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Maryland Minimum Wage and Overtime Law

Minimum Wage Increases - TBM Payroll, NY

This article comes from Maryland.gov

Maryland Minimum Wage and Overtime Law – Employment Standards Service (ESS)

Effective July 1, 2018, please be advised that the minimum wage rate for Maryland will increase to $10.10 and the minimum wage rates for Montgomery County will increase to $12.25 for employers with 51 or more employees and $12.00 for employers with 50 or fewer employees.

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Minimum Wage Rates

  • $8.75 Effective 7/1/16
  • $9.25 Effective 7/1/17
  • $10.10 Effective 7/1/18

Effective Oct. 1, 2017, the new minimum wage for Prince George’s Co. increases to $11.50/hr. Employers in this county are required to post the applicable rate information

Minimum Wage

Most employees must be paid the Maryland State Minimum Wage Rate.

Tipped Employees (earning more than $30 per month in tips): must earn the State Minimum Wage Rate per hour. Employers must pay at least $3.63 per hour. This amount plus tips must equal at least the State Minimum Wage Rate (Maryland Wage and Hour Law: Tip Credit brochure and Allowable Tip Credits For Employees Earning Minimum Wage brochure (Word)).

Amusement and Recreational Establishments: must pay employees at least 85% of the State Minimum Wage Rate or $7.25, whichever is higher (Maryland Wage and Hour Amusement and Recreational Establishment Exemptions brochure).

Employees under 20 years of age: must earn at least 85% of the State Minimum Wage Rate
for the first 6 months of employment.

Overtime

Most employees must be paid 1.5 times their usual hourly rate for all work over 40 hrs. per week. Exceptions:

  • Bowling establishments, and institutions providing on-premise care (other than hospitals) to the sick, the aged, or individuals with disabilities for all work over 48 hrs. per week
  • Agricultural workers for all work over 60 hrs. per week (Maryland Wage and Hour Agriculture Exemptions brochure)

Exemptions

Minimum Wage and Overtime Exemptions:

  • Certain agricultural employees
  • Executives, administrative, and professional employees
  • Volunteers for educational, charitable, religious, and non-profit organizations
  • Employees under 16 working less than 20 hours per week
  • Outside salesman
  • Commissioned employees
  • Employees enrolled as a trainee as part of a public school special education program
  • Non-administrative employees of organized camps
  • Certain establishments selling food and drink for consumption on the premises grossing less than $400,000 annually
  • Drive-in theaters
  • Establishments engaged in the first canning, packing or freezing of fruits, vegetables, poultry, or seafood

Overtime Only Exemptions (must earn the State Minimum Wage Rate):

  • Taxicab drivers
  • Certain employees selling/servicing automobiles, farm equipment, trailers, or trucks
  • Non-profit concert promoter, theater, music festival, music pavilion, or theatrical show
  • Employers subject to certain railroad requirements of the U.S. Dept. of Transportation, the Federal Motor Carrier Act, and the Interstate Commerce Commission

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