An Act Relative to Minimum Wage, Paid Family Medical Leave, and the Sales Tax Holiday was signed into law on June 28, 2018, by Massachusetts Governor Charlie Baker. This bill implements a Minimum Wage Increase to $15 per hour, sets the service rate to $6.75 per hour, mandates paid family and medical leave for Massachusetts employees, phases out Sunday and holiday premium pay for retail employees, and creates a permanent sales tax holiday weekend.
Employee Minimum Wage
● Minimum Wage will incrementally increase to $15/hr on the following schedule
Jan. 1, 2021 – $13.50
Jan. 1, 2022 – $14.25
Jan. 1, 2023 – $15.00
Tipped Employee Minimum Wage
● Minimum Wage will incrementally increase to $6.75/hr on the following schedule
Jan. 1, 2021 – $5.55
Jan. 1, 2022 – $6.15
Jan. 1, 2023 – $6.75
● Minimum Wage calculated per shift not per pay period starting in 2019
Stay informed on PPP Loan Forgiveness updates and ensure your business meets all federal and state payroll requirements.
Repeal of OT pay for Sundays and Holidays
● Phases out of retailer’s requirement to pay overtime for Sundays and Holidays
January 1, 2021 OT/holiday rate is 1.2 times regular rate
January 1, 2022 OT/holiday rate is 1.1 times regular rate
January 1, 2023 OT/holiday rate is 1.0 times regular rate
Stay compliant with Massachusetts wage and leave laws with guidance from Steven M. Ellard, CPA, who can help you navigate minimum wage increases, paid family leave, and other payroll requirements.