Northwest Territories tip laws, 2026

A phone scanning a QR code tip sign on a counter

Short answer: In Northwest Territories, the minimum wage is $17.20 an hour. There is no lower wage for tipped staff: tips come on top of the full minimum wage. The Employment Standards Act does not say tips belong to the employee.

Minimum wage and tips in Northwest Territories

Northwest Territories
Minimum wage$17.20 an hour
In force sinceSee the source
Lower wage for tipped staffNo

Current rate shown on the territorial government page. The rate is adjusted each 1 September using the Yellowknife consumer price index and the average hourly wage, and it never goes down.

No lower wage for tipped staff. Tips are not wages.

Upcoming changes

The government page gives no amount for the next change. The usual adjustment date is 1 September.

Who owns the tips

The Employment Standards Act does not say tips belong to the employee. It defines wages as remuneration for work but excludes tips and other gratuities, so tips are outside the usual wage protections.

Tip pools

The Employment Standards Act has no rules on tip pooling, so it is left to the employer.

Can card fees come out of tips?

The Act has no rule on card fees and tips. There is no territorial ban or allowance.

Income tax on tips in Northwest Territories

Tips are taxable income. The CRA says you must report all tips: direct tips go on your return and controlled tips (paid through your employer) should already be on your T4. We found no exemption or deduction for tips in federal or NWT tax rules.

The agency in charge is the NWT Employment Standards (Education, Culture and Employment).

Sharing tips fairly

To share a pool by hours or points, use the tip split calculator. For what a server owes support staff, use the tip-out calculator. Customs for visitors are in tipping in Canada.

Sources

Checked in October 2026 against the sources above. Wages and rules change; check with the agency in charge before relying on a figure. This is general information, not legal advice.

Common questions

What is the minimum wage in Northwest Territories?

$17.20 an hour.

Is there a lower wage for tipped workers in Northwest Territories?

No. Tipped workers get the full minimum wage, and tips come on top.

Can my employer keep my tips in Northwest Territories?

The Employment Standards Act does not say tips belong to the employee. It defines wages as remuneration for work but excludes tips and other gratuities, so tips are outside the usual wage protections.

Can my employer take card fees out of my tips in Northwest Territories?

The Act has no rule on card fees and tips. There is no territorial ban or allowance.

Are tip pools allowed in Northwest Territories?

The Employment Standards Act has no rules on tip pooling, so it is left to the employer.

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