LANSING — Michigan’s minimum wage is set to increase from $12.48 to $13.73 per hour on Jan. 1, 2026, under the state’s Improved Workforce Opportunity Wage Act — a scheduled rise that continues the state’s multi-year wage adjustment tied to inflation and economic conditions.

The law, passed in 2018, raises the minimum wage only in years when Michigan’s unemployment rate stays below 8.5%. After a period of legal uncertainty and economic recovery, the state confirmed that the 2026 increase will move forward as planned.

Breakdown of 2026 Wage Changes

Standard minimum wage: $12.48 → $13.73 per hour

Youth wage for 16–17-year-olds (85% rate): $10.60 → $11.67 per hour

Tipped wage (40% of minimum): $5.49 per hour, provided workers earn at least $8.24 in tips

Training wage: Remains $4.25 p

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