--- title: Michigan Minimum Wage, Tip Credit Will Increase March 29 description: Effective March 29, 2019, the Michigan minimum wage and tip credit will increase. image: https://www.americanpayroll.org/images/default-source/default-album/michmin.jpg?sfvrsn=6db77836_0 --- [![soc-fb](https://blogs.payroll.org/hubfs/ct-23-assets/footer-icon_fb.svg "soc-fb")](https://www.facebook.com/American-Payroll-Associations-Chapter-Relations-877434285724525/) [![soc-in](https://blogs.payroll.org/hubfs/ct-23-assets/footer-icon_li.svg "soc-in")](http://www.linkedin.com/groups?about=&gid=1051077&trk=anet_ug_grppro) [![soc-tw](https://blogs.payroll.org/hubfs/ct-23-assets/footer-icon_tw.svg "soc-tw")](https://twitter.com/APAChapters?lang=en) - [Home](https://blogs.payroll.org/chapter-leaders) - [About](https://blogs.payroll.org/about) - [Connect](https://blogs.payroll.org/connect) - [Resources](https://blogs.payroll.org/resources) ![23-PayNewsNow-Horiz-Logo](https://blogs.payroll.org/hs-fs/hubfs/23-PayNewsNow-Horiz-Logo.png?width=1300&name=23-PayNewsNow-Horiz-Logo.png "23-PayNewsNow-Horiz-Logo") [![26 PayrollOrg®RGB-NoTag long](https://blogs.payroll.org/hs-fs/hubfs/26%20PayrollOrg%C2%AERGB-NoTag%20long.jpg?width=1300&name=26%20PayrollOrg%C2%AERGB-NoTag%20long.jpg "26 PayrollOrg®RGB-NoTag long")](https://payroll.org/) ![](https://blogs.payroll.org/hs-fs/hubfs/PayrollOrg_Swirl.jpg?width=35&name=PayrollOrg_Swirl.jpg) Custom URL No Widget: By [PayrollOrg Staff](https://blogs.payroll.org/pay-news-now/author/apa-staff) on Feb 7, 2019 9:00:00 AM # Michigan Minimum Wage, Tip Credit Will Increase March 29 Effective March 29, 2019, the [**Michigan minimum wage**](https://www.michigan.gov/lara/0,4601,7-154-59886---,00.html) will increase to $9.45 an hour from $9.25 an hour (this updates *The Payroll Source®*, §2.11-1) \[S.B. 1171, L. 2018\]. Previously, the minimum wage was scheduled to increase to $10 an hour, effective January 1, 2019. Effective January 1, 2020, the state minimum wage will increase to $9.65 an hour. The minimum wage will then increase annually, effective January 1 of each year, until it reaches $12.05 an hour in 2030. However, a scheduled increase will not take effect in a given year if the state unemployment rate is 8.5% or greater for the preceding calendar year. **Tip Credit Increase** The minimum cash wage for tipped employees remains 38% of the minimum wage. Currently, the minimum cash wage is $3.52 an hour and the tip credit is $5.73 an hour. Effective March 29, 2019, the minimum cash wage will increase to $3.59 an hour and the tip credit will increase to $5.86 an hour (this updates *The Payroll Source®*, §2.11-2). The tip credit will increase each year as the minimum wage is increased An updated [**Minimum Wage and Overtime Poster**](https://www.michigan.gov/documents/lara/Minimum_Wage_Poster_644740_7.pdf) is available from the Michigan Department of Licensing and Regulatory Affairs. Interested in more state and local payroll coverage? APA’s *[**PayState Update**](https://ebiz.americanpayroll.org/ebusiness/ProductCatalog/Product.aspx?ID=19)* eNewsletter is perfect for you. ### Search ![payroll-logo-white](https://blogs.payroll.org/hs-fs/hubfs/payroll-logo-white.png?width=200&name=payroll-logo-white.png "payroll-logo-white") [Privacy Policy](http://www.americanpayroll.org/privacy/)     |     Acceptable Use ©[PayrollOrg](http://payroll.org) [![soc-fb](https://blogs.payroll.org/hubfs/ct-23-assets/footer-icon_fb.svg "soc-fb")](https://www.facebook.com/PayrollOrg) [![soc-in](https://blogs.payroll.org/hubfs/ct-23-assets/footer-icon_li.svg "soc-in")](https://www.linkedin.com/company/payroll-org/mycompany/) [![Twitter-X-White-Logo-PNG](https://blogs.payroll.org/hs-fs/hubfs/Twitter-X-White-Logo-PNG.png?width=20&height=19&name=Twitter-X-White-Logo-PNG.png)](https://twitter.com/PayNews)