Nebraska Minimum Wage 2026: , Tipped Pay, and Paid Sick Time
Quick answer: Nebraska’s 2026 minimum wage is $15. Tipped employees may receive a $2.13 direct cash wage only when tips bring total pay to the full minimum.
The minimum wage
Nebraska’s scheduled increase reached $15 per hour on January 1, 2026. Higher federal-contract or contractual rates remain applicable where required.
Tipped employees
Nebraska permits a direct cash wage of at least $2.13 for qualifying tipped workers. Cash wages plus tips must reach $15, and the employer must pay any shortfall.
Overtime
Covered nonexempt employees generally receive overtime after 40 hours. A non-tipped minimum-wage employee has a basic overtime rate of $22.50.
Tipped overtime must start with the full regular rate rather than $2.13.
Paid sick time
The Nebraska Healthy Families and Workplaces Act became effective October 1, 2025. Covered employers must comply with accrual, use, notice, and recordkeeping rules.
Paid sick leave generally is not hours worked for the federal overtime threshold.
Payroll checklist
- Pay at least $15
- Monitor tip shortages
- Calculate overtime correctly
- Maintain sick-time balances
- Give required notices
- Separate leave from worked hours
Frequently Asked Questions
What is Nebraska’s 2026 minimum wage?
$15.
What is the tipped cash wage?
At least $2.13 when legal conditions are met.
Must a tip shortage be paid?
Yes.
When did paid sick time begin?
October 1, 2025.
Does sick leave count toward federal overtime?
Generally no.
Official Sources
- Nebraska Department of Labor — Minimum Wage
- Nebraska Minimum Wage FAQ
- Nebraska Healthy Families and Workplaces Act
This article is for general educational purposes and is not legal, tax, accounting, payroll, or employment advice. Rules can change and may differ by state, locality, occupation, employer, and employee circumstances.
This calculator is for educational purposes only. Consult your employer or a labor attorney for advice specific to your situation.