Delaware tip laws (2026)
Delaware's minimum wage is $15.00 an hour, and tipped workers can be paid as little as $2.23 cash, a $12.77 tip credit. Tip pools are mostly up to the workers. An employer can require sharing only when several direct-service workers serve the same customer, capped at 15% of the main server's tips.
Delaware at a glance
Tip credit allowedDelaware: $15.00 an hour minimum wage. Tipped staff can be paid $2.23 cash, with up to $12.77 counted from tips.
| State minimum wage | $15.00/hr | Statewide from .[1] |
|---|---|---|
| Tipped cash wage | $2.23 | Plus up to $12.77 in tips = $15.00.[1] |
| Max tip credit | $12.77 | Counted from tips.[2] |
| Tip pooling | Allowed | Mandatory pools: it depends.[1] |
| Card-fee deduction | Not allowed | The full tip goes to the worker.[3][4] |
| Card tip payout | The employer can't keep tips. | Federal rules put collected tips on the regular payday. Wages are due within 7 days of the period's end.[1][5][6] |
| Local minimum wages | None | None on file. |
Rates verified against the Delaware Department of Labor, Division of Industrial Affairs, Office of Wage and Hour Enforcement on . Rates as of . Tipped totals are worked out from the rates above. Download this data (CSV)
02The yes/no sheet
Can you do this in Delaware?
In Delaware you can take a tip credit of up to $12.77 an hour and can't take card processing fees out of tips. Each answer below carries its condition and an official source.
| Number | Can you… | Answer | The condition |
|---|---|---|---|
| 01 | Take a tip credit against minimum wage? | Yes | Pay at least $2.23 cash and count up to $12.77 in tips. Tips must cover the gap.[2][1] |
| 02 | Make staff join a tip pool? | Depends | Only when several direct-service workers serve the same customer, capped at 15% of the main server's tips.[1] |
| 03 | Include bartenders, bussers, runners and hosts? | Depends | Bartender, busser, food runner and host: has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1][6] |
| 04 | Include cooks and dishwashers? | Depends | Pools are for direct-service workers. Cooks and dishwashers don't qualify just because they're paid the full minimum. Actual duties decide.[1] |
| 05 | Give managers or supervisors a share? | No | The employer can't take any of the tips, and federal rules keep managers out of pools. Pools stay among direct-service workers.[1][6] |
| 06 | Let an owner keep any of the tips? | No | The employer can't take any part of workers' tips. Federal owner and manager rules also apply.[1][6] |
| 07 | Pick your own split (hours, points or percentages)? | Depends | Required sharing for a shared customer can't top 15% of the main server's tips. That cap isn't stated for voluntary pools.[1] |
| 08 | Take card processing fees out of tips? | No | The worker gets the full tip on the slip.[3][4] |
| 09 | Hold card tips until payday? | Deadline | The employer can't keep tips. Federal rules put collected tips on the regular payday. Wages are due within 7 days of the period's end.[1][5][6] |
| 10 | Cover walkouts, breakage or register shortages from tips? | No | Not from tips.[1][5][3][4] |
| 11 | Keep a mandatory service charge for the house? | Depends | Only if you clearly tell guests it doesn't go to staff.[1] |
Not covered here? Ask the Delaware Department of Labor, Division of Industrial Affairs, Office of Wage and Hour Enforcement at 302-761-8200, option 3 or on industrialaffairs.delaware.gov/wage-hour.
03State vs federal
Delaware vs federal law
Delaware sets a stricter rule than federal law on 4 of the 10 rules below, starting with a $15.00 minimum wage against the federal $7.25. Where the two differ, the rule that is better for the worker applies.
| Rule | Federal (FLSA) | Delaware | Comparison |
|---|---|---|---|
| Minimum wageStricter | Federal$7.25[6] | Delaware$15.00[1] | Stricter |
| Tipped cash wageStricter | Federal$2.13[6] | Delaware$2.23[1][2] | Stricter |
| Max tip creditHigher credit | Federal$5.12[6] | Delaware$12.77[2] | Higher credit |
| Who counts as tippedState rule | FederalMore than $30 a month in tips, customarily and regularly received in the occupation.[6] | DelawareCustomarily and regularly gets more than $30 a month in tips.[1] | State rule |
| Managers in the poolState rule | FederalManagers/supervisors meeting the executive duties test cannot keep employees’ tips or receive from pools; they may keep only tips received directly for services they directly and solely provide. No salary-level test is used for this tip restriction.[6] | DelawareThe employer can't take any of the tips, and federal rules keep managers out of pools. Pools stay among direct-service workers.[1][6] | State rule |
| Kitchen in the poolState rule | FederalCooks and dishwashers may join a nontraditional mandatory pool only when all workers receive a direct cash wage of at least the full federal minimum wage and no tip credit is taken; employer/managers/supervisors remain excluded. State law may be stricter.[6] | DelawarePools are for direct-service workers. Cooks and dishwashers don't qualify just because they're paid the full minimum. Actual duties decide.[1] | State rule |
| Card fees from tipsStricter | FederalOnly the actual proportional credit-card transaction fee may be deducted from charged tips; no deduction exceeding that fee or reducing required minimum wages; state law may forbid even that deduction.[6] | DelawareNot allowed[3][4] | Stricter |
| Card tip payoutState rule | FederalCharged tips due by regular payday, without waiting for processor reimbursement. Employer-administered pools fully distributed by regular payday for the workweek/pay period; if the amount/distribution cannot be determined before payroll, distribute as soon as practicable afterward.[6] | DelawareThe employer can't keep tips. Federal rules put collected tips on the regular payday. Wages are due within 7 days of the period's end.[1][5][6] | State rule |
| Mandatory service chargesStricter | FederalA compulsory service charge is not an FLSA tip. Amounts distributed to employees are wages that may satisfy wage obligations and must enter the regular rate for overtime. This federal wage classification does not decide contractual or state-law ownership.[6] | DelawareStaff's money unless you tell guests otherwise[1] | Stricter |
| Overtime for tipped staffState rule | FederalFor covered nonexempt employees, overtime generally begins after 40 hours in a workweek. Use the full regular rate, at least the full federal minimum wage, not $2.13; the hourly tip credit is not increased for overtime. Voluntary tips above the tip credit are excluded; distributed service charges enter the regular rate.[6] | DelawareOvertime after 40 hours uses the full regular rate, not the cash wage. The tip credit doesn't grow. Distributed service charges count toward the rate.[6][7] | State rule |
Every state starts from the same federal floor. Federal tip law baseline: the FLSA rules, rates and sources, and how Delaware fits among the four tip credit classes.
04Wages
Minimum wage and the tip credit in Delaware
In Delaware employers can pay tipped staff $2.23 an hour and count up to $12.77 in tips toward the $15.00 minimum. If tips fall short, the employer makes up the difference.[2]
One server, one slow 30-hour week in Delaware
A busy week with $383.10 or more in tips needs no top-up. Every tip above that is the server's. Fictional worker and tips.
Other rates
| Rate | Hourly |
|---|---|
| Tier Covered restaurant/bar employeesThe state minimum. Some statutory exemptions still apply. Since .[1] | $15.00 |
| Youth or training Workers ages 14–17No general age discount; tipped workers may receive $2.23 cash with qualifying tips. Work permits and child-labor restrictions still apply.[11] | $15.00 |
Scheduled increases
No statewide increase with a published amount is on file as of .
05Local rates
City and county minimum wages in Delaware
No city or county minimum wages above the $15.00 state rate are on file for Delaware.
06Tip pool
Who can be in the tip pool in Delaware
Delaware allows tip pools. Owners, managers and supervisors can't share in them. A tip pool collects tips and splits them among staff; a tip-out is one worker handing part of their tips to others.
| Role | Can share? | Condition |
|---|---|---|
| Front of house | ||
| Server | Depends | Has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1] |
| Bartender | Depends | Has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1] |
| Busser | Depends | Has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1] |
| Food runner | Depends | Has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1] |
| Host | Depends | Has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1] |
| Barback | Depends | Has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1] |
| Expo | Depends | Has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1] |
| Back of house | ||
| Cook | Depends | Has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1] |
| Dishwasher | Depends | Has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1] |
| Leadership | ||
| Shift lead | Depends | Has to be a direct-service worker. Paying the full minimum doesn't let back-of-house staff in.[1][6] |
| Manager or supervisor | Not allowed | The employer gets no share of workers' tips. Federal manager rules also apply.[1][6] |
| Owner | Not allowed | The employer gets no share of workers' tips. Federal manager rules also apply.[1][6] |
- Managers and supervisors
- The employer can't take any of the tips, and federal rules keep managers out of pools. Pools stay among direct-service workers.[1][6]
- Owners
- The employer can't take any part of workers' tips. Federal owner and manager rules also apply.[1][6]
- Back of house
- Pools are for direct-service workers. Cooks and dishwashers don't qualify just because they're paid the full minimum. Actual duties decide.[1]
- Who sets the percentages
- Workers set up voluntary pools with no employer pressure. Required sharing is only for a shared customer, capped at 15%.[1]
- Cap on what a pool can take
- Required sharing for a shared customer can't top 15% of the main server's tips. That cap isn't stated for voluntary pools.[1]
- Pooling allowed
- Yes. Workers can run a voluntary pool among direct-service staff. The employer can't push it, with one narrow exception.[1]
Tip pools
Workers run the pool, mostly
Delaware lets direct-service workers set up their own pool. The employer can require sharing in one case only, and the cap is 15%.[1][12]
Voluntary pool
- Set up by the workers
- No employer pressure allowed
- Direct-service workers only
- No 15% cap stated
Employer-required sharing
- Only when several direct-service workers serve the same customer
- Capped at 15% of the main server's tips
- Employer and managers get nothing
07Put it to work
Setting up a tip pool in Delaware
Under Delaware rules, 6 of the 10 staff in this example can share a $1,200 pool. The table splits the same pool by percentage, by points and by hours.
| Who | By % | By points | By hours |
|---|---|---|---|
| Maya | $268.29 | $250.00 | $211.78 |
| Jordan | $268.29 | $250.00 | $211.76 |
| Priya | $268.29 | $250.00 | $211.76 |
| Sam | $175.61 | $200.00 | $211.76 |
| Luis | $109.76 | $125.00 | $176.47 |
| Ava | $109.76 | $125.00 | $176.47 |
| Theo | Not in the pool. Out here: this pool includes servers paid with a tip credit. | ||
| Kim | Not in the pool. Out here: this pool includes servers paid with a tip credit. | ||
| Rafa | Not in the pool. Out here: this pool includes servers paid with a tip credit. | ||
| Dana | Not in the pool. The employer gets no share of workers' tips. | ||
| Total | $1,200.00 | $1,200.00 | $1,200.00 |
Fictional restaurant and staff. The guest-facing staff here are assumed to meet Delaware's condition for sharing (see who can be in the tip pool, above). Percentages and point weights are examples, not a recommendation. Shares are rounded to the cent, and any leftover cent goes to the first server. Run your own numbers in the tip pooling calculator.
Ferry Tip Manager: support pool split by hours
Servers and bartenders pay into the support pool, and Tip Manager splits it by hours worked. Each person sees their share, with no spreadsheet at close.
Who it's for Full-service restaurants that tip out bussers, runners and bar backs
08Service charges
Service charges vs tips in Delaware
In Delaware a mandatory service charge is presumed to belong to staff unless the business clearly tells guests otherwise.
| Question | OptionalTip | MandatoryService charge |
|---|---|---|
| Who sets the amount | The guest | The business |
| Who it belongs to | The worker it was left for, or the pool | Staff, unless the business clearly tells guests otherwise.[1] |
| Can it go to staff? | Yes, through the pool | Yes. Amounts paid to staff are wages, not tips.[6] |
| How it's taxed (federal) | Tip income the worker reports | Regular wages, with payroll taxes[13][14] |
| Guest notice | None needed | Bold notice on the menu, a placard, the bill or another notice. At least 18-point on a placard, 10-point elsewhere.[1] |
- Step 1Did the guest choose whether to pay it, and how much?YesIt's a tip. It belongs to staff.NoIt's a mandatory charge. Go to step 2.
- Step 2What does Delaware say?Staff own it unless disclosedStaff, unless the business clearly tells guests otherwise.[1]
- Step 3Check the cityNo city service charge rules on file for Delaware.
- Menu and receipt notice
- Bold notice on the menu, a placard, the bill or another notice. At least 18-point on a placard, 10-point elsewhere.[1]
- Large-party auto gratuities
- An automatic charge follows the service-charge rule. Federal law treats required charges as wages, not tips.[1][13][14]
Local service charge rules
No local service charge rules on file for Delaware.
More on the difference: service charge vs tip.
Service charges
The font size is in the law
A required service charge goes to the direct-service staff by default. Management keeps a share only with a clear, bold notice to the customer.[1]
- Notice goes on the menu, a placard, the front of the bill or another customer notice
- It says all or part of the charge belongs to management
- Bold type, at least 18-point on a placard
- At least 10-point on any other notice
09Card tips
Card tips in Delaware: fees and payout timing
In Delaware the card processing fee can't come out of a worker's tip; the full tip goes to the worker. Payout deadline: the employer can't keep tips. Federal rules put collected tips on the regular payday. Wages are due within 7 days of the period's end.
Delaware's Labor Department says card-processing fees can't come out of employees' tips. Agreements saying otherwise are void.[3][4]
When card tips have to land
- TonightGuest adds a tip On the card, at the table.
- CloseShift is tallied The pool is split by your rules.
- DeadlineDelaware rule The employer can't keep tips. Federal rules put collected tips on the regular payday. Wages are due within 7 days of the period's end.[1][5][6]
- Last dayFinal pay Whatever the reason for leaving: the later of the normal payday or 3 business days after the last day worked.[5]
Paydays: At least monthly, on paydays set in advance, usually within 7 days after the pay period closes.[5]
Paying tips on a payroll card
- Worker consent needed?YesFederal law bars forced payroll cards. Delaware requires a written request before pay goes to a bank account.[15][5]
- Must you offer another option?YesFederal rules require at least one other way to get paid.[15]
- Holding cash tipsState ruleTips belong to the direct-service worker and can't be kept except as the law requires. No cash-tip deadline was found.[1]
- Tips shown on the pay stubNo (federal)No state rule. Federal rule applies: no. FLSA does not require pay stubs; state laws and employer records are separate.[16][5]
Ferry Pay: each tip share, paid out digitally
Each person's direct tips, tip outs and payable amount in one view, then paid through Ferry Pay. No cash to keep on hand for payouts. Eligibility and fees apply.
Who it's for Operators who want to stop the nightly cash run
“Since launching this card program, we've reduced our cash-carrying costs by over 66 percent”
Not covered here? Ask the Delaware Department of Labor, Division of Industrial Affairs, Office of Wage and Hour Enforcement at 302-761-8200, option 3 or on industrialaffairs.delaware.gov/wage-hour.
10Records
Records and notices in Delaware
Keep each tipped worker's tips and hours on record, shift by shift. Delaware: at least 3 years.
Delaware State
- Tip records Keep each worker's name, job, pay rate, pay and daily and weekly hours. The employer has to back up the tips counted toward minimum.[1]
- How long to keep them At least 3 years.[1]
- Tip credit notice Required. Employers with more than 3 workers give written pay rate and payday details at hire, plus the federal tip-credit notice.[5][1][6]
- Posters and forms Department-approved Minimum Wage Act summary; Wage Payment and Collection Act summary, employers over 3 employees; Customer service-charge management-ownership notice when applicable.[1][5]
Everywhere Federal
- Tip records Maintain employee identity, time and pay records. Tip-credit employers additionally retain tipped employee, reported tips, credit amounts and hours/earnings by tipped and nontipped occupation. No-tip-credit employers operating mandatory pools record each recipient and weekly/monthly tips. IRS daily records/reporting are separate obligations.[6]
- How long to keep them FLSA: payroll records at least three years; underlying wage-computation records two years. Tax retention is separate.[17]
- Tip credit notice Oral or written notice must state cash wage; tip credit amount; credit cannot exceed actual tips; employee retains tips except valid traditional pool; credit unavailable until informed. Traditional pool contribution amounts also disclosed.[6]
- A written pool policy Good practice, not a federal rule: who's in, how it splits, when it pays. Share it with staff. How to write one.
Think your tips were handled wrong in Delaware?
Workers in Delaware can file a tip or wage claim with the Delaware Department of Labor, Division of Industrial Affairs, Office of Wage and Hour Enforcement (302-761-8200, option 3). Filing is free, and this page can't settle a dispute; the state can.[12]
Retaliation: No punishment for complaints, investigations or testimony. Penalties run $1,000 to $5,000, or $20,000 to $50,000 per violation under the wage-theft law.[1][5]
Penalties: Diverted tips get repaid, plus $1,000 to $5,000 penalties. Wage theft: $2,000 to $20,000 per violation. Late wages can add 10% a day, capped.[1][5]
Can they take this out of my tips?
- Walkouts and dine-and-dashNot allowedTips can't pay employer costs or shares. Other wage deductions need legal authority.[1][5]
- BreakageNot allowedTips can't pay employer costs or shares. Other wage deductions need legal authority.[1][5]
- Register shortagesNot allowedTips can't pay employer costs or shares. Other wage deductions need legal authority.[1][5]
- UniformsNot allowedTips can't pay employer costs or shares. Other wage deductions need legal authority.[1][5]
- Card processing feesNot allowedDelaware's Labor Department bars taking processing fees from tips, even with a signed agreement.[3][4]
- A manager's shareNot allowedTips can't pay employer costs or shares. Other wage deductions need legal authority.[1][5]
11Law changes
What changed in Delaware tip law, and what's coming
No statewide increase with a published amount is on file for Delaware as of . Most recent change: Labor Department clarified that processing fees cannot be deducted from employees’ tips; contrary agreements are void ().
Key statutes
- 19 Del. C. 902: minimum wage, tips, pools and service charges
- 19 Del. C. 907–911: records, posters and penalties
- 19 Del. C. 1102, 1102A, 1103, 1107, 1108, 1112 and 1113: payment, wage theft and remedies
Not covered here? Ask the Delaware Department of Labor, Division of Industrial Affairs, Office of Wage and Hour Enforcement at 302-761-8200, option 3 or on industrialaffairs.delaware.gov/wage-hour.
12FAQ
Delaware tip law questions
Plain answers to the 8 questions restaurant owners and staff ask most about Delaware tip law, each linked to its source.
What is Delaware's tipped minimum wage?
Can workers set up their own tip pool?
Yes. Direct-service workers can agree to pool tips, and the employer can't force or pressure them into it.[1]
When can an employer require tip sharing?
Only when more than one direct-service worker serves the same customer. The required share can't top 15% of the main server's tips.[1]
Can cooks share in tips?
Not unless they do direct customer service. Paying them the full minimum wage doesn't make them eligible.[1]
Can management keep pooled tips?
Who gets a service charge?
The direct-service staff, unless a clear, bold notice tells the customer management keeps some or all of it.[1]
When is final pay due?
The later of the normal payday or 3 business days after the last day worked. That goes for quits, firings, suspensions and layoffs.[5]
13Compare
How Delaware compares with nearby states
Delaware borders Maryland, New Jersey and Pennsylvania. New Jersey pays a higher minimum wage than Delaware's $15.00. Running locations on both sides of a line? Each one follows its own state's rules.
Neighboring states
States with the same rules
Same tip credit class as Delaware: Tip credit, cash wage above federal.
- Michigan tip laws$13.73 min wage $5.49 tipped cash wage Also a tip credit with a cash wage above $2.13, and no card fees from tips
- Massachusetts tip laws$15.00 min wage $6.75 tipped cash wage Also a tip credit with a cash wage above $2.13, and no card fees from tips
- Maine tip laws$15.10 min wage $7.55 tipped cash wage Also a tip credit with a cash wage above $2.13, and no card fees from tips
- Colorado tip laws$15.16 min wage $12.14 tipped cash wage Also a tip credit with a cash wage above $2.13, and no card fees from tips
- Wisconsin tip laws$7.25 min wage $2.33 tipped cash wage Also a tip credit with a cash wage above $2.13
- Arkansas tip laws$11.00 min wage $2.63 tipped cash wage Also a tip credit with a cash wage above $2.13
The law decides who's in. Ferry runs the split.
See how operators set pool rules in Ferry Tip Manager and pay tips out without a cash run. Bring your own Delaware setup.
14Sources
Sources for Delaware tip laws
Every figure on this page links to one of these 18 sources: 14 for Delaware and 4 for the federal baseline. They are statutes, regulations and government agency pages, each with the date it was checked.
- 1Delaware Code Title 19 Chapter 9, Minimum WageDelaware General Assembly · Official source · Checked Pinpoint: 19 Del. C. 902(a)(5); 19 Del. C. 902(b); 902(c)(1)delcode.delaware.gov/title19/c009/index.html
What the source says
“Not less than $15.00 per hour effective January 1, 2025.”
“In no event shall the minimum rate, under this subsection, be less than $2.23 per hour. (c) For purposes of this section: (1) An employee engaged in an occupation in which gratuities customarily constitute part of the remuneration shall be any worker engaged in an”
“any worker engaged in an occupation in which workers customarily and regularly receive more than $30 per month in tips or gratuities. (2) “Gratuities” means monetary contributions received directly or indirectly by an employee from a guest, patron or customer for services rendered where the”
- 2Minimum Wages for Tipped Employees, July 1, 2026U.S. Department of Labor · Official source · Page updated · Checked www.dol.gov/agencies/whd/state/minimum-wage/tipped
What the source says
“Delaware $15.00 $12.77 $2.23 More than $30”
- 3Withholding Credit Card Fees from Tips Is Unlawful in DelawareDelaware Department of Labor · Official source · Page updated · Checked Pinpoint: Agency legal determination, paragraph 5; Jan 31, 2025 legal determinationnews.delaware.gov/2025/01/31/withholding-credit-card-fees-from-tips-is-unlawful-in-delaware
What the source says
“The DOL is notifying all Delaware restaurant operators and businesses with tipped employees that deducting credit card processing fees from employees’ tips is prohibited.”
“Any agreements to the contrary are void as a matter of public policy.”
- 4Credit Card Processing Fees and Employee Tips FAQlaborfiles.delaware.gov · Official source · Page updated · Checked laborfiles.delaware.gov/main/dia/olle/FAQ_Credit_Card_Processing_Fees_and_Employee_Tips.pdf
What the source says
“Any agreements to the contrary are void as a matter of public policy.”
- 5Delaware Code Title 19 Chapter 11, Wage Payment and CollectionDelaware General Assembly · Official source · Checked Pinpoint: 1102(b); 1102(a); 1103(a)(1)www.delcode.delaware.gov/title19/c011
What the source says
“Every employer shall pay all wages due within 7 days from the close of the pay period in which the wages were earned; provided, that if the regular payday falls on a nonwork day, payment shall be made on the preceding workday.”
“Every employer shall pay all wages due to the employer’s employees on regular paydays designated in advance by the employer, which shall be at least once during each calendar month, and in lawful money of the United States or checks provided suitable arrangements are made”
“Whenever an employee quits, resigns, is discharged, suspended, or laid off, the wages earned by the employee become due and payable by the employer on the later of the following: a.”
- 6Fact Sheet #15: Tipped Employees Under the Fair Labor Standards Act (FLSA)U.S. Department of Labor · Official source · Checked Pinpoint: Typical Problems, Overtime Problems, item 1; Traditional Tip Pooling, paragraph 1; Employers, Including Managers and Supervisors, paragraph 3www.dol.gov/agencies/whd/fact-sheets/15-tipped-employees-flsa
What the source says
“When an employer takes a tip credit, overtime must be calculated based on the full minimum wage, which is currently $7.25 an hour, not the lower direct (or cash) wage payment.”
“An employer may not receive tips from such a tip pool and may not allow managers and supervisors to receive tips from the pool.”
“A manager or supervisor may keep only those tips that they receive directly from a customer for the service they directly and solely provide.”
- 729 CFR 778.5 relation to other lawsElectronic Code of Federal Regulations · Official source · Page updated · Checked Pinpoint: 778.5www.ecfr.gov/current/title-29/subtitle-B/chapter-V/subchapter-B/part-778/subpart-A/section-778.5
What the source says
“the regular rate of the employee, as the term is used in the Fair Labor Standards Act, cannot be lower than such applicable minimum”
- 8Minimum cash wage for tipped workers FAQindustrialaffairs.delaware.gov · Official source · Checked industrialaffairs.delaware.gov/en/knowledgebase-employer/what-is-the-minimum-cash-wage-employers-must-pay-tipped-workers
What the source says
“Employers must pay tipped employees at least $2.23 per hour in direct wages.”
- 9Tip Regulations under the Fair Labor Standards Act (FLSA)U.S. Department of Labor · Official source · Checked Pinpoint: Regulatory History 2020-2024, item 3www.dol.gov/agencies/whd/flsa/tips
What the source says
“a federal court vacated the revision, with the effect of reinstating the Department’s original dual jobs regulation.”
- 10Field Assistance Bulletin No. 2026-1U.S. Department of Labor · Official source · Page updated · Checked Pinpoint: p. 1, introductory paragraphswww.dol.gov/sites/dolgov/files/WHD/fab/fab2026-1.pdf
What the source says
“These withdrawn opinion letters and the FOH provision that implemented them should no longer be relied upon as WHD enforcement guidance.”
- 11Delaware Career Compass 2025-2026daccte.delaware.gov · Official source · Page updated 2025–2026 · Checked Pinpoint: Printed p. 56, minimum amount of money; physical PDF 58daccte.delaware.gov/wp-content/uploads/sites/129/2025/09/Career_Compass_2025-2026%20min.pdf
What the source says
“The minimum wage in Delaware for youth ages 14-17 is $15.00/”
“your employer may pay you as little as $2.23/hour.”
- 122026 Employers Guide to Workforce ProtectionsDelaware Department of Labor · Official source · Page updated 2026 · Checked Pinpoint: 2026 guide, p. 2industrialaffairs.delaware.gov/hubfs/Wage%20and%20Hour/DOLIA_Wage%26Hour_EmployerBooklet_2026_R6%20%284%29.pdf?hsLang=en
What the source says
“ABOUT THE OFFICE OF WAGE & HOUR ENFORCEMENT The Office of Wage & Hour Enforcement partners with Delaware employers to support compliance, reduce risk, and ensure fair labor standards statewide.”
- 13Tip recordkeeping and reportingInternal Revenue Service · Official source · Checked Pinpoint: Service charges are not tips, paragraph 2; qualified tips deduction, net-income limit; tip income, Social Security/Medicarewww.irs.gov/businesses/small-businesses-self-employed/tip-recordkeeping-and-reporting
What the source says
“Service charges (also referred to as “auto-gratuities”), when distributed to an employee, are generally treated as wages paid by the employer to the employee rather than tips paid by the customer.”
“For self-employed individuals, the deduction may not exceed the individual’s net income (without regard to this deduction) from the trade or business in which the tips were earned.”
“These amounts are subject to federal income tax and generally are also subject to Social Security and Medicare taxes.”
- 14Revenue Ruling 2012-18Internal Revenue Service · Official source · Page updated 2012 · Checked Pinpoint: Q 1/A 1, four distinguishing factors; p. 1, ruling headingwww.irs.gov/pub/irs-drop/rr-12-18.pdf
What the source says
“compulsion; (2) the customer must have the unrestricted right to determine the amount; (3) the payment should not be the subject of negotiation or dictated by employer policy; and (4) generally, the customer has the right to determine who receives the payment.”
“Rev. Rul. 2012-18”
- 15What is a payroll card?Consumer Financial Protection Bureau · Official source · Page updated · Checked Pinpoint: paragraph following definitionwww.consumerfinance.gov/ask-cfpb/what-is-a-payroll-card-en-401
What the source says
“Your employer can’t require you to receive your wages on a payroll card.”
“Your employer has to offer you at least one alternative to a payroll card.”
- 16Questions and Answers About the FLSA, DOL WHDU.S. Department of Labor · Official source · Checked Pinpoint: Recordkeeping and Notices, Are pay stubs required?www.dol.gov/agencies/whd/flsa/faq
What the source says
“However, the FLSA does not require an employer to provide employees pay stubs.”
- 17Fact Sheet #21: Recordkeeping Requirements under the Fair Labor Standards Act (FLSA)U.S. Department of Labor · Official source · Page updated · Checked Pinpoint: Posting, paragraph 1www.dol.gov/agencies/whd/fact-sheets/21-flsa-recordkeeping
What the source says
“Each employer shall preserve for at least three years payroll records, collective bargaining agreements, sales and purchase records.”
“Employers must display an official poster outlining the provisions of the Act, available at no cost from local offices of the Wage and Hour Division and toll-free, by calling 1-866-4USWage (1-866-487-9243).”
“Records on which wage computations are based should be retained for two years,”
- 18Office of Wage and Hour Enforcementindustrialaffairs.delaware.gov · Official source · Checked Pinpoint: About Us; Wage Claim Form linkindustrialaffairs.delaware.gov/wage-hour
What the source says
“At the Office of Wage and Hour Enforcement, we work to ensure that Delaware’s workplaces are fair, equitable, and compliant with state labor laws.”
“302-761-8200, Option #3”
“Use this form if you believe you have not been paid correctly, including unpaid wages, overtime, or minimum wage violations.”
15Methodology
How we research these pages
Every figure on this page comes from an official source, a statute, a regulation or a government agency page, and links to it where it is used. Ferry checks the page against those sources on a schedule and logs every change.
- 1
Official sources only
Statutes, regulations, state labor agencies, city ordinances and the U.S. Department of Labor. No vendor blogs, no AI answers, no secondary summaries as the only source.
- 2
Every figure is linked
Each rate and rule carries a numbered link to the statute or agency page behind it, with the exact pinpoint and, where available, a link that opens at the sentence itself.
- 3
Re-checked on a schedule
Every page is re-checked each January and July, and whenever a state or city changes a rate. Cash wage plus tip credit is checked against the minimum wage on every build.
- 4
Gaps are left out, not guessed
If a rule can't be confirmed from an official source, it isn't shown. The page points to the state agency instead.
What changed on this page
- First version of this page. Every figure was checked against the official sources listed on this page.
Researched by Ferry's tip operations research team. Last reviewed .
Changes to the law itself are listed in What changed and what's coming.
16Every state
Tip laws in every state
Pick any state for its tip credit, tip pool, service charge and card tip rules. Each chip shows the state's tip credit class.
- No tip creditNo tip credit
- Above $2.13Tip credit, cash wage above federal
- $2.13 cashTip credit, federal cash wage
- FederalFederal rates apply
51 of 51 state pages. Open the master guide for the federal baseline, tip credit classes and the full comparison table.