PA Department of Labor & Industry • 34 Pa. Code § 231.111

Pennsylvania Tipped Wage & 80/20 Tip Credit Calculator

Verify Pennsylvania’s $2.83 cash wage floor, maximum $4.42 tip credit, 80/20 supporting work restrictions, and $135 monthly threshold under updated Department of Labor & Industry regulations.

Pennsylvania Tipped Wage & 80/20 Tip Credit Calculator

Enforce Pennsylvania’s $2.83 cash wage floor, 80/20 supporting work restrictions, and $135 monthly threshold under 34 Pa. Code § 231.101a and § 231.111.

Automatically derived as hours exceeding 40 in standard workweek model.

Pennsylvania 80/20 Duties Allocation (34 Pa. Code § 231.111)

Must sum to total weekly hours

Serving, waiting, bartending

Prep, rolling silverware (max 20%)

Repairs, bookkeeping (0% tip credit)

Must exceed $135.00/mo (34 Pa. Code § 231.101a)

Under 34 Pa. Code § 231.111(b) and 29 U.S.C. § 203(m)(2)(A), tip credit cannot be certified without verified statutory notice.

Pennsylvania Tipped Worker Legal Protections

Direct Cash Wage Floor & Make-Up Pay

Under 34 Pa. Code § 231.101a, Pennsylvania employers must pay at least $2.83/hr in direct cash wages out of pocket. Even if an employee earns hundreds of dollars in tips, the employer cannot pay less than $2.83. Furthermore, if direct cash plus tips averages less than $7.25/hr across all hours, the employer must pay make-up pay to satisfy the statutory minimum.

The 80/20 Rule for Directly Supporting Work

In 2022, Pennsylvania finalized comprehensive regulations (52 Pa.B. 6271) restricting tip credits. Work is divided into three distinct categories: tip-producing work, directly supporting work, and unrelated work. If directly supporting tasks exceed 20% of the weekly hours worked, all excess hours must be paid at the full $7.25 minimum wage. Unrelated tasks must never be credited against tips.

Need detailed rules on tip pooling, managers, and credit card processing fee limits?Read the Complete Pennsylvania Tipped Wage Guide →