In 2026, the minimum wage in Nevada is a flat $12.00 per hour for all employees, with no separate, lower rate for tipped workers.
What you’ll learn
What you’ll learn
Key takeaways
- The current minimum wage in Nevada is $12 per hour for most workers, including both tipped and non-tipped employees
- Workers under 18, non-profit employees for after-school and summer employment, and trainees less than 90 days are exempt from the state minimum wage laws
- Employees earning less than $18 per hour are eligible for overtime rates of 1.5 times their usual pay rates
- Employers must make sure they keep their payroll system updated, meet or exceed the minimum wage, and make overtime payments when applicable
Understanding Nevada’s wage laws requires looking beyond that flat $12 baseline. Whether you are navigating the state’s unique daily overtime thresholds, applying exemptions for youth workers, or conducting internal payroll audits, this guide covers exactly what you need to do to keep your business compliant.
Current Nevada minimum wage rates
As of July 1, 2024, the statewide minimum wage rate is $12.00 per hour. Before this, Nevada had a two-tier minimum wage system with a lower wage tier for employees offered health insurance through their employers, but now there’s simply a flat minimum wage rate. The $12 minimum wage continues through 2026. At this time, there is no plan on the books for a state minimum wage increase.
Tip credits, when employers are able to count a portion of a tipped employee’s tips toward their obligation to pay a minimum wage, are not allowed by law in Nevada.
When both federal and state minimum wage laws are in place, employers must pay employees the higher of the two rates. Nevada’s statewide minimum wage exceeds the $7.25 federal minimum wage, so employers must apply the higher $12 state rate. Nevada’s rate is not among the highest state minimum wages, but it is still significantly more than the federal minimum.
Tipped employees
Many states have at least two separate minimum wage rates for non-tipped workers and for tipped workers. Typically, the tipped worker minimum wage is lower, on the assumption that tips will make up the difference. If employees don’t earn enough tips to bring their total hourly compensation up to the standard minimum wage rate, the employer must make up the difference.
For example, the federal standard allows tip credits. Employers need to pay tipped workers $2.13 per hour as a base rate but don’t owe any more as long as the employees’ tips bring their total compensation above the federal minimum wage of $7.25 per hour.
However, Nevada does not use this system. In Nevada, tipped employees are entitled to the same minimum wage rate as non-tipped employees: $12 per hour. If they earn any tips, that is simply additional income that does not affect how much their employers owe them.
Exemptions and special cases
Some employers and employees are exempt from the minimum wage in the state of Nevada, including:
- Workers under 18 years old
- Workers employed by non-profits for summer or after-school employment
- Workers who are trainees for no longer than 90 days
Independent contractors are also exempt from Nevada hourly pay minimum rates. Employers who aren’t subject to Nevada state minimum wage laws may still be covered by federal law. Make sure you comply with the Federal Labor Standards Act rules if they apply to your business, even if state laws do not.
Generally, though, any employer operating in Nevada must follow the state’s minimum wage laws, including individuals, sole proprietorships, and limited liability companies (LLCs). There are no exemptions based on the number of employees you have or how much you earn in yearly revenue.
Overtime and hours rules
Some state overtime laws are also connected to the minimum wage. In Nevada, any employee earning less than 150% percent of the state minimum wage, or $18 per hour, is entitled to overtime pay. That overtime rate is equal to time-and-a-half pay for every hour they work:
- Over 8 hours of work per 24-hour period
- Over 40 hours of work per work week
For example, say you have an employee who earns $16 per hour. That’s more than the minimum wage of Nevada, but it’s less than $18 per hour, so they qualify for overtime pay.
If this employee works 60 hours in a workweek, they earn their regular rate for the first 40 hours. But for the additional 20 work hours, you must pay them overtime at 150% of their usual hourly rate:
- 40 hours x $16 per hour = $640 regular pay
- 20 hours x $16 per hour x 1.5 overtime rate = $480 overtime pay
- $640 + $480 = $1,120 total workweek compensation
You would owe this worker $1,120 in total for their 60 hours of work this week.
Employer obligations for payroll compliance
It’s the employer’s responsibility to be familiar with the state minimum wage and any other applicable labor laws. Make sure you:
- Keep your payroll systems updated and accurate to reflect the amount of time each employee has worked and how much they’ve earned, including overtime pay.
- Pay employees the correct rates of at least $12 per hour, unless employees fit into the minor exemptions from the Nevada minimum wage laws.
- Avoid compliance violations, such as misclassifying employees as independent contractors not subject to minimum wage requirements.
- Be aware of applicable payroll tax rates, both federally and in Nevada.
Ensuring payroll compliance helps protect your business’s reputation and keeps you from facing legal penalties like fines.
Stress-free small business payroll
“OnPay is very convenient and user-friendly for paying employees. Our company loves their system, especially since we are a small business. My favorite things are the mobile accessibility and how user-friendly it is.”
— John Lewis, Brick Built LLC
Tools and strategies for staying compliant
Manually keeping track of how much each employee is working and how much they’ve earned can get overwhelming, especially as your business grows. Avoid compliance issues by relying on tools and best practices:
- Using automated payroll tools that track employee hours and earnings for you and stay on top of federal and state payroll updates
- Completing software checks to find and correct any errors before they become a problem
- Conducting internal audits to make sure you’re properly applying the minimum wage for all eligible employees.
Mastering Nevada payroll without the stress
Navigating Nevada’s wage laws and overtime requirements shouldn’t be the hardest part of running your business. Making sure your staff is paid accurately and on time helps you check the compliance box while building a positive workplace culture.
You’ll always need to stay informed about Nevada’s yearly wage changes, but you shouldn’t have to rely on manual spreadsheets to run your payroll. OnPay automates the hard parts by tracking exact wages, applying the correct daily overtime rates, and managing your recordkeeping. That way, you can step away from the back office and focus on growing your business. If you have any questions, our team is here to help!
Take a tour to see how easy payroll can be.
Jon Davis is the Sr. Content Marketing Manager at OnPay. He has over 15 years of experience writing for small and growing businesses. Jon lives and works in Atlanta.