Minimum wages in Missouri set to increase

Good news for the Missouri workforce, as the Missouri Department of Labor has announced an increase in the state minimum wage.

Rates for 2014 have been established, according to state law, at $7.50, effective January 1.

All businesses are required to pay at minimum, the $7.50 hourly rate, except retail and service businesses whose annual gross sales are less than $500,000. Per state law, the minimum wage rate is calculated once a year and may increase or decrease based on the cost of living as measured by the previous yearâ??s Consumer Price Index.

Missouri law does not allow the stateâ??s minimum wage rate to be lower than the federal minimum wage rate.

Compensation for tipped employees must also total at least $7.50 per hour. Employers are required to pay tipped employees at least 50 percent of the minimum wage, or the amount necessary to bring the employeeâ??s total compensation to a minimum of $7.50 per hour.

Missouri's minimum wages in 2012 were $7.25 and wages are now set at $7.35.