Texas employment laws for employers: what to check before you hire

Texas and US federal rules, as of 31 October 2026. Every fact below was read on the official page linked in the Sources list on 31 October 2026. Laws change; check the official source.

Texas follows the federal $7.25 minimum wage. Under the Texas Payday Law, a discharged employee is owed final pay within six calendar days, while an employee who resigns is owed it by the next regular payday. New hires must be reported within 20 calendar days. Each rule below links to its source.

At a glance

• Minimum wage: see the next section; local rates can be higher.
• Overtime: federal rule applies; state rules noted where we could open them.
• Final pay, pay frequency, E-Verify and new hire reporting: stated only where an official source opened.
• A topic marked "not stated" is not a finding that no rule exists. It means we could not confirm it.

What is the minimum wage in Texas?

The DOL state table (updated July 1, 2026) lists Texas at $7.25 per hour, the same as the federal rate. We did not open a Texas Workforce Commission page on the minimum wage. Texas cities generally are not shown in the DOL table, so check local rules if you hire in a large city.

What are the overtime basics?

The federal rule, per the DOL, is overtime pay at not less than time and one-half the regular rate for hours over 40 in a workweek, unless exempt. We did not open a separate Texas overtime source, so use the federal rule and check the Texas Workforce Commission for anything additional.

When is the final paycheck due in Texas?

The Texas Workforce Commission (TWC) Texas Payday Law page says that for discharged or laid-off employees, final payment is due within six calendar days of the last day. For employees who quit or resign, final payment is due on the next regularly scheduled payday after the effective date of resignation. The page cites Texas Labor Code Chapter 61 and links the Texas Payday Rules in Chapter 821 of the Texas Administrative Code. The page shows no last-updated date.

How often must Texas employers pay?

The TWC page says employees exempt from the federal overtime rules must be paid at least once a month. Other employees must be paid at least twice a month, and semi-monthly periods should have as nearly as possible an equal number of days.

Does Texas require E-Verify?

We could not open an official source for this topic on 31 October 2026, so no rule is stated here. Check the state labor department before you rely on anything for it. The federal E-Verify employers page (last updated 02/20/2024) did not list state requirements when we opened it, so confirm any state mandate on the state's own site. For the federal Form I-9, see the I-9 and E-Verify checklist. The E-Verify by state page lists what we could confirm across the ten states.

What is new hire reporting in Texas?

The TWC new hire reporting page says employers must report new hires and rehires within 20 calendar days of the hire date, and that if you report electronically you report every 12 to 16 days. Reports go to the Texas Office of the Attorney General under federal and state law. Quarterly wage reports go to the TWC separately. The page shows no date.

A practical tip for Texas employers

The six-day discharge rule and the next-payday resignation rule are different clocks. Record the separation type in your HR file so payroll applies the right one.

Employer checklist

1. Confirm the work location, because state and local rules follow the place of work.
2. Check the minimum wage for the state and the city or county, and note the date you checked.
3. Set the payroll schedule against the pay frequency rule, and the offboarding checklist against the final pay rule.
4. Check whether E-Verify applies to your employee count, and keep the federal I-9 file either way.
5. Report each new hire on time and keep proof of submission.
6. Re-read the official pages each quarter and after any announced rule change.

FAQ

How long do I have to pay a fired employee in Texas? Within six calendar days of the last day, according to the TWC Payday Law page.

What if an employee quits? Final pay is due on the next regularly scheduled payday after the effective date of resignation, per the TWC page.

Who gets the new hire report in Texas? The Texas Office of the Attorney General, within 20 calendar days of the hire date, per the TWC page.

Where can I compare states? See the employment laws by state hub, the minimum wage by state table and the final paycheck laws by state page.

Next step: use this checklist with the how to hire an employee guide.

Sources

• Texas Workforce Commission, Texas Payday Law (no date shown): https://www.twc.texas.gov/programs/wage-and-hour/texas-payday-law (accessed 31 October 2026)
• Texas Workforce Commission, New hire reporting (no date shown): https://twc.texas.gov/employer-resources/new-hire-reporting (accessed 31 October 2026)
• US DOL, State Minimum Wage Laws (updated July 1, 2026): https://www.dol.gov/agencies/whd/minimum-wage/state (accessed 31 October 2026)
• US DOL, Overtime pay: https://www.dol.gov/agencies/whd/overtime (accessed 31 October 2026)

This is general information, not legal, tax or immigration advice. Rules change and your situation may differ. Consult a licensed attorney or qualified adviser.