Michigan Payroll

Did you know that Michigan's minimum wage increases to $7.15 an hour on July 1, 2007, and to $7.40 an hour on July 1, 2008?

Michigan Income Tax Withholding

Michigan requires employers to withhold state income tax from employees' wages and remit the amounts withheld to the Department of the Treasury.

Michigan has reciprocal agreements with Illinois, Indiana, Kentucky, Minnesota, Ohio, and Wisconsin. Michigan employers are not required to withhold Michigan income tax from compensation earned in Michigan by residents of those states.

Other out-of-state employers that have employees who work in Michigan must register with the state Treasury Department and withhold Michigan income tax from all employees working within the state.

Michigan Benefits

Michigan Voting Rights:

Employer Right To Schedule Voting Hours	Pay Deduction For Voting Time Leave
No	No

Michigan does not have a voting time leave law.

Michigan Compensation

Employees covered by Michigan's minimum wage law must be paid $6.95 an hour. The minimum wage increases to $7.15 on July 1, 2007, and to $7.40 on July 1, 2008.

All employees of employers with two or more employees within a calendar year are covered except for:

• those exempt from the Fair Labor Standards Act, except for certain domestic service employees (see below),
• those under 18 or over 64 years of age,
• employees of summer camps working for up to four months,
• employees of fruit, pickle, or tomato growers, and
• other agricultural workers contracting for harvest on a piecework basis.

Michigan Payroll

Employers covered by Michigan's wage payment law must pay wages at least twice in a calendar month. Payment must be made on the first day of the month for wages earned the first 15 days of the preceding month and on the 15th day of the month for wages earned from the 16th day to the last day of the preceding month. All employees are covered.

Michigan Unemployment:

Taxable Wage Base ($000s)	New Employer Rate (% Taxable Wages)	Employee Tax Rate (% Taxable Wages)	Period Effective
14,000	2.53 - 7.23	None	Calendar Year 2007

Helpful Links for Michigan Payroll

Michigan Department of the Treasury
430 W. Allegan Street
Lansing, Michigan 48922
(517) 373-3200

Michgan Department of Labor and Economic Growth
P.O. Box 30476
Lansing, Michigan 48909
(517) 322-1825

Department of Labor and Economic Growth - Unemployment Insurance Agency
Cadillac Place
3024 W. Grand Blvd.
Detroit, Michigan 48202
(313) 456-2400

Michigan Laws

Michigan Regulations

Tax Forms and Publications