Recently, while eating at a restaurant near Pleasant Hill in Duluth, I inadvertently overheard a conversation at the next table. "I heard Georgia's minimum wage is $5.15, so can't we lower the pay for part-timers?" I paused for a moment while eating.

To cut to the chase, most businesses cannot do that. Let's break down the reasons one by one with data.

First of all, the number itself is true. The minimum wage stated in Georgia state law (O.C.G.A. 34-4-3) is still $5.15 per hour.

This number hasn't changed since 2001. Considering how many times the iPhone has been released since then, it's almost fossilized.

However, there is a separate federal minimum wage in the U.S. According to the Fair Labor Standards Act (FLSA), the federal minimum wage is $7.25 per hour, which has been in effect since July 24, 2009.

The explanation from the Department of Labor (DOL) is simple. When both state and federal laws apply, employees must receive the higher wage.

So in practice, most employers in Georgia use $7.25 as their baseline. The $5.15 figure is more like a number that exists only in the law books.

When does the $5.15 wage actually matter? Only for very small businesses that are not subject to federal law.

Federal law applies in two main ways. One is based on the business unit, which applies to businesses with annual sales of over $500,000 that handle goods or communications crossing state lines.

The other is based on individual employees. Even if a business has low sales, if an employee is involved in interstate commerce, they can be protected under federal law.

There's a part that many overlook. How many businesses in Duluth don't accept card payments or don't receive goods from out of state?

Once you start importing Korean food, using card terminals, and accepting online orders, it's surprisingly difficult to claim, "We're purely a local business." This part can vary based on individual circumstances, so it's best not to make assumptions.

There are also quite a few exceptions in Georgia state law. Businesses with annual sales of $40,000 or less and those with fewer than five employees are not subject to state minimum wage laws.

Housekeepers and some agricultural workers are also exempt. So, the actual scope of where $5.15 applies is quite narrow.

People often ask whether Duluth or Gwinnett County can set a higher minimum wage. The answer is no.

Georgia has blocked cities or counties from enforcing wages higher than state or federal law under O.C.G.A. 34-4-3.1. The same goes for Atlanta.

For tipped employees, the calculation is different. Under federal standards, employers must pay at least $2.13 per hour directly, and the total must reach at least $7.25 when tips are included.

However, there are conditions. The employee must keep all their tips and must regularly receive over $30 in tips per month.

If there are states where the total falls short of $7.25 due to insufficient tips, the employer must make up the difference. It's important not to only think about busy weekends and forget about weekday evenings.

There's also a federal regulation that allows employers to pay employees under 20 years old $4.25 per hour for the first 90 days of employment. However, this cannot be used to displace existing employees.

After 90 days or when the employee turns 20, whichever comes first, they must be paid $7.25. Checking employees' birthdays is now a necessary task.

Let's also touch on overtime. Georgia does not have a separate state overtime law, so it follows federal standards, and employees who work over 40 hours a week are entitled to 1.5 times their regular pay for the overtime hours.

In reality, it's not easy to find people at $7.25. If you look at job postings for restaurants or stores in Duluth, you'll see that much higher hourly rates are already common.

Those in favor of raising the minimum wage cite inflation as a reason, while those against it point to the burden on small business owners. Several bills to increase the wage have been introduced in the state legislature but have not passed.

Personally, I believe that practical matters are more urgent than debates over legal numbers. If you misinterpret a number and end up facing a wage theft lawsuit, you could lose several times the money you saved.

So if I were a business owner, I would erase $5.15 from my mind, set $7.25 as the floor, and keep separate calculations for tipped employees and minors.

If in doubt, check the Wage and Hour Division (WHD) website of the Department of Labor or the Georgia Department of Labor first. If the situation is complicated, consulting a labor law attorney is the cheapest insurance.

Think of the $5.15 in the law books as a kind of museum exhibit. You can look at it as much as you want, but it's not something you can take off the shelf and use.