Washington tips calculator: $17.73 in 2027, tips on top
Washington has no individual income tax and the highest minimum of any state — $17.13 in 2026 and $17.73 from January 1, 2027 — and tips can never count toward it.
Labor & Industries on tips
L&I defines a tip as a voluntary sum a customer freely gives an employee, says employers must pay all tips to employees and may not keep them for company use or wages, and states that “tip crediting” is not allowed. Employers may set up tip pools or require tip-outs, and L&I recommends written pooling policies.
Washington figures
| Cash wage / minimum | $17.13 (no tip credit) |
|---|---|
| In force | July 1, 2026 – December 31, 2026 |
| Next change | January 1, 2027: $17.73 |
| Tipped threshold | Not applicable — no tip credit |
| Tips on the 2025 return | no state income tax on wages. “Washington does not currently have an individual income tax.” The capital gains excise does not reach wages or tips. Source: Washington State Department of Revenue |
| Tips on the 2026 return | no state income tax on wages. Unchanged. Source: Washington State Department of Revenue |
Local rates and taxes
Some cities set higher minimums than the state, and L&I lists them. The capital gains excise is the only income-type tax Washington collects from individuals, and it does not reach wages or tips — “Washington does not currently have an individual income tax.”
A Spokane server
A $19,000 deduction saves $2,280 — Washington has nothing to add. Thirty hours at $17.13 cost the employer $514 before tips, and the $220 of tips are entirely the server’s.
Check a Washington week at the full minimum
Where these figures come from
- Washington State Department of Revenue · Washington State Department of Labor & Industries
- Income tax (2026)
- Minimum Wages for Tipped Employees (table by state) (2026-07-01)
- Minimum Wage (2026)
Federal rules: how the deduction works. Nearby: Idaho, Oregon.
Figures verified against primary sources on