What this calculator does
This tool computes gross pay at Baltimore’s $15.00/hr Maryland minimum wage, correctly splitting regular and overtime hours and applying the 1.5× overtime premium for hours beyond 40 in a workweek. It also handles tipped workers, who have a $3.63 cash minimum with a tip credit, and verifies that overtime is computed on the full minimum wage.
How it works
The standard calculation separates regular and overtime hours:
regular_hours = min(hours, 40)
ot_hours = max(hours - 40, 0)
regular_pay = regular_hours * wage
ot_pay = ot_hours * wage * 1.5
weekly_gross = regular_pay + ot_pay
For tipped workers, the employer pays a $3.63 cash wage and claims a tip credit, but tips plus cash must reach the full $15.00 minimum. Overtime for tipped staff is computed on the full minimum, then reduced by the tip credit — never on the bare cash wage. Annual gross is the weekly figure times 52.
Example and notes
A standard worker logging 45 hours at $15.00: regular = 40 * 15 = $600, overtime = 5 * 15 * 1.5 = $112.50, weekly = $712.50. A tipped worker’s cash overtime rate is (15 * 1.5) - tip_credit, where the tip credit is 15 - 3.63 = $11.37, giving a cash OT rate of 22.50 - 11.37 = $11.13/hr before tips. Always confirm that tips bring total pay to at least $15.00/hr; if not, the employer must top up. Rates and tip-credit rules change, so verify with the Maryland Department of Labor.