Maryland Wage and Hour Laws

The Old Line State prides itself on hard work, and we all want a fair wage for our labor. So what laws are in place to ensure we get compensated for the time we put in? Here is a brief summary of wage and hour laws in Maryland

Minimum Wage and Overtime in Maryland

The minimum wage schedule for Maryland is listed below. Certain employees, like executives and those under 16 or over 62 who work less than full time, are exempt from the minimum wage law. Tipped employees must earn at least the state minimum wage per hour, with employers paying at least $3.63 per hour. This amount plus their tips must equal at least the minimum wage. Overtime in Maryland is calculated at 1.5 times the usual hourly rate, but may not apply to hotels, restaurants, non-profits, and other kinds of employers.

Payday Requirements in Maryland

While certain administrative, executive, and professional employees are permitted to negotiate less frequent paydays, Maryland law requires employers to pay employees every two weeks or twice each month. Employers may pay wages in cash, check, direct deposit, a debit card, or deposit to a card account. Direct deposit, debit card, and card account payments require employee consent and all fees associated with the debit and card accounts must be disclosed to the employee in writing.

Wage and Hour Statutes in Maryland

Generally, pay date requirements and minimum wage and overtime are covered by a combination of state and Federal labor laws. Wage and hour laws in Maryland are highlighted in the chart below.

Code Sections

Minimum Wage and Overtime Law: Labor and Employment Articles §3–401 et seq.

Pay Day Frequency Requirements and Methods: Labor and Employment Articles §3–501 et seq.

Pay Day Requirements

Every two weeks or twice each month; administrative, executive, and professional employees may opt for longer pay periods

Method of Payment

United States currency or a check that, on demand, is convertible at face value into United States currency;

Direct deposit or a debit or card account with employee’s permission.

Minimum Wage

$7.25 Until 12/31/14 $8.00 Effective 1/1/15 $8.25 Effective 7/1/15 $8.75 Effective 7/1/16 $9.25 Effective 7/1/17 $10.10 Effective 7/1/18

Overtime Pay

1.5 times the usual hourly rate

Employers Who Must Follow State Minimum Wage Laws

Any person engaged in a business, industry, profession, trade, or other enterprise in the State, including a person who acts directly or indirectly in the interest of another employer with an employee.

Workers Not Covered Under State Minimum Wage Law

Administrative, executive, or professional;

Non-administrative capacity at an organized camp, including a resident or day camp;

Under the age of 16 years and is employed no more than 20 hours in a week;

Outside salesperson;

Compensated on a commission basis;

At least 62 years old and is employed no more than 25 hours in a week;

Child, parent, spouse, or other member of the immediate family of the employer;

Employed in a motion picture or drive-in theater;

Employed as part of the training in a special education program for emotionally, mentally, or physically handicapped students under a public school system;

Employed by an employer who is engaged in canning, freezing, packing, or first processing of perishable or seasonal fresh fruits, vegetables, or horticultural commodities, poultry, or seafood;

Engages in the activities of a charitable, educational, not for profit, or religious organization;

Employed in a cafe, drive-in, drugstore, restaurant, tavern, or other similar establishment.

(Tipped Employees (earning more than $30 per month in tips): must earn the State Minimum Wage Rate per hour. Employers must pay at least $3.63 per hour. This amount plus tips must equal at least the State Minimum Wage Rate.)

Enforcement

Maryland Employment Standards Service

(410) 767-2357

Maryland Wage and Hour Laws: Related Resources

As seen above, Maryland wage and employment laws are subject to change. If you would like legal assistance with and employment matter, you can contact a Maryland employment attorney. You can also visit FindLaw's Fair Wages FAQ, Exempt Employees section, and the federal Fair Labor Standards Act (FLSA) for more articles and resources on this topic.