Michigan Paycheck Calculator
Free Michigan paycheck calculator. Estimate your take-home pay with current Michigan state tax rates and federal withholdings. Calculate federal income tax, Social Security, Medicare, and Michigan state withholdings instantly.
What you should know about Michigan taxes
Michigan has a flat 4.25% state income tax. But Detroit, Grand Rapids, Saginaw, and about 20 other Michigan cities charge their own local income tax — up to 2.4% for Detroit residents.
Michigan Income Tax Brackets — 2026
| Tax Rate | Taxable Income Range |
|---|---|
| 4.25% | All taxable income (flat rate) |
Michigan's Flat Tax and City Income Taxes
Michigan charges a flat 4.25% state income tax. The wrinkle is that about 24 Michigan cities charge their own local income tax on top. Detroit is the biggest: 2.4% for residents and 1.2% for non-residents who work in the city. Grand Rapids, Flint, Lansing, and others charge 1% for residents and 0.5% for non-residents. If you live and work in Detroit, your combined rate is 6.65% — almost as high as some East Coast states. Michigan's personal exemption is $5,400 per person, and the standard deduction is not available (Michigan uses exemptions instead).
Auto Industry and Manufacturing Pay in Michigan
Michigan's economy is synonymous with the auto industry, though it has diversified into healthcare, tech, and defense. UAW workers at Ford, GM, and Stellantis recently won significant pay increases, pushing assembly line wages to $40+/hr for senior workers. For hourly auto workers, overtime is common and can push individual paychecks into temporarily higher federal brackets. Michigan does not have mandatory paid leave or disability insurance programs beyond federal requirements. The minimum wage of $10.33/hr applies statewide but is set to increase. Cost of living outside of Ann Arbor and trendy Detroit neighborhoods remains well below the national average.