Texas HR laws for employers (2026)
The Texas rules employers ask about most: minimum wage, overtime, final pay, unused vacation, paid sick leave and breaks.
Texas employment law at a glance
| Minimum wage | $7.25 per hour (federal minimum applies) |
|---|---|
| Tipped cash wage | $2.13 per hour |
| Overtime | No state overtime law beyond the federal FLSA rule of time-and-a-half over 40 hours per week. |
| Final pay when fired | Within 6 calendar days of discharge (also applies to layoffs). |
| Final pay when an employee quits | By the next regularly scheduled payday after the resignation takes effect. |
| Unused vacation / PTO at separation | Not required by law; payout is owed only if the employer's written policy or agreement provides it. A written policy may say unused leave is forfeited at separation. |
| Paid sick leave | No statewide mandate; no Texas law requires private employers to provide paid or unpaid leave. |
| Meal breaks | No state requirement for adult employees. |
| Rest breaks | No state requirement. |
Minimum wage note: Texas adopts the federal minimum wage of $7.25/hour by reference. State law overrides local wage ordinances for private employers, so cities cannot set a higher minimum. No scheduled increase.
Other Texas rules to know
- Nonexempt employees must be paid at least twice a month; exempt employees at least monthly.
- Leave promised in a written policy is enforceable as wages under the Texas Payday Law, so policies should say clearly what happens to unused leave at separation.
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Frequently asked questions
What is the minimum wage in Texas in 2026?
$7.25 per hour (federal minimum applies), effective July 24, 2009. Texas adopts the federal minimum wage of $7.25/hour by reference. State law overrides local wage ordinances for private employers, so cities cannot set a higher minimum. No scheduled increase.
When is a final paycheck due in Texas?
If the employer ends employment: Within 6 calendar days of discharge (also applies to layoffs). If the employee quits: By the next regularly scheduled payday after the resignation takes effect.
Does Texas require paying out unused vacation?
Not required by law; payout is owed only if the employer's written policy or agreement provides it. A written policy may say unused leave is forfeited at separation.
Is paid sick leave required in Texas?
No statewide mandate; no Texas law requires private employers to provide paid or unpaid leave.
Sources
HR laws in other states
This page is general information for employers, not legal advice. Employment laws change and can vary by city and county. Confirm details with the state labor department or an employment attorney. Read our disclaimer.