What Is Maryland’s Minimum Wage?

The dawn of 2022 will see several states implement changes to their minimum wages. The good news is that many of these states, 26 to be precise, will be increasing the minimum wage. This is according to a report by payroll experts at Wolters Kluwer Legal & Regulatory U.S.

With the highest rates rising to $15 per hour in California and certain parts of New York, residents of other states will be wondering if the minimum wage will be changing for them too. Fortunately, more states are expected to raise their minimum wage to $15 per hour in the next few years.

By 2023, Connecticut and Massachusetts plan to reach $15 per hour, New Jersey in 2024, and by 2025, Delaware, Illinois, and Rhode Island plan to join this list. 2025 is also the proposed year that many large employers in Maryland plan to increase the minimum wage to $15 per hour. 

But, what about now? What is the minimum wage in Maryland today? Read on to find out more about wages in Maryland and if there are any exceptions.

Maryland’s State Minimum Wage 

Maryland’s current state minimum wage rate stands at $11.75 per hour. When we consider that the federal Minimum Wage in the U.S. is $7.25, Maryland’s is significantly higher. Because of this state minimum wage, residents of Maryland are entitled to the higher state minimum wage.

This minimum wage applies to the majority of employees in Maryland. However, there are some exceptions such as tipped employees, certain student workers, and some other exempt occupations such as agricultural workers and employees who are under 20 years of age. 

The Maryland minimum wage has not been changed since 2008. In that year, it was raised a total of $5.20 from $6.55 to $11.75 per hour. 

For companies that currently employ 15 or more people, Maryland’s minimum wage is $11.75 per hour. This is due to rise to $12.50 in 2022. 

For companies that employ 14 employees or less, the current minimum wage in Maryland is $11.60. This is to increase in 2022 to $12.20. 

Maryland’s Local Minimum Wage 

The local minimum wage in Maryland is as follows:

Montgomery County – This currently has a minimum wage of $15.00 per hour for businesses that employ 51 or more people. This is an increase from $14.00. For businesses with 50 or fewer employees, the minimum wage is currently $14.00 an hour. This is an increase of $0.75 per hour from before. For small businesses that employ 10 or fewer people, the current minimum wage is $13.50, an increase of $0.50 from before. 

Prince George County – Maryland’s state minimum wage currently applies in Prince George County. 

There are some other exceptions to Maryland State’s minimum wage. These include:

  • Agricultural workers
  • Food cleaning laborers
  • Part-time employees (work up to 20 hours per week) who are under 16 years old 
  • Part-time employees (work less than 25 hours per week) who are aged 62 and over
  • Movie theater and drive-in employees 

Unless you or your occupation are exempt from the minimum wage laws set out by the state of Maryland, no employers can pay you below $11.75 per hour. 

Furthermore, all Maryland employers have to display an approved Maryland minimum wage poster in an easy-to-see, prominent place of the workspace. This is to inform employees about Maryland’s minimum wage and their worker’s rights under the Maryland labor law. 

Other Maryland and federal law posters are also to be on show at all times in the state to ensure all employees are aware of federal labor law and any overtime regulations. If an employer fails to display a Maryland labor law poster in the workplace, they could face significant fines and prosecution.

The required Maryland minimum wage posters, as well as additional Maryland labor law posters, are available via the Maryland labor law posters download page here

Minimum Wage Exemptions 

As we stated, there are some exemptions to Maryland State’s minimum wage. In addition to this, the federal Fair Labor Standards Act sets out special minimum wage rates that are applicable to certain workers. 

If you fall under any of the following categories, you can be paid below the minimum wage of Maryland:

  • Under 20 Maryland minimum wage – Due to Federal law, Maryland can pay a new employee under the age of 20 a training wage of $4.25 per hour during the first 90 days of employment. 
  • Student minimum wage in Maryland – For full-time high school and/or college students who work part-time, they can be paid 85% of the state’s minimum wage. This can be as little as $9.99 per hour for up to 20 hours of work a week. However, this only applies to certain employers such as work-study programs in universities.  
  • Tipped minimum wage in Maryland – For employees who earn a certain amount of tips in their work every month, it is possible for them to be paid a lower cash minimum wage. Nevertheless, these employees must earn at least $11.75 including tips every hour for this to occur. 

How Much Will You Earn if You Work a Minimum Wage Job in Maryland? 

If you work a full-time minimum wage job in Maryland, you can earn up to $94.00 a day. Full-time work translates to working 40 hours a week, 52 weeks of the year.

Therefore, you would earn $470.00 per week, and $24,440.00 per year when earning Maryland State’s minimum wage. 

This is $8,420.00 over the national poverty line for a family unit that consists of two people. That current wage stands at $16,020.00 per year. 

In Summary 

Maryland State’s current minimum wage stands at $11.75 per hour. This has not been changed since 2008 but is due to rise to $12.50 on the 1st January 2022. However, for some large employers, this minimum wage number is due to increase to $15.00 in 2025 in the state of Maryland. 

Although many other states have already adopted a minimum wage of $15.00 per hour, Maryland and six other states are due to increase minimum wages over the next five years or so.