Montana’s commitment to fair wages is reflected in its minimum wage law, ensuring that workers receive a fair hourly rate. As of the latest adjustment, the current minimum wage in Montana is $10.55 per hour. This rate is subject to annual review and potential increases based on the cost of living.
This adjustment is calculated using the Consumer Price Index (CPI). The Montana Department of Labor & Industry (DLI) evaluates the CPI each year, comparing August of the previous year to August of the current year. If the CPI has increased, the minimum wage is adjusted accordingly, rounded to the nearest five cents. This ensures that the minimum wage keeps pace with inflation, maintaining the purchasing power of Montana’s lowest-paid workers.
It’s important to note an exception for very small businesses. Businesses not covered by the Fair Labor Standards Act with gross annual sales of $110,000 or less are permitted to pay a minimum wage of $4.00 per hour. However, this exception is limited. If an employee of such a business is involved in interstate commerce – producing goods for sale across state lines, for example – they must be paid the full Montana minimum wage or the federal minimum wage, whichever is greater.
Under Montana law, employers must also be aware that there are no tip credits, meal credits, or training wages allowed. Employees must be paid the full minimum wage for all hours worked.
For employers in Montana, staying compliant with wage and hour laws is essential. While not mandatory, posting the Montana Wage & Hour Poster is highly recommended as a best practice. This poster, along with other required labor law postings, helps ensure employees are informed of their rights and employers are adhering to state regulations.
For more detailed information and to access official resources, you can download the Montana Wage & Hour Posters for both 2024 and 2025 in English and Spanish from the Department of Labor & Industry website. You can also find determination letters outlining the minimum wage calculations and access FAQs for further clarification on Montana’s wage and hour laws. These resources are invaluable for both employers and employees to understand their obligations and rights under Montana’s minimum wage regulations.
