Sources checked:
Quick answer. Michigan: SUTA wage base; 2.7% new employer rate; new hires reported in 20 days; $15.00 minimum wage from January 1; paid sick leave required; no adult meal break rule. 20 of 20 checklist items are confirmed on official pages; none are open.
Michigan 2027 employer checklist
1. Register for unemployment tax and withholdingBefore the first payroll.
-
ConfirmedOpen a state unemployment tax account
Register through Michigan Treasury Online; the shared e-registration connects to the Unemployment Insurance Agency to finish it, and UIA filing is separate.
Source: Michigan Unemployment Insurance Agency (UIA), checked November 2026 · More: Unemployment tax wage bases by state
-
ConfirmedTaxable wage base for 2027
Not announced yet when we checked in November 2026. Use the 2026 base below until the state publishes the 2027 figure, usually by January.
Source: Michigan UIA: Taxable Wage Base, checked November 2026 · More: Unemployment tax wage bases by state
-
ConfirmedTaxable wage base for 2026 (the latest published)
$9,000 per employee in 2026.
UIA: the taxable wage base is $9,000 for qualified employers.
Source: Michigan UIA: Taxable Wage Base, checked November 2026 · More: Unemployment tax wage bases by state
-
ConfirmedNew employer tax rate
2.7% for a new employer.
UIA: 2.7% for all new employers except certain construction companies.
- New construction employers: The average rate for the construction industry for the first two years, announced by UIA early each year; UIA says it has run from 5.3% to 8.1% in recent years.
Source: Michigan UIA: Taxable Wage Base, checked November 2026 · More: Unemployment tax wage bases by state
-
ConfirmedQuarterly wage reports and payments
UIA: due the 25th of the month after the quarter (April 25, July 25, October 25, January 25); if the 25th is a weekend, the next Monday.
Source: Michigan UIA: Taxable Wage Base, checked November 2026 · More: Unemployment tax wage bases by state
-
ConfirmedState income tax withholding
State income tax applies. New employees fill out the state certificate: MI-W4, Employee's Michigan Withholding Exemption Certificate.
Source: Michigan Department of Treasury: Form MI-W4, checked November 2026
-
ConfirmedWorkers who live in a neighboring state
Reciprocity partners named by the state: Illinois, Indiana, Kentucky, Minnesota, Ohio and Wisconsin. Their residents can give you Form MI-W4 (Withholding Exemption Certificate).
Residents of reciprocal states (Illinois, Indiana, Kentucky, Minnesota, Ohio, and Wisconsin) working in Michigan,
Sources: Michigan Department of Treasury: 2026 Michigan Income Tax Withholding Guide (Form 446); Michigan Department of Treasury: Are my wages earned in another state taxable in Michigan if I am a Michigan resident?; Michigan Department of Treasury: Are wages earned by a Michigan nonresident while temporarily telecommuting from Michigan subject to tax?, checked November 2026 · More: Michigan tax reciprocity
2. Report new hires and check work eligibilityFor every hire, rehire and, where the state says so, contractor.
-
ConfirmedReport each new hire to the state
Within 20 days of the date of hire or rehire. Electronic reporters report twice a month, 12 to 16 days apart.
- Who: Newly hired and rehired employees.
- How: online, fax, mail. Online at mi-newhire.com; fax 877-318-1659; mail Michigan New Hires Operation Center, PO Box 85010, Lansing, MI 48908-5010.
Source: Official page, checked November 2026 · More: First hire checklist for Michigan
-
ConfirmedWorkplace posters
Michigan Department of Labor and Economic Opportunity lists the required posters.
Source: Michigan LEO: Wage and Hour posting requirements for employers, checked November 2026 · More: First hire checklist for Michigan
-
ConfirmedE-Verify for private employers
No state law requires private employers in Michigan to use E-Verify: NCSL's State E-Verify Action summary (secondary source, checked November 2026) lists Michigan among the states that require it of most public employers, not among the nine that require it of all employers.
Nine states—Alabama, Arizona, Georgia, Louisiana, Mississippi, North Carolina, South Carolina, Tennessee, Utah—require E-Verify for all employers
Source: NCSL (secondary source): State E-Verify Action, National Conference of State Legislatures (undated 50-state summary), checked November 2026 · More: E-Verify requirements by state
3. Set pay at the minimum wage: January 1 and mid-yearCheck every hourly and tipped rate against the floor.
-
ConfirmedMinimum wage now (2026)
$13.73 an hour.
$13.73 from January 1, 2026 (Michigan LEO).
Sources: Michigan LEO: Minimum Wage & Overtime; Michigan LEO: Minimum Wage and Overtime FAQ; Michigan Legislature: Local Government Labor Regulatory Limitation Act, 2015 PA 105 (MCL 123.1381 to 123.1396); U.S. Department of Labor: State Minimum Wage Laws (updated November 5, 2026); U.S. Department of Labor: Minimum Wages for Tipped Employees (revised July 1, 2026), checked November 2026 · More: Michigan minimum wage 2027
-
ConfirmedMinimum wage change in 2027
Rises to $15.00 an hour on Friday, January 1, 2027.
Michigan LEO: effective January 1, 2027, the minimum wage rate is $15.00 per hour.
Sources: Michigan LEO: Minimum Wage & Overtime; Michigan LEO: Minimum Wage and Overtime FAQ; Michigan Legislature: Local Government Labor Regulatory Limitation Act, 2015 PA 105 (MCL 123.1381 to 123.1396); U.S. Department of Labor: State Minimum Wage Laws (updated November 5, 2026); U.S. Department of Labor: Minimum Wages for Tipped Employees (revised July 1, 2026), checked November 2026 · More: Michigan minimum wage 2027
-
ConfirmedTipped employees
Cash wage of at least $6.30 an hour in 2027 ($5.49 in 2026), with tips making up the rest.
Tipped cash wage is 40% of the minimum in 2026 ($5.49) and 42% from January 1, 2027 ($6.30), per LEO's FAQ.
Source: U.S. Department of Labor: Minimum Wages for Tipped Employees (revised July 1, 2026), checked November 2026 · More: Michigan minimum wage 2027
-
ConfirmedRate for: Workers under 18 (85% of the minimum)
$12.75 an hour in 2027 ($11.67 in 2026).
LEO lists $11.67 for 2026; 85% of $15.00 is $12.75.
Sources: Michigan LEO: Minimum Wage & Overtime; Michigan LEO: Minimum Wage and Overtime FAQ; Michigan Legislature: Local Government Labor Regulatory Limitation Act, 2015 PA 105 (MCL 123.1381 to 123.1396); U.S. Department of Labor: State Minimum Wage Laws (updated November 5, 2026); U.S. Department of Labor: Minimum Wages for Tipped Employees (revised July 1, 2026), checked November 2026 · More: Michigan minimum wage 2027
-
ConfirmedRate for: New hires under 20, first 90 days (training wage)
$4.25 an hour in 2027 ($4.25 in 2026).
LEO FAQ.
Sources: Michigan LEO: Minimum Wage & Overtime; Michigan LEO: Minimum Wage and Overtime FAQ; Michigan Legislature: Local Government Labor Regulatory Limitation Act, 2015 PA 105 (MCL 123.1381 to 123.1396); U.S. Department of Labor: State Minimum Wage Laws (updated November 5, 2026); U.S. Department of Labor: Minimum Wages for Tipped Employees (revised July 1, 2026), checked November 2026 · More: Michigan minimum wage 2027
4. Paid sick leaveAccrual, limits and notice.
-
ConfirmedPaid sick leave
Earned Sick Time Act (ESTA), as amended by HB 4002 (2025). Yes: a statewide paid sick leave law covers private employers.
- Accrual: At least 1 hour of earned sick time for every 30 hours worked.
- Yearly limit: Use may be limited to 72 hours of paid time a year (40 hours a calendar year at a small business).
- Small employers: A small business has 10 or fewer employees, counting full-time, part-time and temporary workers, including those from staffing agencies. Its employees accrue from October 1, 2025, and use may be limited to 40 paid hours a year.
- Carryover: Under the accrual method, employees may carry over up to 40 hours (small business) or 72 hours (other employers).
- Notice to employees: Employers give written notice of ESTA rights at hiring and display the required poster (English, Spanish and Arabic versions are published).
- When it can be used: Under the accrual method, a new employee may have to wait until the 120th calendar day after starting; front-loading employers have no wait.
Sources: Earned Sick Time Act (Michigan LEO); Earned Sick Time Act FAQ, revised 7/22/2025 (Michigan Wage and Hour Division); MCL 123.1388, Providing employee paid or unpaid leave time; requirement by local governmental body prohibited (Michigan Legislature), checked November 2026 · More: Michigan paid sick leave
-
ConfirmedCity or county sick leave rules
MCL 123.1388 (Local Government Labor Regulatory Limitation Act)
Source: MCL 123.1388, Providing employee paid or unpaid leave time; requirement by local governmental body prohibited (Michigan Legislature), checked November 2026 · More: Michigan paid sick leave
5. Meal and rest breaksAdults and workers under 18.
-
ConfirmedMeal breaks for adults
No state requirement, per the state's own page. No meal period requirement for employees 18 and older.
There are no requirements for breaks, meal or rest periods for employees 18 years of age or older.
Source: Michigan LEO: Breaks, meal and rest periods, checked November 2026 · More: Meal and rest break laws by state
-
ConfirmedRest breaks for adults
No state requirement, per the state's own page. No rest period requirement for employees 18 and older.
There are no requirements for breaks, meal or rest periods for employees 18 years of age or older.
Source: Michigan LEO: Breaks, meal and rest periods, checked November 2026 · More: Meal and rest break laws by state
-
ConfirmedBreaks for workers under 18
Employees under 18 can't work more than 5 hours without a documented, uninterrupted 30-minute break. (Ages: under 18.)
Employees under the age of 18 may not work more than five hours without a documented 30-minute uninterrupted break.
Source: Michigan LEO: Breaks, meal and rest periods, checked November 2026 · More: Meal and rest break laws by state
6. Workers' compensationCoverage, posters and proof.
-
ConfirmedWorkers' compensation insurance
Private employers that regularly employ three or more employees at one time, part-time included.
regularly employing 3 or more employees at one time.
- Owners and officers: A sole proprietor is never an employee of the business. Partners, corporate officers and LLC members who are managers count as employees; an exclusion form is one way to comply.
- Poster: The agency says the law doesn't require a workers' comp posting; it encourages the 'Employees - Know Your Rights' (WC-PUB-005) and 'Rights & Responsibilities' (WC-PUB-006) posters.
Source: Workers' Disability Compensation Insurance Requirements (Michigan LEO), checked November 2026 · More: Workers' comp requirements by state
-
ConfirmedIf there's no coverage
A fine of $1,000, 30 days to 6 months in jail, or both, with each uninsured day a separate offense; an uninsured employer can also be sued in civil court.
Source: Workers' Disability Compensation Insurance Requirements (Michigan LEO), checked November 2026 · More: Workers' comp requirements by state
7. Final payWhen someone leaves.
-
ConfirmedFinal pay when you let someone go
Immediately, as soon as the amount can with due diligence be determined.
as soon as the amount can with due diligence be determined
Sources: MCL 408.475: Payment of wages to employee voluntarily leaving employment; Michigan LEO: Overview of the Payment of Wages and Fringe Benefits Act (WHD-9801), checked November 2026 · More: Final paycheck laws by state
-
ConfirmedFinal pay when an employee quits
As soon as the amount can with due diligence be determined.
as soon as the amount can with due diligence be determined
- Unused vacation: Fringe benefits such as vacation are paid when earned under a written contract or written policy; the state's overview doesn't separately address payout at termination.
- If it's late: Employers can face interest and civil penalties, and exemplary damages of twice the amount found due.
Sources: MCL 408.475: Payment of wages to employee voluntarily leaving employment; Michigan LEO: Overview of the Payment of Wages and Fringe Benefits Act (WHD-9801), checked November 2026 · More: Final paycheck laws by state
-
ConfirmedFor a laid-off employee: the state's work search rule
Report at least 3 unique work search activities for each week you claim benefits.
Source: Michigan Unemployment Insurance Agency (UIA), checked November 2026 · More: Michigan work search rules
8. Year-end W-2 and 1099 filingState copies, due in early 2027 for 2026 pay.
-
ConfirmedState copies of W-2s and 1099s
Businesses must submit state copies of their income record forms, including 1099-NEC and 1099-MISC; the reminder doesn't tie this to Michigan withholding.
- W-2s: January 31
- 1099s: 1099-NEC January 31; 1099-MISC February 28 on paper or March 31 electronically
- Annual reconciliation: Sales, Use and Withholding Taxes Annual Return (Form 5081), due February 28 (don't attach W-2s or 1099s).
- Electronic filing: Businesses issuing 250 or more income record forms must use Michigan Treasury Online (MTO).
Sources: Michigan Treasury: Business Taxpayers Reminded About State Filing of W-2s and 1099s (January 22, 2025); IRS Publication 1220 (Rev. 5-2026), Part A Sec. 12, Table 1: Participating States and Codes, checked November 2026 · More: Michigan 1099 filing requirements
Key dates for 2027
Only the dates our files state. A date on a weekend or holiday is flagged, not moved, unless the agency's page says it moves.
Hiring in another state? Employer registration in Michigan, done for you, or a free bookkeeping health check.
| Date | What | Source |
|---|---|---|
| Friday, January 1, 2027 | Minimum wage rises to $15.00 an hour | |
| Monday, January 25, 2027 | Unemployment tax report and payment for the fourth quarter of 2026 | |
| Sunday, January 31, 2027 | W-2s and 1099-NEC state copies Sunday, January 31, 2027 is a Sunday. The agency's page we opened doesn't say whether it moves to the next business day; file by the Friday before to be safe, or ask the agency. | |
| Monday, February 1, 2027 | Form W-2 Copy A (with W-3) to SSA, and employee copies (federal) | |
| Monday, February 1, 2027 | Form 1099-MISC copies to payees (federal) | |
| Monday, February 1, 2027 | Form 1099-NEC to the IRS and to each payee (federal) | |
| Sunday, February 28, 2027 | 1099-MISC on paper (if not covered by CF/SF) Sunday, February 28, 2027 is a Sunday. The agency's page we opened doesn't say whether it moves to the next business day; file by the Friday before to be safe, or ask the agency. | |
| Sunday, February 28, 2027 | Form 5081 annual return Sunday, February 28, 2027 is a Sunday. The agency's page we opened doesn't say whether it moves to the next business day; file by the Friday before to be safe, or ask the agency. | |
| Monday, March 1, 2027 | Form 1099-MISC to the IRS on paper (federal) | |
| Wednesday, March 31, 2027 | 1099-MISC electronically (if not covered by CF/SF) | |
| Wednesday, March 31, 2027 | Form 1099-MISC to the IRS electronically (federal) | |
| Sunday, April 25, 2027 | Unemployment tax report and payment for the first quarter of 2027 Falls on a Sunday. This is the date as the agency states it; check its rule for weekend due dates (see step 1). | |
| Sunday, July 25, 2027 | Unemployment tax report and payment for the second quarter of 2027 Falls on a Sunday. This is the date as the agency states it; check its rule for weekend due dates (see step 1). | |
| Monday, October 25, 2027 | Unemployment tax report and payment for the third quarter of 2027 |
Michigan kit
Michigan Employer Compliance Kit 2027
This checklist as a printable document with every source link and check date, a 2027 deadline calendar, a start-here guide, and an Excel workbook with a deadline tracker and new-hire and pay-change checklists, all built from the same data as this page.
General information, not legal, tax or payroll advice. We are not lawyers, and MCC Solutions is not a law firm or a payroll service. Nothing here guarantees compliance. Rules change, cities and counties can add their own, and the agency's own page has the final word.
Common questions
What is the Michigan unemployment tax wage base for 2027?
Not announced yet when we checked in November 2026. Use the 2026 base below until the state publishes the 2027 figure, usually by January.
How soon must a Michigan employer report a new hire?
Within 20 days of the date of hire or rehire. Electronic reporters report twice a month, 12 to 16 days apart.
What is the Michigan minimum wage in 2027?
Rises to $15.00 an hour on Friday, January 1, 2027. Michigan LEO: effective January 1, 2027, the minimum wage rate is $15.00 per hour.
Does Michigan require paid sick leave?
Earned Sick Time Act (ESTA), as amended by HB 4002 (2025). Yes: a statewide paid sick leave law covers private employers. Accrual: At least 1 hour of earned sick time for every 30 hours worked.
When is a final paycheck due in Michigan?
If the employer ends the job: Immediately, as soon as the amount can with due diligence be determined. If the employee quits: As soon as the amount can with due diligence be determined.
Does Michigan require state W-2 or 1099 filing?
Businesses must submit state copies of their income record forms, including 1099-NEC and 1099-MISC; the reminder doesn't tie this to Michigan withholding. W-2s: January 31 1099s: 1099-NEC January 31; 1099-MISC February 28 on paper or March 31 electronically
Do Michigan employers need workers' comp?
Private employers that regularly employ three or more employees at one time, part-time included.
Related: Employer compliance by state · 2027 changes for employers
Rule Watch: keep this state's employer rules and next deadlines on one private dashboard, with changes marked when our data changes. From $9 a month. See Rule Watch.
Required posters: workplace posters by state, with free official links.