Michigan MINIMUM WAGES

Michigan State Minimum Wage for 2025

As of February 21, 2025, Michigan’s minimum wage rates stands at $12.48 per hour for non-tipped workers and $5.99 per hour for tipped workers. Minors under 18 will earn $10.61 per hour, maintaining 85% rate of the minimum wage. The training wage for young employees stands at $4.25 per hour.

This is a significant increase from the previous rate of $10.56 per hour effective from January 1, 2025  to February 20,2025. During this period, the tipped employee wages were $4.01 per hour and minors were entitled to $8.98 per hour.

Michigan plans to further increase their minimum wages. The effective rates will reach $13.73 per hour  from January 1, 2026, and $15.00 per hour by January 1, 2027. These updates are aligned to Michigan’s commitment to gradually raise wages while maintaining a structured tip credit system.

Minimum Wages in Michigan Cities

The table below lists the minimum wage rate across all cities of Michigan. 

Threshold For Employees Exempt

As of 2025, Michigan follows the Fair Labor Standards Act (FLSA) guidelines for exempt employee salary thresholds, based on which employees are classified under exempt and non-exempt categories.

• Non-exempt employees are lower-wage workers, entitled to receive state minimum wage and overtime pay at 1.5 times their regular pay.
• Exempt employees work on salary basis and earns beyond the salary threshold status.

The salary thresholds were increased to $844 per week ($43,888 annually) and another increase to $1,128 per week ($58,656 annually) was scheduled on January 1, 2025. However,  a federal court ruling blocked this increase and reverted the salary threshold to the previous standard of $684 per week ($35,568 annually).

Employers at Michigan must comply with these standards. While some states have opted for a higher salary thresholds, Michigan continues to align with the federal standard.

Historical Data of Michigan Minimum Wages

Michigan’s minimum wage history dates back to 1971, when the state adopted the federal laws to ensure fair pay for its workforce. For over 3 and a half decades, Michigan aligned with the federal standards. However, in 2006, the state passed Public Act 81 (also known as the Workforce Opportunity Wage Act), raising the minimum wage from $5.15 to $6.95 per hour beyond the federal minimum. It also laid the ground for future increases to reach $7.40 per hour by 2008. 

In 2014, Public Act 138 further outlined plans to subsequently increase wage rates; by 2023, Michigan’s minimum wage reached $10.10 per hour. At present, the state observes a minimum wage of $10.33 per hour and has laid plans to further increase the rate annually until 2027. 

The table below provides an overview of Michigan’s wage increase between 1968 to 2024. 

* – Under the FLSA, the two rates shown in 1968, 1970, and 1976 reflect the former multiple-track minimum wage system in effect from 1961 to 1978.

*** – Rates applicable to employers of four or more.

Source: https://www.dol.gov/agencies/whd/state/minimum-wage/history

Exemptions In Minimum Wages of Michigan  

While Michigan’s minimum wage laws ideally apply to workers aged 18 years and above, working for businesses with two or more employees, there are certain exemptions that apply: 

• Tipped workers  
• Executive, administrative, and professional (EAP) employees. 
• Minors aged between 16 and 17 are entitled to a minimum wage rate of $10.61 per hour. 
• Newly hired employees aged between 16 and 19 are eligible to receive a training wage of $4.25 per hour for the first 90 days of employment.
• Employees with certain disabilities.