Minimum Wage Rate in Maryland (MD)

  • Effective July 1, 2016, Maryland’s minimum wage rate is $8.75 per hour and $3.63 per hour for tipped employees.

Special Update: The minimum wage in Maryland will rise over the next several years, according to the following schedule:

  • $9.25 per hour beginning July 1, 2017; and
  • $10.10 per hour beginning July 1, 2018.

Effective as of July 1, 2014, an employer’s tip credit may not exceed the state minimum wage less $3.63.

Special Notes Regarding Tipped Employees: A tipped employee customarily and regularly receives more than $30 per month in tips. If the employee’s tips and the cash wage do not equal the minimum wage, the employer must make up the difference. A tipped employee who spends more than 20% of his or her work time performing non-tip producing duties directly related to his or her tipped occupation must be paid at least the minimum wage for that time. Maryland generally prohibits employers from:

  • Requiring a tipped employee to reimburse the employer or pay the employer an amount equivalent to a customer’s charge for food or beverages if the customer leaves the employer’s place of business without paying; or
  • Making a deduction (subject to applicable law) from the wage of a tipped employee to reimburse the employer for an amount equivalent to a customer’s charge for food or beverages if the customer leaves the employer’s place of business without paying.

Employers must conspicuously post a printed notice of the provisions of the law in a place where a tipped employee is employed. 

Please Note: The state laws summaries featured on this site are for general informational purposes only. In addition to state law, certain municipalities may enact legislation that imposes different requirements. State and local laws change frequently and, as such, we cannot guarantee the accuracy or completeness of the information featured in the State Laws section. For more detailed information regarding state or local laws, please contact your state labor department or the appropriate local government agency.

ORIGINALLY POSTED BY HR360

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