January 1, 2021

Maryland minimum wage update

  • Effective January 1, 2021, the state minimum wage is $11.75 per hour and is applicable to employers with fifteen (15) or more employees. For employers with fourteen (14) or less employees, the state minimum wage is $11.60 per hour.
  • The minimum base wage or service rate for tipped employees (those who make more than $30.00 per month in tips) is $3.63 per hour, with employers being permitted to utilize a tip credit for tips actually received in order to meet the state minimum wage.
  • Employers who utilize a tip credit must provide employees with a written or electronic wage statement for each pay period showing the hourly rate of pay including paid cash wages plus tips for tip credit hours worked for each workweek of the pay period.
  • Minor employees under the age of eighteen (18) must earn at least 85% of the state minimum wage.
  • Certain classes of employees exempt from Maryland’s minimum wage and overtime laws include:employees who are immediate family members of the employer;
    executive, administrative and professional employees;employees under age sixteen (16) working less than 20 hours per week; andcommissioned employees.
  • employees who are immediate family members of the employer;
    executive, administrative and professional employees;
  • employees under age sixteen (16) working less than 20 hours per week; and
  • commissioned employees.
  • For more information, please visit the Maryland Department of Labor Website.

By Megan Butz
General Counsel, HR Compliance, Checkwriters
Megan joined Checkwriters in 2020 and is responsible for reviewing, revising, and implementing internal policies of the company, advising on human resource, employment, and labor matters, and monitoring and publishing state and federal legal updates to the Checkwriters News and Compliance Center for distribution to thousands of clients around the country. Before joining Checkwriters, Megan served as a judicial law clerk for the justices of the Massachusetts Probate and Family Court performing legal research and writing, followed by private practice in Cape Cod.

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