As of January 1, 2025, the Illinois minimum wage is $15.00 per hour for most workers statewide — and it applies to virtually all employers regardless of size. Chicago and Cook County maintain higher local rates. Tipped employees, minors, and workers with disabilities have different rates under Illinois law, and overtime rules add an additional layer of protection for workers putting in more than 40 hours per week.
What Is the Current Illinois Minimum Wage in 2026?
The Illinois minimum wage reached $15.00 per hour on January 1, 2025, completing a multi-year phase-in mandated by the Illinois Minimum Wage Law (820 ILCS 105/). The rate applies statewide to employees 18 and older. Illinois became one of the first states in the Midwest to reach a $15 floor.
Future increases are tied to the Consumer Price Index (CPI), meaning the rate may adjust upward in subsequent years based on inflation. Check the Illinois Department of Labor website for the most current rate if you are reading this after 2026.
What Is the Minimum Wage in Chicago in 2026?
Chicago sets its own, higher minimum wage that increases each July 1. The Chicago minimum wage is above the statewide $15.00 floor for most employees. Chicago’s rate varies depending on employer size (employers with 21 or more employees vs. 4–20 employees). Workers in Chicago should confirm the current rate with the Chicago Office of Labor Standards, as the annual adjustment occurs every July 1st.
Cook County also maintains a minimum wage above the state rate, applicable to unincorporated areas and municipalities that have not opted out of the county ordinance.
What Is the Minimum Wage for Tipped Workers in Illinois?
Under Illinois law, tipped employees — those who regularly receive more than $20 per month in tips — may be paid a lower base wage of 60% of the standard minimum wage. At the current $15.00 statewide rate, the tipped minimum cash wage is $9.00 per hour. However, the employer is legally required to ensure that the employee’s base wage plus tips equal at least the full $15.00 per hour minimum. If they don’t, the employer must make up the difference — this is called the “tip credit” rule.
What Is the Minimum Wage for Minors (Under 18) in Illinois?
Workers under the age of 18 may be paid a youth minimum wage of $13.00 per hour (50 cents per hour less than the adult rate is no longer the rule; under the current statute, minor wage is $0.50 less per hour than the adult minimum wage). Employers who employ more than 50 employees and have minors on staff must meet this lower threshold. Note that minors working in Chicago may be entitled to Chicago’s higher rate depending on employer size and local ordinance.
How Does Overtime Pay Work in Illinois?
Under both federal law (the Fair Labor Standards Act, or FLSA) and Illinois law (820 ILCS 105/4a), eligible employees must be paid at least 1.5 times their regular hourly rate for every hour worked beyond 40 hours in a single workweek. There is no daily overtime threshold in Illinois — only weekly.
Certain categories of workers are exempt from overtime: executive, administrative, and professional employees who meet specific salary and duties tests (currently a federal salary threshold of $684 per week for FLSA exemptions); highly compensated employees; and certain commissioned sales employees. Misclassifying an employee as “exempt” to avoid paying overtime is one of the most common wage theft violations in Illinois.
What Should I Do If My Employer Is Paying Me Less Than Minimum Wage?
If you suspect your employer is violating the Illinois Minimum Wage Law — by paying below the minimum wage, improperly taking a tip credit, making unlawful deductions, or failing to pay overtime — you have legal remedies. You can file a complaint with the Illinois Department of Labor (IDOL) or sue your employer directly. Damages typically include unpaid wages plus an additional penalty equal to 2% of the underpayment for each month the wages were withheld, plus attorney’s fees.
Frequently Asked Questions
Is the Illinois minimum wage $15 per hour in 2026?
Yes. Illinois reached the $15.00 per hour minimum wage on January 1, 2025, and that rate remains in effect in 2026. Future annual adjustments tied to the CPI may increase the rate further — check the Illinois Department of Labor’s website for any updates.
Does Chicago have a higher minimum wage than Illinois?
Yes. Chicago sets a local minimum wage that exceeds the state floor and adjusts upward every July 1. Employers with 21 or more employees in Chicago are subject to the higher city rate. Workers employed in Chicago should check with the Chicago Office of Labor Standards for the current rate.
Can my employer pay me less than minimum wage if I receive tips?
Your employer may pay you a reduced cash wage (the tipped minimum), but only if your tips bring your total hourly earnings to at least $15.00 per hour. If tips are insufficient, the employer must pay the difference. Failure to make up the shortfall is a wage theft violation.
Am I entitled to overtime pay in Illinois?
Most hourly employees in Illinois are entitled to overtime at 1.5 times their regular rate for hours worked beyond 40 per week. Exempt employees — including certain managers, professionals, and some commissioned workers — may not qualify. If you are unsure whether you are properly classified, consult an employment attorney.
What can I do if my employer is not paying me minimum wage?
You can file a wage claim with the Illinois Department of Labor or bring a private lawsuit. Recoverable damages include unpaid wages, a 2% monthly penalty on the unpaid amount, and attorney’s fees. The statute of limitations for Illinois minimum wage claims is three years from the date of the violation.
Do small businesses in Illinois have to pay the $15 minimum wage?
Yes. Unlike some states, Illinois does not have a lower minimum wage tier for small businesses. Employers of all sizes — even those with just one employee — must pay the state minimum wage of $15.00 per hour to eligible adult workers.
Contact Atlas Law Center for a free consultation at (630) 394-6350 (Employment Law). If your employer is not paying you what the law requires, we can help you recover what you are owed.