Minimum Wage in Arkansas – weekly, monthly, annually

In Arkansas, the minimum wage is $11 per hour. This is $3.75 over the U.S. hourly minimum wage standard of $7.25.

Practically all employees are entitled to be paid this state minimum wage. There are, however, employees that are exempt from this minimum wage, such as some student workers, tipped employees, and some other occupations.

The tipped employee minimum wage in Arkansas is $2.63 per worked hour. If, however, the employee doesn’t make the state minimum rate of $11 an hour, the employer is required to pay the difference.

Full-time students engaged in a university’s work-learn project may be paid 85 percent of the Arkansas minimum standard, so $9.35 an hour, provided the job is for no more than 20 hrs/week.

But there are more categories that hold exempt status. For example, farm workers and domestic employees such as babysitters may also be exempt from Arkansas’ minimum pay requirements. More below.

Arkansas law requires that all employers display a state-certified Arkansas minimum wage poster prominently to inform their employees clearly about state minimum wage requirements and their rights under the state’s labor laws.

Arkansas Paycheck Calculator

Our Paycheck Calculator lets you calculate your hourly pay into weekly, monthly, and yearly wages.

How to use this Arkansas paycheck calculator

  1. First, enter your hourly earnings.
  2. Second, enter the number of worked hours per week.
  3. The calculator will inform you about how your numbers translate to weekly, monthly, or annual wages.

How the Arkansas paycheck calculator works

Understanding your wages is, for a lot of people, a relatively simple process. Every week, every two weeks, or by the end of the month, you will get your paycheck, and toward the end of the year, you will also get your tax forms.

For all these people, this process is quite straightforward. For employees working on an hourly basis, things could get more challenging. Our Paycheck Calculator gives you some insights into how your hourly pay relates to periodical earnings.

Time period Equation
Annual wages = hourly pay times
40 hours times 52 weeks
Monthly wages = annual pay divided by 12 months
Weekly wages = hourly pay times 40 hours

 

These results are generated by multiplying the base hourly salary by the number of hours, weeks, or months you work on a yearly basis, assuming that you’re working 40 hours per week.

Minimum Wage in Arkansas

So in Arkansas, the minimum wage is $11 an hour, which translates to $88 daily, $440 a week (if you work 40 hours), and $1907 per month. This translates to $22,880 per year.

So the current Arkansas minimum earnings are $11.00 per worked hour, and the minimum tipped wages are $2.63 per hour. Arkansas employers cannot pay less than $11.00 per hour except in situations and occupations that are exempt under state or federal law to get paid under the required minimum.

Exempt status

Arkansas allows exempt status for casual domestic workers like caregivers or babysitters, some farm workers, some Federal government employees, and workers at small newspapers. In Arkansas, the minimum wage laws only apply to businesses that employ four or more workers.

Full-time enrolled students may be paid 85% of the state minimum wage by employers that hold a so-called ‘Student Certificate of Eligibility. These students cannot work more than 20 hours per week on a part-time basis.

The U.S. FLSA (Federal Fair Labor Standards Act) allows certain workers to be paid less than the minimum wage in Arkansas. Here are the categories:

  • In Arkansas, employers can pay new employees younger than 20 years of age $4.25 per hour, but only during the first 90 days.
  • Arkansas college and high school students working part-time can be paid $9.35, provided they are full-time students. That’s 85% of Arkansas’ minimum wage, and it only applies to certain employers that, for example, offer work-study programs at colleges and universities.
  • Domestic employees, for example, babysitters and caregivers, may be exempt from Arkansas’ minimum wage requirements, as are some farm workers.
  • Tipped workers are exempt from Arkansas’ minimum wage requirements. These employees must earn at least $2.63 per worked hour.
  • Small newspapers are allowed to pay some workers less than the state minimum wage, and small businesses that employ less than four employees hold exempt status as well.

Income taxes in Arkansas

Usually, your paycheck will have state and federal taxes deducted. Arkansas has a progressive personal income tax system; the rates depend on your income. The following rates are for individuals in 2022:

$0 – $4,999:  0%
$5,000 – $9,999:  2%
$10,000 – $14,299:  3%
$14,300 – $23,599:  3.4%
$23,600 – $39,699:  5%
$39,700 – $84,500:  5.5%
Individuals with an income above $84,500 pay between 2% and 5.5%.

Arkansas overtime wage

All Arkansas employees that work more than 40 hours per week are entitled to earnings at least 1.5 times the standard minimum wage (so, $16.50) over those extra worked hours. Arkansas law does not specifically limit daily overtime hours.

The Federal Fair Labor Standards Act (FLSA) guarantees that all Arkansas employees will receive adequate compensation for each qualifying overtime hour that they work. If an employer does not provide adequate overtime hours compensation, file a claim with Arkansas’ Department of Labor.

What is considered work time?

Working time consists of the time that employees are at a location determined by an employer or on an employer’s premises during which the employees are on duty and perform functions and assignments determined by the employer.

Short breaks (up to 20 minutes) are also considered work time, but breaks for meals or any other non-work-related activity 30 minutes or longer are not considered working time.

If employees are required to attend training programs, conferences, or lectures as part of their jobs, the associated time is compensable. However, employers are not required to compensate employees if the worker’s attendance was voluntary or if the activities were not job-related.

Employers are not required to compensate workers for their normal daily commute, but if they have to travel, for example, from work to clients, or from client to client, that time is compensable.

Please note that this post doesn’t contain legal advice. If you have any questions about Arkansas’ minimum wage policies or minimum wage compliance, consult a tax professional or a tax attorney.