With a baseline rate of $15 per hour, Massachusetts has one of the highest minimum wages in the country. For employers, staying compliant means navigating not only this standard but also rules on tipped wages, agricultural exceptions, and unique daily shift guarantees.
What you’ll learn
What you’ll learn
Key takeaways
- Massachusetts has one of the highest minimum wages in the country at $15 per hour
- The state has updated its minimum wage several times over the past decade
- Employers may pay tipped workers a special wage, but their earnings from tips and the service rate must meet or exceed the state basic minimum wage
- Payroll software can help your organization stay compliant with local Massachusetts wage laws
This guide covers the current minimum wage in Massachusetts, potential future increases, and key employer responsibilities.
Massachusetts minimum wage in 2026: What employers need to know
Massachusetts minimum wage is currently $15 per hour. The state does not apply a location-based minimum wage differential, meaning the minimum wage in Boston, Massachusetts, is the same rate.
Exceptions to the minimum wage definition apply for tipped and agricultural workers. Employers who receive approval from the Massachusetts Executive Office of Labor and Workforce Development may also pay a lower minimum wage for disabled workers, trainees, student workers, and apprentices.
Massachusetts has one of the highest minimum wages in the country. You can also compare the minimum wage rates in all 50 states with the OnPay summary.
Massachusetts minimum wage projections
The minimum wage in Massachusetts is expected to remain at $15 for the rest of 2026. However, state lawmakers are actively debating legislation that would significantly raise the wage floor over the next few years.
Bill S.1349 is currently circulating in the Massachusetts Senate. While the bill originally targeted a start date of January 1, 2026, the legislation is still pending. Regardless of when the bill officially passes and the new timeline is set, the proposed wage tiers give employers a clear look at the financial targets lawmakers are aiming for:
| Implementation phase | Proposed standard wage | Proposed tipped wage |
| Year 1 (Originally targeted for 2026) | $16.25 | $7.92 |
| Year 2 | $17.50 | $9.19 |
| Year 3 | $18.75 | $10.55 |
| Year 4 | $20.00 | $12.00 |
| Year 5 and beyond | Adjusted for inflation | Adjusted for inflation |
The last update to the bill was made on February 27, 2025, when it was referred to the Senate committee on Labor and Workforce Development.
Tracking future shifts
Beyond general hourly rate increases, lawmakers are also looking at industry-specific wage floors. Bill H.733 is currently making its way through the state legislature. If enacted, this bill would introduce a minimum annual salary of:
- $55,000 for education support professionals
- $70,000 for teachers
It also proposes adjusting the minimum wage in five-year increments based on inflation beginning in 2035, though it has not yet been signed into law.
Because Massachusetts has a history of frequently updating employee pay rates, keeping these potential legislative changes on your radar now can help you incorporate future wage shifts into your long-term payroll budgets.
Industry-specific rates: Minimum wage for servers and hospitality
The current minimum wage for servers in Massachusetts is $6.75 per hour and applies to all tipped workers who earn more than $20 per month in tips. Massachusetts expects tipped workers to earn at least the state minimum wage from their service rate and tips. If earnings fall below $15 hourly for a shift, employers are expected to pay the difference.
Let’s try an example with our Massachusetts hourly paycheck calculator. Say a waiter works a five-hour shift:
- The waiter should make at least $75 total (5 hours x $15 minimum wage).
- Tips for the period total $25, and the waiter earns $33.75 from their service rate (5 hours x $6.75 tipped worker rate).
- Total shift earnings are $25 + $33.75 = $58.75.
- Since this amount falls below the minimum wage earnings of $75, the employer must make up the $16.25 difference in the waiter’s paycheck.
If your organization has tipped workers, keep close tabs on employee tips and payouts. Maintain a tip pool for servers, waitstaff, and bartenders, and record all distributions carefully. Compare each worker’s total earnings per pay period to the standard minimum wage to verify they meet or exceed the required amount. If earnings fall short, make up the difference in the worker’s paycheck.
Customer tips should only be distributed to qualified tipped workers. Owners, managers, and supervisory staff cannot retain tips.
Agricultural workers and minimum wage waivers
The minimum wage for agricultural workers is $8. This rate applies to individuals employed to harvest crops, such as pickers and planters. However, the higher $15 minimum wage applies for non-harvest-related tasks, such as transporting crops or administrative work.
Waivers that allow employers to pay less than the established minimum wage are available for certain employee categories, including:
- Disabled workers
- Student or apprentice workers
- Minors working for non-profit organizations, such as hospitals, schools, or colleges
- Seasonal camp counselors or trainees
To qualify, employers must receive approval from the Massachusetts Department of Labor. Generally, the minimum wage with an approved waiver is no less than 80% of the current minimum wage, or $12 hourly, for apprentice and minor students. However, there are no specific minimum wage limitations on waivers for disabled workers or camp counselors.
Key employer responsibilities for Massachusetts minimum wage compliance
Massachusetts requires employers to post the Massachusetts Wage and Hour poster where employees can easily read it. Good areas include the break room or employee bulletin board. If employees work remotely, make sure they have access to the poster in your employee handbook or company intranet.
Under M.G.L. Chapter 149, Section 148, employers must pay workers weekly or biweekly. In most cases, payment must be made no later than six days after a pay period ends. A seven-day waiting period is allowed for employees who work seven days of a calendar week or less than five days in a week.
M.G.L. Chapter 151, Section 15 requires employers to keep payroll records available for three years. The records should include the employee’s contact details, hours worked, total earned pay, a calculation of MA taxes, and similar data.
Failure to comply with these rules can result in costly fees. To make sure your business stays in compliance, establish a clear recordkeeping system so that you can avoid common payroll mistakes, especially if you have to prove that tipped workers earn at least the basic minimum wage.
Is Massachusetts considering a $20 minimum wage?
State legislators are reviewing a law that would increase the minimum wage to $20 by 2029. However, the state senate committee has not yet approved the legislation. For now, the minimum wage remains $15 hourly.
If your organization employs workers who earn minimum wage, you may want to prepare for future increases. Consider how additional pay may impact your operating budget and if you’ll need to make up the difference through other sources.
Understanding the 3-hour rule in Massachusetts
Occasionally, employers may find themselves with too many workers on hand. When that happens, it’s not uncommon for supervisors to send a few people home. To protect workers from losing out on expected pay, Massachusetts has a three-hour rule. It requires employers to pay staff for at least three hours at the basic minimum wage rate, even if they worked less time.
For example, let’s say you scheduled five waitstaff for an eight-hour afternoon shift. If business is slow and you send home three employees after an hour, you still owe them the basic minimum wage for three hours of work. Implementing a rule into your payroll system to compensate employees for the minimum three hours can help avoid any overlooked pay mistakes.
Managing Massachusetts minimum wage moving parts
With a baseline rate of $15 per hour, Massachusetts has one of the highest minimum wages in the country. But staying compliant here involves much more than just a single number. Between calculating the $6.75 tipped wage , navigating the strict three-hour rule for short shifts , and preparing for pending legislation that could push the base rate to $20 by 2029, employers have a lot of moving parts to track.
Getting these details right shouldn’t require spending your evenings double-checking timesheets or worrying about tipped makeup math. A dependable payroll process makes tracking hours, covering tip makeups, and maintaining accurate records automatic. If you’re ready to take those tasks off your plate so you can focus on growing your team, OnPay is here to help.
Take a tour to see how easy payroll can be.
Jon Davis is the Sr. Content Marketing Manager at OnPay. He has over 15 years of experience writing for small and growing businesses. Jon lives and works in Atlanta.