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Michigan Tipped Minimum Wage

As of . Department of Labor table revised .

In Michigan, employers must pay tipped employees a cash wage of at least $5.49 an hour and can take a tip credit of up to $8.24, for a combined minimum wage of $13.73.

Source: U.S. Department of Labor, Minimum Wages for Tipped Employees, revised July 1, 2026.

Michigan tipped wage details

Department of Labor category
State requires employers to pay tipped employees a minimum cash wage above the minimum cash wage required under the federal Fair Labor Standards Act ($2.13/hour)
Minimum wage
$13.73
Max tip credit
$8.24
Cash wage
$5.49
Tipped employee threshold
Not specified

Footnotes

Michigan. The minimum direct cash wage for tipped employees in Michigan is scheduled to increase annually until it reaches 50 percent of the state minimum wage in 2031. Additionally, the Michigan minimum wage is scheduled to increase on January 1, 2027 (to $15.00 per hour); it is then scheduled to be adjusted annually based on a set formula.

From the Department of Labor

Some states set subminimum rates for minors and/or students or exempt them from coverage or have a training wage for new hires. Some local governments set minimum wage rates higher than their respective state minimum wage. Such differential provisions are not displayed in this table.

The Wage and Hour Division tries to ensure that the information on this page is accurate but individuals should consult the relevant state labor office for official information.

Federal tipped minimum wage, for comparison

The federal tipped minimum wage is $2.13 an hour. Employers can count up to $5.12 an hour in tips toward the $7.25 federal minimum wage. The $5.12 is the tip credit.

Source: U.S. Department of Labor, Minimum Wages for Tipped Employees, revised July 1, 2026.