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NC · state labor law, 2026

North Carolina labor laws: minimum wage, overtime, leave, final pay and breaks

A state that mandates few benefits but holds employers to the ones they promise, starting with earned vacation.

North Carolina and federal rules checked on official sources on · Checked by Radif Partners · How we calculate

Minimum wage now
$7.25/h
statewide
Next change
none announced
checked October 11, 2026
Tipped cash wage
$2.13/h
tips must make up the rest
Overtime
40 h/week
state law
Paid sick leave
no state law
employer policy
Paid family leave
no program
FMLA is unpaid

North Carolina's minimum wage is $7.25 an hour in 2026, the same as the federal rate, with no increase announced. Working 40 hours a week all year at that rate pays $15,080 before taxes. Tipped employees may receive a cash wage of $2.13 if they are told in advance, keep all their tips and end up with at least $7.25 an hour. Non-exempt workers earn time and a half after 40 hours a week. The state does not require paid sick days, vacation or holidays, and adults aged 16 and over have no right to a meal or rest break. What sets North Carolina apart is the Wage and Hour Act's treatment of promised wage benefits: once an employer offers vacation, commissions or bonuses, earned amounts cannot be forfeited unless a written forfeiture clause was given to employees. Final wages are due on or before the next regular payday, for anyone leaving for any reason.

State

North Carolina

Before taxes, without tips.

Gross pay for this week in North Carolina

$290

Time and a half after 40 hours in a week

Minimum wage in North Carolina now$7.25 an hour
Your rate against itAt or above the minimum
Overtime: none this week$0
Paid sick leave earned in a yearNo statewide paid sick leave law
Breaks owed in a 8-hour shiftNone for adults (minors only)
Final paycheck if firedon or before the next regular payday
Unused vacation at the endPaid out if the employer policy or contract says so
Paid family leaveNo state program

40 hours a week at $7.25. State rule applied. Minimum wage, overtime and leave rules have exceptions by employer size and industry. How this is calculated.

What your employer promised is what you can claim

The North Carolina Department of Labor puts it bluntly: an employer is not required by law to give vacation pay, sick leave, jury duty pay or holiday pay. The catch is on the other side. When a business chooses to offer those benefits, the Wage and Hour Act treats them as promised wages, and the employer has to pay them as its policy describes. Earned vacation is the case that comes up most. It must be paid when you leave unless the employer has a written forfeiture clause in its vacation policy and told employees about it in advance.

Consider a technician paid $19 an hour who leaves with 7 unused vacation days of 8 hours. That balance is worth $1,064. If the handbook says nothing about losing unused days, the amount is part of the last paycheck. If a written forfeiture clause was in place and communicated, the employer can keep it. Commissions and bonuses follow the same logic.

Is your unused PTO paid out?

North Carolina: payout

Depends on the written policy

Value of the balance$880
When it is dueon or before the next regular payday
Final paycheck deadline →

A federal-level wage with a tipped condition

The state rate matches the federal $7.25, so a raise would have to come from Congress or the General Assembly. Restaurants can count tips toward the wage, paying a cash wage of $2.13, but only if employees are notified in advance and keep all their tips; a server whose tips leave the hour below $7.25 must be topped up. Agricultural and domestic workers are covered by the federal minimum wage rather than the state act.

Overtime at 40 hours, 45 in seasonal amusement

Overtime begins after 40 hours in a workweek at one and a half times the regular rate. A warehouse associate earning $16 who works five 9-hour days is owed 5 overtime hours, $120 on top of $640 in straight time, $760 for the week. Seasonal amusement and recreation businesses reach overtime only after 45 hours. Exempt status depends on duties and on the federal salary test, as no state salary level exists.

Breaks, school visits and the last paycheck

Workers 16 and older have no legal right to a meal or rest break in North Carolina; only youths under 16 must get 30 minutes after 5 hours. When an employer does offer a short break, of less than 30 minutes, it generally has to be paid. Parents, guardians and anyone standing in for a parent of a school-age child are entitled to 4 hours of leave a year to take part in the child's school, unpaid unless the employer decides otherwise. For leave beyond that, the federal FMLA gives eligible workers up to 12 unpaid weeks.

Whether you quit or are let go, everything due must be paid on or before the next regular payday, earned vacation included when no forfeiture clause applies. The Wage and Hour Bureau investigates unpaid wages, and the final paycheck guide lists deadlines in every state.

North Carolina employment rules at a glance, 2026

Minimum wage schedule

North Carolina minimum wage rows for 2026 and any announced 2027 rate.
FromWho it coversRateNote
July 24, 2009Statewide$7.25Unchanged throughout 2026; equals the federal minimum

Workers covered by both laws get the higher rate. Agricultural and domestic employees are subject to the federal minimum wage. Read the North Carolina rule.

Overtime

Time and a half after 40 hours in a week. The salary test for exempt employees is the federal $684 a week. Seasonal amusement/recreation businesses: overtime after 45 hours (per dol.gov table). source

Sick leave and family leave

North Carolina has no statewide paid sick leave law for private employers; leave depends on the employer's policy or a city ordinance. No state paid sick leave requirement; sick leave is a promised wage benefit only if the employer offers it. source

No state paid family leave insurance: the federal FMLA gives eligible workers up to 12 weeks of unpaid, job-protected leave.

Final paycheck and unused vacation

Fired or laid off: on or before the next regular payday. Quitting: on or before the next regular payday. Vacation: Earned vacation must be paid at separation unless the employer has a written forfeiture clause notified to employees.. source vacation rule

Meal and rest breaks

No meal break is required for adults by state law. No paid rest break is required for adults. Under 16: at least a 30-minute break after 5 hours of work source

Unions and dismissal

North Carolina is a right-to-work state: a union contract cannot require you to pay dues or fees to keep your job. Employment is at will: either side may end it at any time, except for an illegal reason such as discrimination or retaliation, or against a contract. source

Also worth knowing in North Carolina

  • Employers must grant parents of school-age children 4 hours of (unpaid) leave per year to attend or be involved at the child's school. source
  • Any break shorter than 30 minutes (such as a 15-minute rest break) generally must be paid. source

Questions people ask

Does North Carolina require employers to pay out vacation?

Not by default, but often in practice. No law forces an employer to offer vacation. If it does, earned vacation counts as a promised wage under the Wage and Hour Act and must be paid at separation unless the employer has a written forfeiture clause that employees were told about beforehand. Without such a clause, unused earned days belong in the final paycheck.

Are breaks required by law in NC for adults?

No. North Carolina requires breaks only for workers under 16, who must receive at least 30 minutes after 5 consecutive hours. Employees 16 and older have no legal right to a meal or rest period. If an employer chooses to give a break shorter than 30 minutes, such as a 15-minute rest break, that time generally has to be paid.

Can a North Carolina employer pay tipped workers less than minimum wage?

Yes, down to a cash wage of $2.13 an hour, but with conditions. Employees must be notified in advance, must keep all their tips, and tips plus the cash wage must reach at least $7.25 an hour. If they do not, the employer pays the difference. Agricultural and domestic employees fall under the federal minimum wage rules instead.

How many hours of school leave do parents get in North Carolina?

Four hours per year. Employers must grant that leave to any employee who is a parent, guardian or person standing in for a parent of a school-age child, so they can attend or be involved at the school. The law does not require that the time be paid, so those hours can go unpaid unless your employer lets you use paid leave for them. A conference, a class event or volunteering at the school all fit the purpose.

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General information, not legal advice: the calculators apply the published federal and state rules to the numbers you enter. Union contracts, local ordinances, industry wage orders and exemptions can change the answer; the state labor agency decides a wage claim.

Federal and state employment rules for 2026, checked on official sources on