Iowa does not set a minimum wage above the federal level, so employers covered by the Fair Labor Standards Act must pay the federal minimum of $7.25 per hour. Iowa's minimum wage equals the federal rate. Tipped cash wage is $4.35.
Wage rates for 2026
Basic minimum wage
$7.25 per hour
Tip credit
Yes Allowed
Tipped cash wage
$4.35 per hour
Youth / training wage
An initial employment wage of $6.35/hour may apply for the first 90 days.
Overtime & premium pay
| Type | Requirement |
|---|---|
| Weekly | 40 hours (1.5x) |
Iowa follows the FLSA for overtime.
Related labor laws in Iowa
Paid sick leave
Not required by state law.
Overtime
Overtime is required after 40 hours (1.5x) in a week. Iowa follows the FLSA for overtime.
Pay frequency & final paycheck
Rules for how often employees must be paid and when a final paycheck is due vary. Confirm the current requirements with the Iowa Division of Labor.