How much can a teen be paid under federal law?

The federal youth minimum wage: $4.25 for 90 days

Federal law lets an employer pay a worker under 20 a youth minimum wage of $4.25 an hour — but only during the first 90 consecutive calendar days of employment with that employer. This is the single age-based subminimum in federal law. It is optional for the employer, not a rate teens are stuck with, and many states do not allow it at all.

Youth minimum wage

$4.25 per hour

Who it can apply to

Workers under 20 years old

How long

First 90 consecutive calendar days with the employer

Calendar or work days?

Calendar days — they run nonstop from day one

Note: The 90 days are counted as calendar days from the first day of work, not days actually worked — so the clock keeps running on days off.

Citation

29 USC § 206(g)(1)

After 90 days, or at age 20, the full minimum applies

The $4.25 youth wage ends the moment the worker has been employed 90 consecutive calendar days or turns 20 — whichever comes first. From then on the teen must be paid at least the full federal minimum wage of $7.25, or the higher state minimum where one applies. There is no permanent "teen wage" below that floor.

Ends after

90 consecutive calendar days — or at age 20, whichever is first

Full federal minimum wage

$7.25 per hour (unchanged since 2009)

If the state minimum is higher

The state rate applies (see your state)

A separate lower teen wage after 90 days?

No — the full minimum applies

Citation

29 USC §§ 206(a), 206(g)

Employers can't cut a worker to hire a teen at $4.25

The youth wage comes with a guardrail: an employer may not displace any employee — including by cutting their hours, wages, or benefits — in order to hire someone at the $4.25 youth minimum wage. The rule exists so the subminimum cannot be used to push out higher-paid workers.

Displacing another worker

Prohibited to make room for a youth-wage hire

Cutting hours / wages / benefits

Counts as displacement — not allowed

Enforced by

US DOL Wage and Hour Division

Penalty

Loss of the youth-wage allowance + back wages

Citation

29 USC § 206(g)(2)

Student certificates: 85% (full-time) and 75% (student-learner)

Two other federal subminimums can reach teens, but only with a Department of Labor certificate the employer must apply for. A full-time student in retail, service, agriculture, or at their college can be paid no less than 85% of the minimum wage; a student-learner enrolled in a vocational-education program can be paid no less than 75%. Both come with hour limits and paperwork — they are not automatic.

Full-time student program

≥ 85% of minimum wage (about $6.16 federally)

Student-learner program

≥ 75% of minimum wage (about $5.44 federally)

Required

An employer-held DOL Wage & Hour certificate

Hour limits (full-time student)

Generally ≤ 8 hrs/day, ≤ 20 hrs/week in school

Note: Without an issued DOL certificate, neither subminimum is legal — the regular minimum wage applies. These programs are uncommon for ordinary teen jobs.

Citation

29 USC § 214(a)–(b); 29 CFR Part 519; 29 CFR Part 520 Subpart C

Tipped teens: $2.13 cash if tips reach the full minimum

A tipped worker of any age can be paid a federal cash wage as low as $2.13 an hour, as long as their tips bring them up to at least the full minimum wage for every hour. If tips fall short, the employer must make up the difference. The tip rules are the same for teens as for adults — and several states ban the tip credit entirely, requiring the full minimum in cash before tips.

Federal tipped cash wage

$2.13 per hour

Maximum tip credit

$5.12 per hour ($7.25 − $2.13)

If tips don't reach the minimum

Employer must pay the difference

Age-specific tipped rule?

No — same rule at any age

Note: Some states set a higher tipped cash wage or require the full minimum before tips. The binding figure is your state's — verify with your state labor department.

Citation

29 USC § 203(m), (t)

State minimum wage usually applies — and the higher wage wins

Most states now set a minimum wage above the federal $7.25, and where they do, that higher rate is what a teen must be paid. The federal floor only governs in the handful of states at $7.25 or with no state minimum. Some states also ban the youth subminimum, the student certificates, or the tip credit — so the structure, not just the dollar figure, can differ. State rates change almost every January, so always confirm the current number locally.

Conflict rule

The higher of state and federal applies (29 USC § 218(a))

States above $7.25

Most — their rate binds, including for teens

Youth / tip subminimum

Some states prohibit it outright

How often state rates change

Frequently — many index to inflation each year

Note: Teenwork does not publish a per-state dollar figure that would go stale — use your state page or state labor department for the current minimum wage.

Citation

29 USC § 218(a)

Compare teen labor rules across all 50 states →