Rules Changing For Tipped Workers As Michigan Minimum Wage Increases
The rules are changing for those whose jobs rely on tipping and there's some good news for hourly workers as the minimum wage will see increases.
Working for Tips or Minimum Wage
Many Michiganders in West Michigan work for tips and many also work for minimum wage.
I have worked a few jobs where tips were a huge part of how I made a living. I have also worked several jobs in my day for minimum wage and understand the importance of both.
Some changes are coming to Michigan for tipped workers that they will be excited about but their bosses may not be as thrilled about.
Michigan's minimum wage will increase beginning in early 2025 which is fantastic news for workers across the state. I'm sure some business owners will not be thrilled but I'm glad to see workers get a pay increase since everything costs more than it should.
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Rules Changing For Tipped Workers As Mi Minimum Wage Increases
It has taken 6 years since legislation was passed to increase Michigan's minimum wage, and some adjustments have been made to benefit tipped employees.
According to FOX 17, the Michigan Supreme Court has ruled that over the next 4 years, the minimum wage will increase for workers for tipped workers in increments each year. Below is the breakdown for minimum wage workers:
- $10 - February 21, 2025
- $10.65 - February 21, 2026
- $11.35 - February 21, 2027
- $12 - February 21, 2028
For tipped employees, the scale is a little different but they too will see an increase in benefits. A tipped worker wage will see at least 48% of the minimum wage in 2025. That will increase to 60% in 2026, 70% in 2027, 80% in 2028, and the tip credit will cease to exist in 2029. Tipped workers will then get minimum wage plus tips.
Take a Look at Michigan's Minimum Wage Over the Last 50 Years
The Minimum Wage Every Year Since 1938
Gallery Credit: Chris Cardenas