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Michigan Minimum Wage Increases Twice In 2025
LANSING — Michigan’s Minimum Wage will increase twice in 2025 – first increasing on Jan. 1, 2025, following the usual rate increase schedule, and again on Feb. 21, 2025, in accordance with the recent Michigan Supreme Court ruling regarding the Improved Workforce Opportunity Wage Act (IWOWA), PA 337 of 2018, schedule.
Minimum Hourly Wage Rate Effective Jan. 1, through Feb. 20, 2025:
- The minimum hourly wage will increase from $10.33 to $10.56 per hour.
- The 85% rate for minors under the age of 18 will increase from $8.78 to $8.98 per hour.
- The tipped employee rate of hourly pay increases from $3.93 to $4.01 per hour.
- The training wage of $4.25 per hour for newly hired employees under the age of 20 for their first 90 calendar days of employment remains unchanged.
Minimum Hourly Wage Rate Effective Feb. 21, 2025, and Thereafter:
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Minimum Hourly Wage Rate |
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Minimum Reported Average Hourly Tips |
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- 85% Rate: Minors under the age of 18 may be paid 85% of the minimum hourly wage rate.
- Training Wage: A training wage of $4.25 per hour may be paid to employees under 20 years of age for the first 90 calendar days of employment.
Every Oct. beginning in 2028, the state treasurer will calculate an adjusted minimum wage rate, increasing the minimum wage by the rate of inflation. The adjusted minimum wage rate is published by Nov. 1 of the year it is calculated and comes effective beginning Feb. 21 of the succeeding year.
The minimum hourly wage rate of a tipped employee will be 48% of the minimum hourly wage rate effective Feb. 21, 2025, and will increase based on the following schedule:
- Effective Feb. 21, 2026, it will be 60% of the minimum hourly wage rate.
- Effective Feb. 21, 2027, it will be 70% of the minimum hourly wage rate.
- Effective Feb. 21, 2028, it will be 80% of the minimum hourly wage rate.
- Effective Feb. 21, 2029, it will be 90% of the minimum hourly wage rate.
- Effective Feb. 21, 2030, and thereafter, it will be 100% of the minimum hourly wage rate.
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Founder of Michigan News Network, and serves as CEO, as well as Editor & Publisher of MITECHNEWS.COM. Brennan has worked since 1980 as a technology writer at newspapers in New York, NY, San Jose, CA., Seattle, WA., Memphis, TN., Detroit, MI., and London, England. He co-founded and served as managing editor of Pacific Rim News Service (SEATTLE), which developed a network of more than 100 freelance journalists in 17 Asia-Pacific countries.
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