Maryland Overtime Laws 2026: $15 Minimum Wage, Bowling Exemption & Rules

Maryland Overtime Pay Law in 2026

Maryland follows the federal 40-hour workweek standard under both the Maryland Wage and Hour Law (MWHL) and the FLSA. Overtime is 1.5× the regular rate; there is no daily overtime and no state-mandated double-time.

Maryland reached its accelerated $15.00/hour statewide minimum wage on January 1, 2024, with Montgomery County setting a higher local rate.

2026 Maryland Minimum Wage & OT Rates

| Jurisdiction | 2026 min wage | OT rate (1.5×) |

|---|---|---|

| Maryland statewide | $15.00 | $22.50 |

| Montgomery County (51+ employees) | $17.65 | $26.48 |

| Montgomery County (11–50 employees) | $16.00 | $24.00 |

| Montgomery County (1–10 employees) | $15.50 | $23.25 |

| Tipped (statewide) | $3.63 cash + tips | $18.87 cash OT |

Try the Maryland Overtime Pay Calculator for your full paycheck.

Maryland-Specific Overtime Exemptions

Beyond the standard FLSA exemptions, Maryland has several unusual carve-outs in the MWHL:

• Bowling alleys: employees of bowling establishments are exempt from the state OT rule (federal FLSA may still apply)
• Agricultural employees: exempt from overtime if employed on a farm
• Drive-in theaters: seasonal employees exempt
• Hotels, motels, and restaurants with annual gross receipts under $400,000: exempt from state OT (FLSA likely still applies)
• Non-profit concert promoters: exempt

Even when state OT doesn't apply, the federal FLSA usually does — and gives the higher protection.

Baltimore Healthcare Industry Rules

Maryland's healthcare sector (Johns Hopkins, University of Maryland Medical System) employs ~250,000 workers. Most hospitals use the federal 8/80 rule:

• Overtime after 8 hours in a workday OR 80 hours in a 14-day pay period, whichever pays more
• Available only with a written agreement between the employee and hospital
• See our nurse and healthcare worker overtime guide

Tipped Workers in Maryland

Maryland allows the largest federal-style tip credit in the Mid-Atlantic. Tipped employees receive $3.63/hour cash plus tips, as long as the total reaches $15.00/hour.

Tipped OT calculation:

• Full minimum wage: $15.00
• OT rate: $15.00 × 1.5 = $22.50
• Tip credit (not multiplied): $22.50 − $3.63 = $18.87 cash OT

Montgomery County restaurants use the local higher minimum wage as the OT base.

DC/VA Commuter Considerations

Maryland workers commuting to Washington DC ($17.95 min wage) or Virginia ($12.41 min wage) are paid based on where the work is performed, not where they live. Federal employees in the DMV are governed by federal pay scales and the federal FLSA white-collar exemptions.

Mandatory Overtime in Maryland

Maryland places no general limit on mandatory overtime for adults. Exceptions:

• Registered nurses: protected under MD Health-General §19-129 from mandatory OT in non-emergency situations
• Minors under 18: maximum 40 hours/week during school weeks (12 if 14-15 year old)

Maryland Paid Sick & Safe Leave

Under the Maryland Healthy Working Families Act, employers with 15+ employees must provide 1 hour of paid sick leave per 30 hours worked, up to 40 hours/year. Sick leave hours do not count toward the 40-hour OT threshold.

How to Recover Unpaid Overtime in Maryland

• Maryland Department of Labor — Division of Labor and Industry (free, 3-year statute)
• Private lawsuit under MWHL: recover back wages plus 2× or 3× damages if violation is willful
• Federal FLSA lawsuit: equal liquidated damages, 2–3 year lookback, attorney's fees

FAQ

Do salaried Baltimore employees get overtime?

Only if they earn below $684/week federally OR don't satisfy the FLSA duties test. Read exempt vs non-exempt employees.

Are Montgomery County rules different from the rest of Maryland?

Yes — Montgomery County uses a higher tiered minimum wage based on employer size, which raises both the regular and overtime rate for local workers.

Does the Maryland bowling alley exemption affect federal OT?

No. The bowling exemption is from state OT only. If the employer meets the FLSA's $500,000 revenue threshold, federal overtime still applies after 40 hours.

Does the 2026 No Tax on Overtime deduction apply in Maryland?

Yes — federal deduction up to $12,500 ($25,000 joint). Maryland state income tax (2%–5.75%) plus local county tax (2.25%–3.20%) still applies. See How Overtime Is Taxed 2026.