The headline numbers
Reached $15.00 January 2025 per SB-1 (2019). Chicago higher ($16.20 for 21+ employees). Cook County higher than IL but lower than Chicago.
Illinois allows employers to take a tip credit of $6.00/hour against the full state minimum wage. That means the employer can pay you as little as $9.00/hour in direct wage, as long as your tips bring total earnings to at least $15.00/hour for the pay period. If tips fall short, the employer must make up the difference.
Tip pool rules
Tip credit allowed but state-specific notice requirements apply. Manager exclusion strictly enforced.
Universal rules that apply in every state regardless of tip credit status:
- Managers and supervisors cannot keep any portion of tips, even in a valid tip pool. This is a federal rule under FLSA Section 203(m)(2)(B) and applies in Illinois.
- Workers must keep all tips minus valid tip pool / tip-out contributions.
- If the employer uses a tip credit, only customarily tipped employees can be in the tip pool. To include BOH (cooks, dishwashers), the employer must pay full minimum wage to all participants.
Sidework and the 80/20 rule in Illinois
Illinois maintains an 80/20-style rule under state DOL guidance: time over 20% on non-tipped duties requires full minimum wage.
The federal 80/20 rule was struck down by the 5th Circuit in Restaurant Law Center v. DOL (2024) and is no longer enforceable as a federal regulation. Whether sidework time over 20% triggers full-minimum-wage protection in Illinois depends entirely on state-level enforcement. Fortunately, Illinois has its own active state-level sidework protections — see above.
Local minimums that may apply
Several cities and counties in the U.S. set higher minimum wages than their state. Local minimums always supersede state minimums where applicable. Check whether your city has its own ordinance:
- Chicago ($16.20+ for 21+ employees), Cook County (~$14.05+)
Notable state-specific items
- Chicago has higher local minimums than the state
- Cook County also higher
- One Fair Wage effort to eliminate tip credit ongoing
How to verify the current numbers
Wages, indexed minimums, and tip credit rules change. Always cross-check before relying on specifics:
- State labor agency: https://labor.illinois.gov/
- State revenue agency (for tax info): https://tax.illinois.gov/
- Federal DOL Wage and Hour Division: dol.gov/agencies/whd