2026 Illinois Overtime & Minimum Wage Laws
In Illinois, payroll calculations are governed by the Illinois Minimum Wage Law (IMWL) and local city ordinances. By 2026, the state has reached its multi-year target wage, providing a stable but high baseline for hourly workers. If you need to log your daily shifts before calculating your final check, we recommend using our weekly time card generator.
The 40-Hour Rule (No Daily Overtime)
Under the IMWL, non-exempt employees must be paid 1.5 times their regular hourly rate for any hours physically worked beyond 40 in a continuous workweek. Like most midwestern states, Illinois does not require daily overtime. Working a 10-hour or 12-hour shift in a single day only results in straight-time pay, unless your total weekly hours cross the 40-hour threshold.
| Geographic Area | 2026 Hourly Rate | Overtime Rate (1.5x Floor) |
|---|---|---|
| Standard Illinois State | $15.00 / hr | $22.50 / hr |
| City of Chicago (Approx.) | $16.20+ / hr | $24.30+ / hr |
| Cook County (Suburbs) | Higher than State Minimum | Varies by municipality |
| Youth Wage (Under 18) | $13.00 / hr | $19.50 / hr |
The One Day Rest in Seven Act (ODRISA)
One of the most unique labor protections in Illinois is the One Day Rest in Seven Act (ODRISA). This law strictly requires employers to provide workers with at least 24 consecutive hours of rest in every calendar week. It prevents employers from forcing staff to work 7 days in a row without a break. If your employer schedules you for 14 straight days, you can use our bi-weekly timesheet tool to track these violations.
Additionally, ODRISA mandates that employees working a shift of 7.5 continuous hours or longer must be provided an unpaid meal period of at least 20 minutes, which must begin no later than 5 hours into the shift.
Tipped Employees and Overtime in IL
For hospitality and restaurant workers, Illinois allows employers to take a 40% tip credit against the minimum wage. This means the statewide minimum cash wage for tipped workers is $9.00 per hour. However, it is critical to note that the City of Chicago is actively phasing out the tip credit. To ensure your overtime math is correct, we suggest using a decimal hours conversion tool before applying the multipliers.
| Calculation Step | Amount |
|---|---|
| Standard Minimum Wage (IL) | $15.00 / hr |
| Maximum Tip Credit (40%) | -$6.00 / hr |
| Minimum Cash Wage (Regular) | $9.00 / hr |
| Overtime Multiplier ($15.00 × 1.5) | $22.50 / hr |
| Minimum Cash Wage (Overtime) ($22.50 minus the $6.00 tip credit) |
$16.50 / hr |