The Most Trusted Employer of Record Services in Michigan
Are you looking to hire skilled employees in Michigan without the hassle of handling the employment process? Don’t worry; you have come to the right place! HR Options offers dedicated employer of record services to handle payroll, compliance, and the complexities of local employment laws. Our specialists manage everything, from onboarding to offboarding, so you can focus on your core business and goals.
Whether you want to find a dynamic workforce or expand operations into the state, we make the process simple and valuable. You can say goodbye to managing timesheets or compliance because we offer all-in-solution. Our well-organized online platform gives you real-time access to employment updates. Leave your HR headaches to us and scale your business with freedom!
Backed by years of experience, we can handle every aspect of the employment process, from talent acquisition to seamless onboarding, so you can focus on growing your business. Our intuitive online platform offers real-time updates and transparent reporting to help you make informed decisions. Contact us today and build a winning team for your business’s success!
Simplify Hiring with Specialized HR Services in Michigan
HR Options takes pride in becoming your strategic partner for workforce management. Our specialized EOR services in Michigan allow you to find seasonal staff, project specialists, or long-term partners. We tackle all employment challenges with care and precision to help your business grow without limits. Here’s what our HR experts handle:
- On-boarding
- Off-boarding
- W-2s
- 1099s
- Running payroll
- Collecting timesheets
- Handling employee relations
- Other aspects of the employment cycle
Valuable Benefits for Employees in Michigan
At HR Options, we help you build a comprehensive benefits package to attract and hire the best talent for your business. Our team understands what Michigan employees need and expect, so we can create plans that make your workers feel valued and supported. Depending on the organization, our benefits package usually includes some or all of these perks:
- 401(k) Plan
- Life Insurance
- Medical Insurance
- Vision Insurance
- Dental Insurance
- Long-term Disability Insurance (LTD)
- Health Saving Plan (HSA)
- Flexible Spending Account (FSA)
Essential Information About the Employment in Michigan
Looking for Reliable Employer of Record Services in Michigan? Here’s some essential employment information we think you should know:
What is the Minimum Wage in Michigan?
The minimum wage in Michigan is $12.48 as of 2025. It will rise to $13.29 per hour on February 21, 2026. The state adjusts its minimum wage almost every year on February 21st to keep up with inflation and the cost of living.
What is Considered Full-Time Employment in Michigan?
Michigan’s full-time workweek typically consists of 40 hours. However, the definition of full-time employment can vary depending on the employer and company policies. To avoid confusion, employees should confirm their employer’s specific policy on full-time status, as it impacts eligibility for benefits, pay, and overtime.
What is Considered Part-Time Employment in Michigan?
In Michigan, part-time employees work less than 32 hours a week or less than 130 hours monthly. These employees generally do not receive the same benefits or compensation as full-time workers. Employees should check their employer’s policies to understand their specific work hours and eligibility for benefits.
How Do Employees Get Paid Overtime in Michigan?
In Michigan, the standard workweek is 40 hours, and overtime pay applies to hours worked beyond this. The overtime rate is typically 1.5 times the employee’s regular hourly wage. This requirement applies to most employees, but some exemptions are based on job type and industry. Employees can verify their eligibility for overtime pay.
How Long Does Onboarding Take in Michigan?
Our EOR service experts ensure a quick onboarding process in Michigan, with a minimum timeline of 2 working days after collecting all required information. A work eligibility assessment may add up to 3 extra days for non-US citizens.
What is the Payroll Cycle in Michigan?
Michigan law requires employers to pay employees at least once per month, though certain occupations may have different pay frequencies. For remote employees, payroll applies twice a month. They get the first payment on the 15th of the month, while the second is on the last day. The second payment generally includes any applicable bonuses, commissions, or reimbursements.
Are Employers Required to Offer 401k in Michigan?
Michigan law does not require employers to provide a 401(k) retirement plan or any other savings plan. However, many companies include these benefits in their compensation packages to attract and retain top talent while helping employees secure their financial future.
Are Employers Required to Provide Health Insurance in Michigan?
Under the Affordable Care Act (ACA), employers with a headcount of 50 or more must offer health insurance to their staff. Many businesses go beyond the ACA requirements by offering supplemental health insurance to provide more comprehensive care, including routine and emergency coverage. As a top Employer of Record service provider, we ensure fair hiring practices by offering consistent benefits that align with state and federal regulations.
Clear Details of New Hire Paperwork Requirements in Michigan
When hiring in Michigan, employers must complete the essential paperwork to comply with state regulations. Here’s an overview of the required documents for new hires:
Employment Eligibility Verification (Form I-9)
The U.S. Citizenship and Immigration Services (USCIS) mandates that all employers complete Form I-9 for each new hire to verify their identity and work eligibility in the United States.
Withholding Tax Form (W-4 and MI-W4)
Employees must complete the federal W-4 form and Michigan MI-W4 forms to determine the appropriate tax withholdings from their paychecks.
Wage Payments Notice
Michigan employers must provide a written notice detailing an employee’s wage rate, pay frequency, and payment method (direct deposit, check, etc.) upon hire.
Workers’ Compensation Notice
Michigan law requires employers to provide new hires with information about workers’ compensation benefits to ensure employees know their rights and responsibilities regarding workplace injuries.
New Hire Reporting
Employers must report all new hires to the Michigan New Hire Reporting Program within 20 days of employment with the required information, including the employee’s name, address, Social Security number, and start date, and the employer’s name, address, and Federal Employer Identification Number (FEIN).
Local Requirements
Follow additional paperwork requirements for new hires in Flagstaff.
Employment Taxes in Michigan
In Michigan, statutory fees and employment taxes impact employees’ overall payroll and paychecks. Here’s a quick breakdown of known taxes in this state:
Employer Taxes
| Employment Tax | Tax Percentage |
|---|---|
| FICA (Medicare) | 1.45% |
| FICA (Social Security | 6.2% |
| State unemployment insurance tax (SUTA) | 0.6% to 10.3% |
| Federal unemployment insurance tax (FUTA) (charged on the first $7,000 earnings per year of an employee) | 6% |
Employee Taxes
| Tax Type | Tax Percentage |
|---|---|
| FICA (Medicare) | 1.45% |
| FICA (Social Security | 6.2% |
| State income tax | 4.25% |
| Federal income tax | 10% to 37% |
Important Leave Laws in Michigan
| Leaves Title | Law |
|---|---|
| Bereavement Leave | Michigan does not have a state law requiring employers to provide bereavement leave. However, employers may offer unpaid leave as part of their company policies. |
| Paid Sick Leave | Under Michigan law, eligible employees can take up to 40 hours of paid sick leave and 32 hours of unpaid sick leave annually. |
| Blood/Organ/Bone Marrow Donation Leave | No law mandates leave for blood, bone marrow, or organ donation. However, employers may offer leave or paid time off (if available) for donation activities. |
| Court Attendance/Witness Leave | Michigan has no law about court attendance or witness duty leave. However, employers can allow employees to use paid time off (PTO) for court-related absences. |
| Crime Victims' Leave | According to law, employees can take unpaid leave to participate in legal proceedings related to the crime. Employers cannot retaliate against employees for using this right. |
| Domestic/Sexual Violence Victims' Leave | Under the Earned Sick Time Act, employees who are victims of domestic violence or sexual assault can use accrued paid sick leave or take unpaid leave to attend court hearings, seek medical attention, obtain counseling, or relocate for safety. |
| Election Officials' Leave | Michigan has no specific law mandating leave for employees to serve as election officials. However, many employers provide time off for employees to vote in elections. |
| Family and Medical Leave | There is no state-specific law about family leave. Still, according to the federal Family and Medical Leave Act (FMLA), eligible Michigan employees can take up to 12 weeks (3 months) of unpaid, job-protected leave per year. To qualify for FMLA, the employee must have worked at least 1,250 hours over the past year. |
| Family Military Leave | No law mandates family military leave law in Michigan. However, FMLA allows eligible employees to take unpaid leave for certain military family needs. |
| Jury Duty Leave | Under Michigan law, employers must allow employees to serve on jury duty. However, employers are not required to pay employees during this time unless the company has specific policies. |
| Legislative/Political Leave | Under Michigan law, employers must allow employees to serve on jury duty. However, employers are not required to pay employees during this time unless the company has specific policies. |
| Military Service/Veterans' Leave | Michigan law requires all employers to grant leave to employees who are members of the military or veterans and ensure their reemployment after service. |
| Public Health Emergency (Quarantine/Isolation) Leave | In Michigan, the Earned Sick Time Act allows employees to use paid sick leave for public health emergencies, including quarantine or isolation. |
| Volunteer Emergency Responder Leave | Michigan law does not require employers to give leave to volunteer emergency responders. |
| Voting Leave | There is no voting leave law, but employers may offer time off for employees to vote in elections according to their policies. |
Comprehensive Employment Termination Details
Probation Period
Although Michigan law doesn't require a probation period for new employees, many businesses implement a probationary period to evaluate an employee's performance for a specific role. Usually, this period ranges from 3 to 6 months.
Termination Process
Michigan has "at-will" employment laws, meaning the employer or employee can end the employment relationship at any point for legal reasons. Our EOR service specialists at HR Options can assist employers in managing the termination process to reduce the risks of legal disputes.
Notice Period
There is no legal obligation for either party to provide notice of termination unless mentioned in the employment contract. However, employees typically give two weeks' notice when resigning from an organization.
Severance and Final Pay
In New York, severance pay is not a law unless mentioned in an employment contract or company policy. However, employers must pay any unused vacation or paid time off (PTO) as outlined in the employee’s contract or company policy.
New Hire Reporting
Employers must report all new hires and rehires to the New York Department of Taxation & Finance within 20 days of the employee's start date. This report should include the employee’s full legal name, date of birth, address, start date, and social security number.
Local Requirements
Follow additional paperwork requirements for new hires in Flagstaff.
Which Laws Apply to Your Organization?
In the United States, every state has specific laws for employers and employees. That’s why keeping your business aligned with rules and regulations is essential to avoid penalties. At HR Options, we ensure your business stays fully compliant with all relevant state and federal employment laws. Below are some of the key regulations that may apply to your organization in Michigan:
| Law | Applies To | Description |
|---|---|---|
| New Michigan Civil Rights Act (CRA)York State Human Rights Law (NYSHRL) | Employers with 1+ employees | This law prohibits discrimination based on race, color, age, disability, religion, sex, national origin, or marital status. |
| Michigan Equal Pay Law | All employers | It ensures equal pay for equal work regardless of gender or other protected characteristics. Exceptions are allowed for seniority or merit systems. |
| Michigan Minimum Wage Act | All employers | The act mandates a minimum wage of $12.48 per hour in 2025. Some exemptions apply based on business size and job type. |
| Michigan Occupational Safety and Health Act (MIOSHA) | All employers | It requires employers to maintain a safe and healthy working environment for all employees, which aligns with MIOSHA standards. |
| Workers' Disability Compensation Act | All employers | This act compensates employees who get injured or become ill due to work. |
| Child Labor Law | All employers | Limits the hours and types of work for minors (under 16) to ensure safe working conditions. |
| Crime Victim Leave Law | Employers with 50+ employees | Provides unpaid leave for employees who are victims of crimes to attend legal proceedings such as court hearings. |
| Drug Testing Law | All employers | This law permits drug testing in the workplace under specific conditions, particularly in safety-sensitive positions. |
| Whistleblower Protection Act | All employers | Protects employees who report legal violations or safety concerns from retaliation by their employer. |
| Health Care Continuation Act | Employers with 1–19 employees | Like the federal COBRA law, small employers must continue health care benefits after employment. |
| Jury Duty Leave Law | All employers | Employers must provide employees with unpaid leave to serve on a jury without fear of retaliation. |
| E-Verify Law (Legal Michigan Workers Act) | All employers | Requires employers to verify the employment eligibility of new hires through the E-Verify system. |
| Military Leave Law | All employers | Protects the job rights of employees who serve in the military and ensures they can return to work after deployment. |
| Safe Driving Laws | All employers | Imposes restrictions on employee driving behavior, such as prohibiting texting or calling while driving. |
| Smoke-Free Air Law | All employers | Prohibits smoking in enclosed public spaces and workplaces to ensure a smoke-free environment for employees. |
| Voting Leave Law | All employers | Requires employers to provide employees time off to vote in elections. |
| Weapons in the Workplace Law | All employers | Allows employees to store lawfully owned firearms in restricted access areas. |
Ready to Streamline Your Hiring Process?
Let our HR specialists handle your Employer of Record services and ensure compliance to grow your business with freedom.