Tipped employees, such as servers, bartenders, and other hospitality workers, often have questions about their rights when it comes to overtime pay. Understanding how federal and Florida state laws apply to tipped employees is essential to ensure you’re being compensated fairly for your hard work.
What Does the Law Say About Overtime Pay?
Under the Fair Labor Standards Act (FLSA), most employees, including tipped workers, are entitled to overtime pay. Overtime is calculated as 1.5 times the employee’s regular hourly rate for any hours worked over 40 in a workweek. In Florida, tipped employees are also covered by the FLSA, but there’s an important distinction: tipped employees often receive a lower direct hourly wage because tips are expected to make up the difference to meet or exceed the minimum wage.
How Is Overtime Calculated for Tipped Employees?
For tipped employees, overtime pay is based on the full minimum wage, not the reduced tipped wage. In Florida, the minimum wage is higher than the federal minimum wage, and it increases annually. As of June 2025, the state minimum wage is $13.00 per hour, with a tipped minimum wage of $9.98 per hour. Here’s how overtime is calculated for a tipped employee in Florida: Start with the full minimum wage ($13.00/hour). Multiply it by 1.5 to get the overtime rate ($19.5/hour). Subtract the tip credit ($3.02/hour in Florida). The result is the tipped employee’s overtime rate ($16.48/hour). This ensures that tipped employees are fairly compensated for their overtime hours, even when their base hourly wage is lower.
Are There Exceptions to Overtime Pay?
While most tipped employees are entitled to overtime pay, there are some exceptions. For example: Small businesses: Employers with annual gross revenue under $500,000 and no interstate commerce involvement may not be required to pay overtime under the FLSA.Exempt employees: Certain roles, such as managerial positions, may be exempt from overtime requirements. It’s important to consult with an employment attorney to determine whether these exceptions apply to your situation.
What Should You Do If You’re Denied Overtime Pay?
If you believe your employer is not paying you overtime correctly, here are steps you can take:
- Document your hours: Keep detailed records of your hours worked, including overtime.
- Review your pay stubs: Check for discrepancies in your overtime pay.
- Speak with your employer: Address the issue directly with your employer or HR department.
- File a complaint: If the issue isn’t resolved, you can file a complaint with the U.S. Department of Labor (DOL) or the Florida Department of Economic Opportunity.
- Seek legal advice: An experienced employment attorney can help you understand your rights and take action if necessary.
Protect Your Rights as a Tipped Employee
Tipped employees work hard to provide excellent service, and they deserve to be compensated fairly, including overtime pay. If you have questions about your rights or believe your employer is not following the law, contact us today. Our experienced employment attorneys are here to help you navigate wage and hour disputes and ensure you receive the pay you’ve earned.
