Michigan does not require daily overtime. Unlike a handful of states that pay extra after 8 hours in a single day, Michigan ties overtime entirely to the workweek: a covered employee must be paid 1.5 times their regular rate of pay for every hour worked over 40 in a single workweek. There is no Michigan rule that triggers overtime because you worked a long shift, worked on a weekend, or worked a seventh consecutive day. What matters is the total number of hours in the seven-day workweek. This rule comes from Michigan's Improved Workforce Opportunity Wage Act (IWOWA) and mirrors the federal Fair Labor Standards Act (FLSA).
The 40-Hour Workweek Rule in Michigan
A workweek is a fixed, recurring period of 168 hours, or seven consecutive 24-hour days. Your employer chooses when it begins, but once set, it generally cannot be changed to dodge overtime. Overtime is calculated separately for each workweek; an employer cannot average two weeks together. So if you work 30 hours one week and 50 hours the next, you are owed 10 hours of overtime for the second week, even though the two-week average is exactly 40.
The overtime rate is 1.5 times your regular rate of pay, which is not always the same as your base hourly wage. The regular rate must include most non-discretionary bonuses, shift differentials, and commissions. For example, if you earn an hourly wage plus a production bonus, that bonus has to be folded into your regular rate before the time-and-a-half multiplier is applied. Leaving bonuses out of the calculation is one of the most common ways workers are shortchanged.
Because Michigan has no daily overtime requirement, hours that span past midnight or unusually long single shifts do not, by themselves, create an overtime obligation. The only path to overtime under Michigan law is crossing 40 hours in the defined workweek.
How Michigan Compares to the Federal Baseline
The federal FLSA sets the floor for the entire country: a federal minimum wage of $7.25 per hour and overtime at 1.5x after 40 hours per week. Michigan's overtime structure is the same 40-hour weekly trigger, so on overtime the state does not add daily protections the way California or Colorado do.
Where Michigan goes beyond the federal floor is the minimum wage. Michigan's minimum wage is higher than the federal $7.25 and has been scheduled to rise on a set timetable following 2024 litigation over the state's wage law. Because this figure changes on a fixed schedule, you should confirm the current Michigan minimum wage as of 2026 with the state's official source before relying on a number. A higher minimum wage matters for overtime because your regular rate, and therefore your overtime rate, can never be calculated below the applicable minimum wage.
Who Is Covered, and Who Is Exempt
Michigan's IWOWA generally covers employers who employ two or more employees aged 16 and older. Many workers are also covered directly by the federal FLSA. In practice, if you are a typical hourly employee in Michigan, you are very likely entitled to overtime unless a specific exemption applies.
Michigan largely follows the federal exemption framework. The most common exemptions include:
- Executive, administrative, and professional employees (the "white-collar" exemptions). To qualify, an employee generally must be paid on a salary basis above the federal salary threshold and perform exempt job duties. A job title alone does not make you exempt, and being paid a salary does not automatically make you exempt.
- Outside sales employees who regularly work away from the employer's place of business.
- Certain computer professionals meeting salary and duties tests.
- Some agricultural workers and specific categories addressed under state and federal law.
The salary thresholds that determine white-collar exempt status are set under federal regulations and have been the subject of recent legal changes. Because those thresholds can shift, confirm the current figure before assuming a salaried worker is or is not exempt. Crucially, misclassification is widespread: workers labeled "managers," "assistant managers," or "independent contractors" are frequently owed overtime when their actual duties or pay structure do not satisfy a genuine exemption.