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North Carolina minimum wage

North Carolina Minimum Wage — Current Rate Under NCGS Chapter 95, Article 2A

North Carolina's minimum wage is $7.25 per hour, the same as the federal FLSA floor, effective July 24, 2009. North Carolina has its own Wage and Hour Act (NCGS Chapter 95, Article 2A) that currently mirrors the federal rate — and provides state-level enforcement for small employers below FLSA's enterprise threshold.

North Carolina's minimum wage is $7.25 per hour, effective July 24, 2009, under NCGS Chapter 95, Article 2A (NC Wage and Hour Act). The rate tracks the federal FLSA minimum and has no state-scheduled increase.— NC Department of Labor — Minimum Wage (labor.nc.gov)

Coverage note: State minimum wage currently $7.25/hr; tipped employees must be paid at least $2.13/hr cash wage and tips must make up the difference to $7.25.

North Carolina minimum wage rates

CategoryRateNotes
Standard (most workers)$7.25/hrFederal FLSA floor; effective July 24, 2009; no state scheduled increase
Tipped employees (direct cash wage)$2.13/hrTips must bring total to $7.25/hr; employer pays shortfall

Why North Carolina's own statute matters

Unlike states with no minimum wage statute at all, North Carolina has its own Wage and Hour Act (NCGS Chapter 95, Article 2A). The key practical difference: the NC Department of Labor can enforce wage claims against employers that are below the FLSA enterprise coverage threshold (annual gross sales under $500,000). For those smaller employers, federal FLSA does not apply by itself, but the state act does. NC DOL can receive and investigate complaints from workers at small businesses where federal enforcement might not apply.

How North Carolina's rate could change

North Carolina's minimum wage currently tracks the federal floor. A legislative increase in Congress would automatically raise North Carolina's applicable minimum wage. Alternatively, the North Carolina General Assembly could enact a state minimum wage above the federal floor — but has not done so as of the verification date of this page. There is no CPI indexing or automatic adjustment mechanism in current North Carolina law.

Worked examples

Example 1: standard employee at minimum wage

hours worked = 40 hourly rate = $7.25gross wages = 40 × $7.25 = $$290.00

Example 2: tipped employee

hours worked = 30 direct cash wage = $2.13/hr wages before tips = 30 × $2.13 = $63.90 minimum required = 30 × $7.25 = $217.50 tips received = $160.00 shortfall = $217.50 − ($63.90 + $160.00) = −$6.40 (employer must pay $6.40 additional)

What this does not determine

North Carolina statute and enforcement

North Carolina's minimum wage is codified in NCGS Chapter 95, Article 2A (NC Wage and Hour Act). The NC Department of Labor enforces wage and hour laws. Employees who believe they have been underpaid may file a complaint at labor.nc.gov. NC DOL's Wage and Hour Bureau handles complaints for both state and federally covered employers.

North Carolina vs. neighboring Virginia

Virginia has enacted a legislated minimum wage schedule significantly above North Carolina's federal-floor rate: approximately $12.77/hr in 2026, rising to $13.75/hr in 2027 and $15.00/hr in 2028 under Virginia Code § 40.1-28.10, with CPI indexing from 2029. The $5.52/hr gap in 2026 is one of the larger differentials between adjacent states in the Southeast. For businesses operating near the NC/VA border, the applicable rate depends on where the work is performed.

Sources and verification

The rate and tipped rate were verified from the NC Department of Labor minimum wage page (labor.nc.gov). The statute reference is NCGS Chapter 95, Article 2A. The NC DOL states verbatim: "The minimum wage in North Carolina is currently $7.25 an hour." See the site's methodology for how rates are verified before publication.

Common questions

What is North Carolina's minimum wage in 2026?

North Carolina's minimum wage is $7.25 per hour in 2026, the same as the federal FLSA floor, under NCGS Chapter 95, Article 2A. The rate has been $7.25 since July 24, 2009. North Carolina has no scheduled state increase or CPI indexing — the rate rises only if Congress raises the federal minimum wage.

What is North Carolina's tipped minimum wage?

North Carolina allows a tipped employee cash wage of $2.13 per hour. Tips must bring total hourly compensation to at least $7.25/hr in every workweek. If tips fall short, the employer must pay the difference. The $2.13/hr direct wage has been unchanged since the federal tipped minimum was set, as confirmed from the NC Department of Labor (labor.nc.gov).

Does North Carolina have local minimum wages?

No confirmed local minimum wage ordinances above the state $7.25/hr floor exist in North Carolina as of the verification date of this page. Unlike some states (California, Washington, New York), North Carolina cities and counties do not currently set higher local minimum wages. Verify with NC DOL if you believe a local ordinance may apply.

Why does North Carolina have its own Wage and Hour Act if it just mirrors FLSA?

North Carolina's NCGS Chapter 95, Article 2A (NC Wage and Hour Act) provides state-level enforcement for employers below the FLSA enterprise coverage threshold (annual gross sales under $500,000). The federal FLSA does not cover those smaller employers by itself — but the state law does, giving NC DOL jurisdiction to investigate wage claims against small businesses. This is a meaningful practical difference from states with no statute at all.

Where do North Carolina workers file a minimum wage complaint?

North Carolina workers may file wage complaints with the NC Department of Labor Wage and Hour Bureau at labor.nc.gov. NC DOL can enforce the state Wage and Hour Act against all covered employers, including small businesses below the FLSA threshold. For FLSA-covered employers, workers may also contact the U.S. DOL Wage and Hour Division (dol.gov/whd).