02/17/2025
LANSING, Mich. — Michigan's minimum wage has already increased once this year and is set to increase again on Friday.
On Jan. 1, 2025, the state's minimum hourly wage went from $10.33 to $10.56. On Feb. 21, it is set to jump to $12.48, unless a recently passed Senate Bill is passed by the House and signed by Governor Gretchen Whitmer.
Michigan Senate passes bipartisan bill to change tipped and minimum wages
The vote came just days before the state is set to increase the minimum wage.
Author: Steven Bohner
LANSING, Mich. — Michigan's minimum wage has already increased once this year and is set to increase again on Friday.
On Jan. 1, 2025, the state's minimum hourly wage went from $10.33 to $10.56. On Feb. 21, it is set to jump to $12.48, unless a recently passed Senate Bill is passed by the House and signed by Governor Gretchen Whitmer.
Senate Bill 8 passed with bipartisan support and aims to adjust the upcoming changes to Michigan's minimum wage.
The new legislation would alter the timeline of changes to Michigan's minimum wage and the eventual elimination of the state's tipped wage credit.
If made law, the new legislation would alter Michigan's minimum wage changes to become:
Feb. 21, 2025 - Minimum wage increases to $12.48
Jan. 1, 2026 - Minimum wage increases to $13.73
Jan. 1, 2027 - Minimum wage increases to $15.00
The state's minimum wage will then be tied to the rate of inflation and be adjusted by the state treasurer each year in October and implemented on the 1st of January from 2028 on.
Tipped workers in Michigan would also see a change to their wages over the next several years:
Feb. 21, 2025 - Tipped worker minimum wage increases to 38% of the minimum hourly wage rate.
Jan. 1, 2026 - Tipped worker minimum wage increases to 40% of the minimum hourly wage rate.
Jan. 1, 2027 - Tipped worker minimum wage increases to 42% of the minimum hourly wage rate.
Jan. 1, 2028 - Tipped worker minimum wage increases to 44% of the minimum hourly wage rate.
Jan. 1, 2029 - Tipped worker minimum wage increases to 46% of the minimum hourly wage rate.
Jan. 1, 2030 - Tipped worker minimum wage increases to 48% of the minimum hourly wage rate.
Jan. 1, 2031 - Tipped worker minimum wage increases to 50% of the minimum hourly wage rate.
After 2031, the tipped worker minimum wage will stay at 50% of the state minimum wage.
Currently, due to a ruling from the Michigan Supreme Court in July of 2024, Michigan's minimum wage is set to incrementally increase to $14.97 by Feb. 21, 2028 and tipped employee wages are set to increase to become 100% of the minimum hourly wage by 2030.
If changes are not made, Michigan's tipped wage credit will be eliminated by 2030.
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