Valor Payroll Solutions

Michigan Payroll Information

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Table of Contents

Paying Employees in Michigan

Michigan 2025 Minimum Wage:

  • $12.48 per hour
  • $5.99 for tipped employees
  • $8.98 for minors (16 & 17)

Michigan Overtime Rules:

  • 1.5 x’s the regular rate of pay for all hours worked in excess of 40 in a workweek

Michigan Paystub Requirements:

  • An employer shall furnish each employee at the time of payment of wages a statement of the hours worked by the employee, the gross wages paid, identification of the pay period for which payment is being made, a separate itemization of deductions, and for each hand harvester paid on a piece work basis furnish a statement of the total number of units harvested by the employee.
  • Electronic pay or wage statements are allowed, provided the employee has the ability to print out the statement at the time the wages are paid.  This manner of obtaining statements must be consistent throughout the company. 

How often do you have to pay employees in Michigan?

  • On or before the first day of each month wages must be paid for the first fifteen days of the preceding month.
  • On or before the fifteenth day of each calendar month wages must be paid for the sixteenth through the end of the month for the preceding month.

When is an employee’s final check due in Michigan?

  • Voluntary resignation – wages are due on the next scheduled payday
  • Involuntary termination – wages are due on the next scheduled payday

Michigan Payroll Taxes

Arizona Withholding Tax

Michigan Withholding Tax Registration

Wages Subject to Michigan Withholding

  • All wages earned in Michigan are subject to Michigan withholding tax, unless the employee is a resident of a state with a reciprocal agreement
  • All wages earned by Michigan residents is subject to Michigan withholding tax

Michigan Employee’s Withholding Exemption Certificate

Reciprocity

  • Illinois, Indiana, Kentucky, Minnesota, Ohio and Wisconsin

Michigan Withholding Tax Due Dates (frequency assigned by the state)

  • Due monthly on 20th day of following month
  • Due quarterly by 20th day of the month following quarter end
  • Due annually on Feb 28th
  • Due on same day as federal payments

Michigan Unemployment Tax

Michigan Unemployment Tax Registration

Michigan Unemployment Tax Employer Liabilities

  • New employer rate: 2.7%
  • 2025 Wage Base: $9,000

Michigan Unemployment Tax Due Dates

  • Return and payment are due quarterly on the last day of the month following the end of the reporting period

Michigan New Hire Reporting

Michigan Child Support

  • Employers can make payments by credit card or electronic payment through the MiSDU website.
  • Michigan State Disbursement Unit
    P.O. Box 30350
    Lansing, Michigan 48909-7850
  • Phone: (800) 817-0805
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