Ohio vs Michigan Payroll Comparison

Compare payroll compliance requirements between Ohio and Michigan. See key differences in wages, taxes, leave policies, and employer obligations.

Compare State Payroll Requirements

Select 2 states to compare their payroll compliance requirements side-by-side.

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RequirementOhioMichigan
Minimum Wage⚠️$10.45/hour (2024); small employers $7.25⚠️$10.33/hour (2024)
Tipped Minimum$5.25 + tips = $10.45$3.93/hour + tips
Overtime Threshold40 hours/week (federal FLSA)40 hours/week (federal FLSA)
Final Pay (Termination)Next regular paydayNext regular payday
Final Pay (Resignation)Next regular paydayNext regular payday
PTO Payout Required?No (unless policy requires)No (unless policy requires)
Pay Frequency MandateSemi-monthly (twice per month)Twice per month (manual workers)
State Income Tax⚠️Yes (0% - 3.75% progressive)⚠️Yes (4.25% flat rate)
Unemployment InsuranceYesYes
State Disability InsuranceNoNo
Paid Family LeaveNoNo
Paid Sick LeaveNo statewide mandateN/A
Workers' Comp Required⚠️Yes (BWC state fund - monopolistic)⚠️Yes (3+ employees)
Paid Medical Leave (ESTA)N/AYes (72 hrs/yr for 50+ employees)
⚠️More restrictive / complexSimpler / no requirement

Summary

Ohio and Michigan have similar overall compliance complexity based on key requirements.

Key Differences: Ohio vs Michigan

OHOhio

  • Minimum Wage:$10.45/hour (2024); small employers $7.25
  • Tipped Minimum:$5.25 + tips = $10.45
  • Overtime Threshold:40 hours/week (federal FLSA)
  • Final Pay (Termination):Next regular payday
  • Final Pay (Resignation):Next regular payday
  • PTO Payout Required?:No (unless policy requires)
View full Ohio guide →

MIMichigan

  • Minimum Wage:$10.33/hour (2024)
  • Tipped Minimum:$3.93/hour + tips
  • Overtime Threshold:40 hours/week (federal FLSA)
  • Final Pay (Termination):Next regular payday
  • Final Pay (Resignation):Next regular payday
  • PTO Payout Required?:No (unless policy requires)
View full Michigan guide →

Understanding Ohio and Michigan Payroll Differences

State Income Tax: Ohio has state income tax (Yes (0% - 3.75% progressive)), while Michigan has state income tax (Yes (4.25% flat rate)). This significantly impacts both employer withholding responsibilities and employee take-home pay.

Minimum Wage: Ohio minimum wage is $10.45/hour (2024); small employers $7.25, compared to Michigan at $10.33/hour (2024). Employers must pay at least the higher of federal, state, or local minimum wage requirements.

Paid Sick Leave: Ohio: No statewide mandate. Michigan: N/A. States with mandatory paid sick leave require employers to track accruals and provide specific leave entitlements.

For complete compliance requirements, review the full state guides for Ohio and Michigan.