Indiana Overtime & Paycheck Calculator
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Visual Pay Composition Breakdown
Managing payroll or shift workers in CALIFORNIA?
Avoid Department of Labor non-compliance fines. Automate state-specific overtime, double-time rules, tip credits, and statutory tax withholdings with Gusto Payroll Automation.
Indiana Statutory Wage & Overtime Authority
Statutory Legal Citation: IC 22-2-2-4
Indiana adopts federal FLSA minimum wage ($7.25/hr) and weekly overtime standards (1.5x regular rate over 40 hours).
Employee Statutory Rights (IN)
- ✓ Minimum wage of $7.25/hr with time-and-a-half overtime over 40 hours.
- ✓ Tipped employee direct cash rate of at least $2.13/hr.
- ✓ Right to receive full pay on regular paydays at least biweekly.
Employer Mandatory Obligations (IN)
- § Pay employees within 10 days of the end of the pay period.
- § Maintain accurate FLSA time logs for at least 3 years.
- § Make up any tip credit shortfall below $7.25/hr.
Indiana Statutory Wage & Overtime FAQs
What is the minimum wage in Indiana for 2026? ↓
Under statutory citation IC 22-2-2-4, the 2026 minimum wage in Indiana is $7.25 per hour. Employers paying below this baseline face Department of Labor back-pay audits and statutory interest penalties.
Does Indiana mandate daily overtime pay? ↓
Indiana follows the standard federal FLSA rule (Title 29 U.S.C. § 207). Overtime is calculated weekly for hours exceeding 40 hours in a 7-day workweek with no daily cap.
Can employers in Indiana take a tip credit against wage rates? ↓
Indiana permits employers to claim a maximum tip credit of $5.12/hr against tipped staff, requiring a minimum direct cash wage of $2.13/hr.
Common Indiana Payroll Compliance Traps & Audit Penalties
Delayed wage payments past 10-day pay period limit.
Failing to pay overtime on total regular rate including bonuses.
Unlawful cash register shortage deductions.
Did Your Employer Violate Indiana Labor Law?
30-Second Diagnostic • Sourced from IC 22-2-2-4
Based on Indiana labor code standards (IC 22-2-2-4), your responses indicate potential statutory wage violations.
Never Miss an Overtime Dollar or Statutory Rate Update
Set weekly payday audit reminders & Indiana labor code alert updates
Add a recurring Friday payday paystub audit reminder directly to your phone calendar.
Employer Statutory Violation & Penalty Risk Audit
Department of Labor & State Compliance Fine Exposure in Indiana
Under FLSA § 216(b), mandatory double back pay is assessed for unpaid overtime.
1 hour regular rate premium pay per workday missed under state law.
Waiting time statutory penalties for delayed final paycheck settlement.
Automate state-specific overtime thresholds, tip credits, and meal breaks with Gusto Payroll & multi-state compliance partners.
FLSA & IN Overtime Exemption Checklist
Determine if an employee is legally exempt from overtime under state and federal law
Earns at least $844/week ($43,888/yr federal minimum) or state higher threshold (e.g. CA $66,560/yr).
Primary duty involves managing business operations, directing 2+ staff, or exercising independent judgment.
Receives a predetermined, non-deductible salary regardless of quality or quantity of weekly work.
Managing payroll or shift workers in Indiana?
Avoid Department of Labor non-compliance fines. Automate state-specific overtime, double-time rules, tip credits, and statutory tax withholdings with Gusto Payroll Automation.
Embed This Indiana Calculator on Your Website
HR blogs, news portals, and labor websites can embed this interactive 2026 Indiana wage tool for free using the code snippet below: