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Michigan Minimum Wage Increases to $8.15 Effective September 1, 2014

Signed into legislation earlier this year, Michigan’s minimum wage is set to increase a total 25% over the next four years. The increase will take place gradually, with the first bump coming up in September. Other increases will come in 2016, 2017, and 2018.

Michigan’s current minimum wage rate for non-tipped employees of $7.40 will increase to $8.15 on September 1. Additionally, wages for tipped employees will go to $3.10, up 45 cents from their current rate of $2.65.

The full schedule of Michigan’s minimum wage increases, including pay rates for minors, can be found on the State of Michigan’s website.

The current federal minimum wage is $7.25 per hour; however some states have a higher minimum wage rate. When the state minimum wage rate is higher than the federal rate, workers must be paid the higher amount. Tipped employees may be paid 38% of the general hourly wage rate.

If you should have additional questions or concerns regarding the Michigan minimum wage increase, feel free to call or email your AHP contact. AHP provides a full range of payroll processing services, including customized processing and reporting, direct deposit, preparation of monthly, quarterly and annual tax returns, including W-2’s and various other payroll related services. If you are interested in cost savings, continuity in service and security, feel free to contact AHP to inquire how we can give you that peace of mind and professional service tailored to suit your needs.