Client Portal10845 Olive Blvd, Suite 190, Creve Coeur, MO 63141314.995.6900[email protected]
Facebook LinkedIn Email Client Portal
  • Home
  • About Us
    • Our Founders
      • Mark Neal, CPA, CGMA
      • Lawrence E. Milhouse, JR., CPA
    • Our Team
      • Bob Cummings, CPA
      • Debbie Brandt, CPA
      • Joel Dauve, CPA
      • Dan James, CPA
      • Elmedina Tasic, CPA
      • Julie Mann, CPA
      • Tina Chereji, CPA
      • Denise Knobbe
      • Kayla Tegeler
      • David Myers
      • Maja Sendic
      • Daniela Riddle
      • Sarah Kessler
      • Jenna Zeller
      • Heather Thies
      • Angelia Hardcastle
    • Engagement Approach
    • Client Bill of Rights
    • Privacy Policy
  • Services
    • Accounting Services
    • Tax Services
    • Consulting Services
  • Insights
  • Careers
    • New Graduates/Intern
    • Experienced Professionals
    • Job Postings
  • Contact
  • Links
  • Client Portal
  • Payment

Missouri Proposition A – What Employers Need to Know for 2025



Milhouse & Neal, LLP



May 9, 2025




< Back to the Insights Gallery

Proposition A, passed by Missouri voters, introduces mandatory paid sick leave and significant minimum wage increases, effective in 2025. All private employers who are not exempt must comply with these requirements by the designated deadlines.

This summary is based on official guidance from the Missouri Department of Labor.


1. Effective Dates

  • Paid sick leave accrual begins: May 1, 2025

  • Written notice of policy must be provided to employees: By April 15, 2025


2. Paid Sick Leave Requirements

Accrual Rate:

  • Employees must earn 1 hour of paid sick leave for every 30 hours worked

  • Hours do not need to be worked consecutively or within a single week

Benefit Amount:

  • Employers with fewer than 15 employees must allow employees to use up to 40 hours of paid sick time per year

  • Employers with 15 or more employees must allow up to 56 hours per year

  • Employers may allow additional time through their written policies, but it is not required

Carryover:

  • Employees may carry over up to 80 hours of unused paid sick time into the next year

  • Alternatively, employers may pay out up to 80 hours at year-end and immediately provide the full required amount for the next year

Benefit Year:

  • Employers may define their own consecutive 12-month period as the “benefit year” (e.g., May 1 to April 30)

Covered Family Members:

  • Includes spouse, child, parent, grandparent, grandchild, sibling, domestic partner, or others for whom the employee is responsible

Permitted Uses of Sick Leave:

  • For the employee’s or a family member’s illness, injury, or health condition

  • For diagnosis, care, treatment, or preventive care

  • For public health emergencies that close a workplace or school

  • To address issues related to domestic violence, sexual assault, or stalking


3. Employer Responsibilities

Recordkeeping:

  • Employers must maintain records of hours worked and sick leave used for at least three years

Notice Requirement:

  • Employers must provide written notice to employees by April 15, 2025, explaining their sick leave rights

Anti-Retaliation:

  • Employers may not retaliate against employees who use or request paid sick leave

Existing Leave Policies:

  • If an employer already offers paid leave that meets or exceeds the accrual and usage requirements of Proposition A, no additional sick time needs to be provided. 

    Employers should carefully review their policies to ensure they comply with the law’s specific conditions, including permitted uses and required protections.


4. Who Is Not Considered an Employee Under the Law?

The following individuals are excluded from Proposition A’s paid sick time requirements:

  • Volunteers or individuals working with religious/charitable organizations without a formal employment relationship

  • Foster parents

  • Youth camp workers employed less than four months a year

  • Students receiving tuition reimbursement from their employer

  • Casual workers in private homes working fewer than six hours per occasion

  • Casual babysitters (not daycare workers)

  • Railroad workers as defined under federal law

  • Casual or intermittent caddies and newsboys

  • Elected officials

  • Prisoners

  • Certain newspaper employees under federal exemption rules


5. Exempt Employers

The following employers are not subject to Proposition A’s sick leave provisions:

  • Federal and state government

  • Political subdivisions, including state agencies, boards, commissions, and instrumentalities

  • Counties, municipalities, school districts, and public higher education institutions

  • Private retail and service businesses whose annual gross volume of sales or business done is less than $500,000


6. Minimum Wage Increases

  • January 1, 2025: Minimum wage increases to $13.75 per hour

  • January 1, 2026: Increases to $15.00 per hour

  • Beginning in 2027: Minimum wage will be adjusted annually based on the Consumer Price Index (CPI)


For complete details and official FAQs, visit the Missouri Department of Labor’s Proposition A page.

← What you need to know before applying for an SBA loan IRS priorities may be shifting under new administration →

Search Insights

Recent Insights

  • Building a financial foundation for your child: strategic moves for parents April 2, 2026
  • Living trust myths vs. reality: what a revocable trust really does March 26, 2026
  • S-corporations 101: FAQs for business owners March 13, 2026
  • Understanding the IRS’s new deduction for qualified overtime compensation March 6, 2026
  • A smart gifting strategy: why the annual gift tax exclusion matters more than you think February 20, 2026

Insights Categories

  • Estate (21)
  • Individual Tax (31)
  • Small Business (60)
  • Uncategorized (2)

Insights Topics

401(k) 529 plans Bonus Depreciation Business Tax Deductions Buy-Sell Agreement Client Gifts Closely Held Business College Expenses College Savings Corporation Coverdell Education Savings Account COVID-19 Customer Gifts Depreciation Divorce Education Costs Employee Gifts Estate Planning Estate Taxes Gift and Estate Tax Gift Tax Return Health Savings Account Holiday Party HSA Individual Tax IRA Medical Expenses PPP Loan S-corporation Sales Tax Section 179 Self-employment tax Small Business Tax Credits Tax Law Changes Tax Tips
2

SafeSend Client Portal Access
Use your email address to log in.
One-time portal sign-up is required.
Contact us for assistance.

CONTACT INFORMATION

10845 Olive Blvd., Suite 190
Creve Coeur, MO 63141
314.995.6900 Phone
314.995.6903 Fax
[email protected]

Client Portal10845 Olive Blvd, Suite 190, Creve Coeur, MO 63141314.995.6900[email protected]
Facebook LinkedIn Email Client Portal