Overview

• Michigan has overtime laws specific to its workers. These govern who receives overtime pay and how much they get paid. Issues like how you get paid, who pays you, what type of work you do, and your age will all affect how your overtime pay works.
  
  

Minimum Wage

• In Michigan, the minimum wage as of 2010 is $7.40 an hour. When a person is entitled to overtime, they must be paid at least 1.5 times as much as this amount. If a person is only 16 to 17 years old, he is only required to receive 85 percent of the minimum wage, or $7.25 as of 2010. This is the amount overtime will be calculated on. Overtime is only received when a person works more than 40 hours in a work week (Sunday through Saturday). This means you may work four 10 hour days, but will still be paid normal wages. This is also the rule regardless of how many days in a row you work.
  
  

Employers

• If an business has at least two people working for it who are at least 16 years old, then this employer is subject to paying overtime to the employees.
  
  

Tipped Employees

• Employees who receive tips as a part of their jobs, such as waitresses, only need to be paid $2.65 an hour. However, a person must receive at least enough money in tips to equal the amount of minimum wage per hour. If this is not the case then the person must be paid more per hour. These employees will receive 1.5 times their hourly rate if they work overtime.
  
  

Federal Overtime Laws

• If a company earns more than $500,000 a year, this company must then abide by federal overtime laws as opposed to Michigan overtime laws. Also, jobs like day workers and nannies, fall under federal statutes as opposed to Michigan law. This means the amount of overtime a person is paid depends on what the federal standard is for minimum wage, and a person may be paid less than they are in Michigan.
  
  In Michigan, if a person receives overtime, they do not have to take it in the form of payment. She can put it toward her compensatory time. This means time that can be taken off from work when the employee will still get paid.