Tipped Wage Calculator

Enter your cash wage, hours and tips to see your state's tip credit, whether you reach minimum wage, and your take-home pay after taxes on tips.

Pre-tax deductions (401(k), health, HSA)

Take-home pay (biweekly)

$675.59

$17,565.26 per year

  • Federal 1.8%
  • State 1.4%
  • FICA 7.6%
  • Pre-tax 0%
  • Take-home 89.2%
  • Minimum wage in Arkansas: $11.00/hr
  • Your cash wage: $2.63/hr · tips: $10.00/hr · combined: $12.63/hr
  • Tip credit your employer is taking: $8.37/hr (maximum $8.37)
  • Taxes on tips come out of your wages, so the paycheck itself (wages minus all withholding) is about $75.59.
Paycheck breakdown
Per paycheckAnnual
Gross pay includes $600.00 tips$757.80$19,702.80
Federal income tax$13.86$360.28
Arkansas income tax$10.38$270.00
Social Security 6.2% up to $184,500$46.98$1,221.57
Medicare$10.99$285.69
Total tax$82.21$2,137.54
Total deductions$82.21$2,137.54
Net take-home$675.59$17,565.26

Effective tax rate 10.8% · Federal bracket 10% · AR withholding rate 3.4%

  • Hours per week: 30 regular (weekly 40-hour rule).

Local taxes: Arkansas cities and counties do not levy a local income tax on wages, so no local withholding applies.

Tipped wages by state (verified)

StateMinimum wageTipped cash wageMax tip credit
Federal (FLSA)$7.25$2.13$5.12
Alabama$7.25$2.13$5.12
Alaska$14.00$14.00Not allowed
Arizona$15.15$12.15$3.00
Arkansas$11.00$2.63$8.37
California$16.90$16.90Not allowed
Colorado$15.16$12.14$3.02
Connecticut$16.94$6.38$10.56
Delaware$15.00$2.23$12.77
Florida$15.00$11.98$3.02
Georgia$7.25$2.13$5.12
Hawaii$16.00$14.75$1.25
Idaho$7.25$3.35$3.90
Illinois$15.00$9.00$6.00
Indiana$7.25$2.13$5.12
Iowa$7.25$4.35$2.90
Kansas$7.25$2.13$5.12
Kentucky$7.25$2.13$5.12
Louisiana$7.25$2.13$5.12
Maine$15.10$7.55$7.55
Maryland$15.00$3.63$11.37
Massachusetts$15.00$6.75$8.25
Michigan$13.73$5.49$8.24
Minnesota$11.41$11.41Not allowed
Mississippi$7.25$2.13$5.12
Missouri$15.00$7.50$7.50
Montana$10.85$10.85Not allowed
Nebraska$15.00$2.13$12.87
Nevada$12.00$12.00Not allowed
New Hampshire$7.25$3.27$3.98
New Jersey$15.92$6.05$9.87
New Mexico$12.00$3.00$9.00
New York$17.00$11.35$5.65
North Carolina$7.25$2.13$5.12
North Dakota$7.25$4.86$2.39
Ohio$11.00$5.50$5.50
Oklahoma$7.25$2.13$5.12
Oregon$15.55$15.55Not allowed
Pennsylvania$7.25$2.83$4.42
Rhode Island$16.00$3.89$12.11
South Carolina$7.25$2.13$5.12
South Dakota$11.85$5.93$5.92
Tennessee$7.25$2.13$5.12
Texas$7.25$2.13$5.12
Utah$7.25$2.13$5.12
Vermont$14.42$7.21$7.21
Virginia$12.77$2.13$10.64
Washington$17.13$17.13Not allowed
West Virginia$8.75$2.62$6.13
Wisconsin$7.25$2.33$4.92
Wyoming$7.25$2.13$5.12

Source: U.S. Department of Labor, Wage and Hour Division, Minimum Wages for Tipped Employees (effective July 1, 2026). For states not yet verified, the calculator uses the federal values and says so. Local minimum wages aren't included.

Tipped wage FAQs

What is the federal tipped minimum wage?
$2.13 an hour in cash wages, with a tip credit of up to $5.12, so tips must bring the total to at least $7.25. States can require more.
What happens if my tips don't reach minimum wage?
Your employer has to make up the difference so cash wage plus tips equals at least the minimum wage for the workweek. The calculator shows the shortfall when there is one.
Why is my paycheck so small when I make good tips?
Reported tips are wages for federal income tax, Social Security, Medicare and state tax. That tax comes out of your cash wages, so a small cash wage can be mostly or entirely withheld.
Does this include the new federal deduction for tips?
No. The calculator shows standard paycheck withholding. Any annual deduction for qualified tips you claim on your tax return is not applied here.

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