How much is minimum wage?  As of 2/16/06, in Maryland it is $6.15:  The Maryland minimum wage is higher than the federal minimum wage. If you work in Maryland, you should be paid $6.15 for each hour you work.

Some people do not get this wage.  If you are younger than 16 and work fewer than 20 hours each week, you might be paid less.  If you are a camp counselor, work for your family, or get tips you might be paid less.  

Other minimum wages:
$5.15 is the lowest hourly wage most Americans can be paid.  If your job does not have to pay you $6.15, it might have to pay $5.15. The $5.15 federal minimum wage applies to employers with business or contacts that cross state boundaries, or contracts with the United States government. 

$4.25 If you are a new employee, younger than age 20, you have a minimum wage of $4.25.  This rate applies to employees under the age of 20 during their first 90 consecutive calendar days of employment with an employer. If you survive 90 days, then you must receive the full minimum wage of $5.15 per hour.

$3.08 + Tips = $6.15 Some employees with tips might only be paid $3.08 by their employers. The employee must make at least $6.15 with tips and pay (Md. Labor and Employment Code § 3-419) 

Overtime
If you are paid by the hour and if you work more than 40 hours each week, your hourly wage should increase for those extra hours.  You should be paid “time and ½” for your extra work. (Youth under 16 cannot work more than 40 hours!)   

Example: If your pay is $10 per hour, you should be paid $15 per hour during overtime.

You may not be eligible for overtime:

• if you are not entitled to $6.15 minimum wage; or
• you work at work at hotels, restaurants, gas stations, some amusement parks, country clubs, non-profits who work with the sick; or
• you work at theaters and music festivals for non-profit organizations, a place that sells or fixes automobiles, a taxi company; or
• you work at a transport business like a trucking company.

Some agricultural workers get time and ½ after working 60 hours per week.

Other people who might not get overtime are retail employees, hospital employees, some public agencies (police or firefighters), domestic workers, people who work with tobacco, public transportation employees (bus drivers), employees who are also receiving remedial education or employees who receive compensation time.

When should I be paid?
Employers must pay at least twice every month.

My boss took money from my check!
Employers must take money from your check.  This pays your income taxes (federal, state and local) and Social Security, and Medicare taxes (FICA). 

"FICA" is the Federal Insurance Contributions Act.  The payroll tax is paid half by you and half by your employer (a simple FICA description from a commercial site).  The money is designated to pay for your future Social Security (old age, survivors and disability benefits) and Medicare (a public health insurance program).

When you start a job, you will be given a W-4 form.  Fill out the W-4 correctly and the right amount of tax will be taken from your check. 

Must I file a tax return?
It’s a good idea to file your tax return each year.  Most employees are required to file tax returns before April 15 every year.  The Internal Revenue Service (IRS) does not require people with low incomes, like many youth, to file tax returns.  You should still file a return as you may be entitled to a refund.  Some low wage workers may also receive an Earned Income Tax Credit. 

Source: Rob Bader with additional material by MLAN

Last date of legal review  7/1/06 (MLAN/AC)