Tipped Minimum Wage in Montana

How the Tip Credit Works

Under federal law, employers can pay tipped employees a cash wage as low as $2.13 per hour and claim a 'tip credit' for the difference — but only if tips bring the worker up to at least the full minimum wage. If tips fall short, the employer must make up the gap.

Tipped Wages in Montana

Montana does not allow a tip credit. Tipped employees must be paid the full state minimum wage in cash, with tips on top.

Staying Compliant

Track tipped hours and tips so you can show that cash wages plus tips met the full minimum for every shift — the most common tipped-wage claim is exactly that they didn't.

Montana Labor-Law Snapshot

Montana does not allow a tip credit, so tipped staff earn the full $10.85 before tips. The Montana minimum wage is $10.85/hour (about $3.60 above the federal $7.25), so a tipped worker's effective floor tracks that figure.

For Montana employers these rules interact with timekeeping: accurate, audit-logged hours drive overtime, final pay, and break records. Montana sets no statewide meal-break requirement and does not mandate paid rest breaks; a final paycheck is due by the next payday or within 15 days, whichever is sooner when an employee resigns. Confirm current Montana figures with the state labor office before relying on any single number.

Official Sources

• U.S. DOL — Minimum wage by state
• U.S. DOL — State overtime
• U.S. DOL — State labor offices

More Montana Guides

Tipped Minimum Wage in Other States

Montana Tipped Minimum Wage: Frequently Asked Questions