2019 Minimum Wage Increase in Massachusetts
posted Dec 19, 2018 by Norman LeBlanc, CPA in the Business Blog
Effective January 1, 2019, Massachusetts’ minimum standard wage rate will increase from $11 to $12 per hour. This will be the first in a series of annual increases that will raise the hourly minimum standard wage rate to $15 in 2023.
- Minimum wage- $12
- Tipped minimum wage- $4.35
- FICA tip credit- $7.65
Eventually, the minimum tipped wage rate will increase annually to eventually reach $6.75 in 2023.
Impact on retail workers
Retail employee wages will also be impacted. As of now MA law holds that retail employees must be paid time-and-a-half on Sundays. The Sunday rate under new law will gradually decrease over the next five years until it is fully eliminated on January 1, 2023. The first decrease will take effect January 1, 2019 and will lower the rate to one and four-tenths the employee’s regular rate.
Massachusetts employers also make note that there are other changes to be aware of starting in 2019…check out our blog, Two Major Changes for MA Employers Coming in 2019.
Questions on these changes? Contact us.