DC Tip Credit Phase-Out Begins: Compliance Reminder

by | Apr 20, 2023

The minimum base wage for tipped employees in the District of Columbia will increase to $6 per hour on May 1, 2023. Just two months later on July 1, it will increase to $8 per hour.

The full tip credit phase-out schedule is as follows:

May 1, 2023: $6 per hour
July 1, 2023: $8 per hour
July 1, 2024: $10 per hour
July 1, 2025: $12 per hour
July 1, 2026: $14 per hour
July 1, 2027: same as the regular minimum wage (employers can’t take a tip credit)

Not sure how this applies to your business?

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