January 1, 2021

Colorado minimum wage update

  • Effective January 1, 2021, the state minimum wage is $12.32 per hour, and is applicable to all employees whether employed on an “hourly, piecework, commission, time, task, or other basis”.
  • Effective January 1, 2021, the state minimum wage for tipped employees is $9.30 per hour. Tipped employees are those engaged in an occupation that regularly receive more than $30.00 per month in tips.
  • For tipped employees, employers may use a maximum tip credit of $3.02 per hour to meet the state 2021 minimum wage of $12.32 per hour. If a deficit exists between the state minimum wage and the employee’s base wage plus tips, the employer must make up the difference.
  • For persons in highly technical computer-based occupations, they must receive at least a minimum hourly wage of $28.38 or the equivalent of the weekly minimum salary for exempt, white collar employees which is $778.85 per week effective January 1, 2021.
  • For more information please visit the Colorado Department of Labor and Employment website.

By Megan Butz
General Counsel, HR Compliance, Checkwriters
Megan joined Checkwriters in 2020 and is responsible for reviewing, revising, and implementing internal policies of the company, advising on human resource, employment, and labor matters, and monitoring and publishing state and federal legal updates to the Checkwriters News and Compliance Center for distribution to thousands of clients around the country. Before joining Checkwriters, Megan served as a judicial law clerk for the justices of the Massachusetts Probate and Family Court performing legal research and writing, followed by private practice in Cape Cod.

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