Brian Calley President and Chief Executive Officer at Small Business Association of Michigan | Official website
Brian Calley President and Chief Executive Officer at Small Business Association of Michigan | Official website
The minimum wage schedule has been updated, detailing changes from 2025 to 2031. As of February 21, 2025, the minimum wage is set at $12.48 with a tip wage percentage of 38%, equating to a tip wage of $4.74.
On January 1, 2026, the minimum wage will increase to $13.73 and the tip wage percentage will rise to 40%, resulting in a tip wage of $5.49. By January 1, 2027, the minimum wage will reach $15.00 with a tip wage percentage of 42% and a corresponding tip wage of $6.30.
Starting January 1, 2028, the minimum wage will be adjusted annually by the Consumer Price Index (CPI) and will maintain a rate of at least $15.00 with a tip percentage increase to 44%. The years following through January 1, 2031 will continue adjustments based on CPI with incremental increases in the tip percentage: reaching up to 46% in 2029, then moving up by two percent each year until it hits 50% in 2031.
Employers are required to post these updates accordingly. Additional resources for employers can be found on the Department of Labor & Economic Opportunity's website.
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