Remote Logo
English
Remote Logo
English
Pricing
Book Demo
×

Book a demo, see Remote in action


Find out how Remote can guide you through the complexities of managing cross-border hiring, payroll, taxes, and compliance.

 

Employing in Michigan

In Michigan, workers’ rights are protected by numerous employment and labour laws, at both the state and federal level. As a result, employees enjoy protection from discrimination based on age, religion, sexual orientation, gender, and race.

Here are the key things you need to know about hiring in Michigan.

Hours of work in Michigan

Overtime laws in Michigan are set by the state’s Improved Workforce Opportunity Act, which differs slightly to the federal Fair Labour Standards Act.

What is considered full-time employment in Michigan?

Full-time employment is generally considered to be between 30 and 40 hours per week, although there is no set legal definition.

Do pay employees get overtime in Michigan?

Under the federal Fair Labour Standards Act, non-exempt employees are entitled to overtime pay of 1.5x their regular pay rate if they work more than 40 hours in a week.

Employees are generally (but not always) exempt from overtime if they:

  • Earn more than the specified state or federal exemption threshold
  • Perform a role with duties that are
  • Work in a certified or licensed profession, such as law, accounting, architecture, or engineering

In Michigan, the pay threshold for exemption is currently $684 per week, which is the federal minimum.

Note that the federal pay threshold for exemption is currently being reviewed in the US.

Minimum wage in Michigan

The minimum state wage for private sector employees is currently $10.33 per hour.

Onboarding timeline in Michigan

We can help you get your new employee started in Michigan fast, with a minimum onboarding time (MOT) of just 2 working days. Note that the MOT is dependent upon registration with the local authorities, and begins after the employee has submitted all the required information on the Remote platform.

For non-citizens of the US, a work eligibility assessment may be required, and can add three extra days to the onboarding time. If a follow-up is needed, there may be additional delays.

Please note that payroll cut-off dates can impact the actual first day of employment. Remote’s payroll cut-off date is the 10th of the month, unless otherwise specified.

Payroll cycle in Michigan

Under state law, employees must be paid at least once per month (employees in some occupations must be paid more frequently).

For Remote customers, employee payments are made twice per month in equal instalments, payable in arrears. The first payment is made on the 15th of the month and the second payment is made on the final day of the month. If relevant, bonus payments, commissions, and expense reimbursements are included in the second payment of the cycle.

Competitive benefits package in Michigan

Remote can help you craft a competitive benefits package to attract and retain the best global talent. Our benefits experts understand the trends, requirements, and expectations of the Michigan labour market, allowing your employees to feel appreciated and thrive.

Our benefits packages in Michigan usually include some or all of the following:

pension_or_401(k)
Pension or 401(K)
medical_insurance
Medical Insurance
vision_insurance
Vision Insurance
health_saving_plan_(hsa)
Health Saving Plan (HSA)
long_term_disability_insurance_(ltd)
Long term disability insurance (LTD)
dental_insurance
Dental Insurance
life_insurance
Life Insurance
flexible_spending_account_(fsa)
Flexible Spending Account (FSA)

Are employers required to provide health insurance in Michigan?

Under the federal Affordable Care Act, organizations with a headcount of 50 or more must offer statutory health insurance to their full-time employees.

Many employers also offer some level of supplemental health insurance. While this can lead to a relative rise in employment costs, it’s an essential benefit that ensures your people have access to routine care and are covered in the event of an emergency. 

Because Remote is the employer of record (EOR), it’s important for us to offer the same core benefits to all employees to ensure fair and non-discriminatory hiring practices. This protects both your business and ours.

Note that we do not add a markup on any benefits premiums or administration costs.

Are employers required to offer 401k in Michigan?

No. Organizations are not legally required to offer a 401k retirement plan (or any other type of savings plan) to their employees. However, they may choose to offer this benefit as part of their overall compensation package.

Facts & Stats

As the birthplace of both Motown and the US automobile industry, Michigan has long been associated with innovation, progress, and persistence.

There’s more to the Wolverine State than just Motor City, though. With instant access to the breathtaking nature of the Great Lakes, a thriving agricultural scene, and prestigious educational institutions like the University of Michigan, it’s a highly desirable location for both employees and businesses alike.

Capital City
Lansing
Currency
United States Dollar
($, USD)
Population size
10,000,000
VAT - standard rate
6%

Grow your team in Michigan with Remote

If you want to hire in Michigan, you’ll need to own a legal entity there — or partner with a global employment solutions provider, like Remote.  

We can employ top talent in Michigan on your behalf and manage complex HR tasks such as onboarding, payroll, benefits, and taxes. You can also manage and pay your contractors in Michigan through Remote.

Risks of misclassification

Michigan, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in Michigan may lead to fines and penalties for the offending company.

Book a demo Sign up for free

Fair Pricing in Michigan

Payroll

43

per employee/month
Book a demo
  • Powerful, transparent international payroll
  • Simple self-service platform
  • Personalised support from dedicated specialists
  • Adhere to local payroll regulations in every country
  • Integrated payroll, expense management, and HRIS solution
Contractor Management

44

per contractor/month
Book a demo
  • Only pay for contractors you actively work with
  • Work with international contractors
  • Create, edit, and sign tailored, localised contracts
  • Approve contractor invoices with one click or auto-pay
  • Transparent payments with complete visibility
Employer of Record

1069 915

per contractor/month
Book a demo
  • Hire without opening a local entity
  • Guided onboarding
  • Local payroll paid on time, every time
  • Built-in security and compliance
  • Flexible, localised benefits
  • Offer equity incentives with tax assistance
  • Dedicated experts for local support