exceeding 24 months are often found unreasonable. Indiana courts may also 'blue-pencil' (narrow) overly broad terms rather than void the entire agreement.

• Does Indiana require employers to provide meal or rest breaks?

  No. Indiana law does not require employers to provide meal breaks or rest breaks to adult employees. The only break requirement under Indiana state law applies to minors under 18, who must receive a combined 30-minute break when scheduled for 6 or more consecutive hours.

• Does Indiana have paid sick leave requirements?

  No. Indiana does not mandate paid sick leave for private-sector employees (as of 2026). Employers are only required to pay for actual time worked. Any sick leave benefits offered are at the employer's discretion, unless the employer's written policy promises paid sick leave.

• What is Indiana's minimum wage in 2026?

  Indiana's minimum wage is $7.25 per hour — equal to the federal FLSA floor. The tipped employee minimum cash wage is $2.13 per hour, also matching the federal rate. Indiana has not enacted a minimum wage above the federal baseline.

• How is overtime calculated in Indiana?

  Indiana follows the federal FLSA formula exactly: employers must pay 1.5× the regular rate of pay for every hour worked over 40 in a workweek. Indiana has no daily overtime threshold, no 7th-day rule, and no double-time requirement.