Michigan State Income Tax for 2026
Michigan taxes all income at 4.25%. Instead of a standard deduction, it gives a personal exemption of $5,900 for you, your spouse and each dependent, up from $5,800 in 2025.
Michigan tax = (Wages − $5,900 × exemptions) × 4.25%
A single filer claims one exemption and a married couple filing jointly claims two. Children and other dependents add one each, and certain disabled filers and veterans get extra amounts.
Worked Example: $62,000 in Michigan
| Item | Per year | Per month |
|---|---|---|
| Gross pay | $62,000 | $5,166.67 |
| Federal income tax | $5,260 | $438.33 |
| Social Security | $3,844 | $320.33 |
| Medicare | $899 | $74.92 |
| Michigan income tax | $2,384.25 | $198.69 |
| Net pay | $49,612.75 | $4,134.40 |
The state line is ($62,000 − $5,900) × 4.25% = $2,384.25. Total deductions equal 20.0% of gross pay.
Michigan City Income Tax
Twenty four Michigan cities tax income under the Uniform City Income Tax Act. Residents pay one rate and people who only work in the city usually pay half of it.
- Detroit: 2.4% for residents, 1.2% for nonresidents (Michigan Department of Treasury, City Tax Administration).
- Other cities: most charge 1% to residents and 0.5% to nonresidents. Grand Rapids, Saginaw and Highland Park set higher rates.
The field starts at 0; type in your city's rate. On $62,000 the Detroit resident rate costs $1,488 a year and the nonresident rate $744. This calculator applies the rate to gross wages and ignores the small city exemptions, so the true city tax is a little lower.
Michigan Take Home Pay by Salary
Single filers, no city tax:
| Gross salary | Michigan income tax | Net per year | Net per month |
|---|---|---|---|
| $32,000 | $1,109.25 | $26,782.75 | $2,231.90 |
| $48,000 | $1,789.25 | $38,958.75 | $3,246.56 |
| $62,000 | $2,384.25 | $49,612.75 | $4,134.40 |
| $80,000 | $3,149.25 | $61,960.75 | $5,163.40 |
| $105,000 | $4,211.75 | $78,485.75 | $6,540.48 |
| $140,000 | $5,699.25 | $101,256.75 | $8,438.06 |
With a flat rate and a modest exemption, the state share settles just under 4.25% at higher salaries. A raise of $1,000 always costs $42.50 in Michigan tax, whether you earn $32,000 or $140,000.
Michigan Net Pay per Paycheck
| Pay frequency | Gross per paycheck | Net per paycheck |
|---|---|---|
| Weekly (52) | $1,192.31 | $954.09 |
| Biweekly (26) | $2,384.62 | $1,908.18 |
| Semimonthly (24) | $2,583.33 | $2,067.20 |
| Monthly (12) | $5,166.67 | $4,134.40 |
Your employer uses the exemptions you list on Form MI-W4 to work out state withholding. A married earner claiming two exemptions on the same pay keeps $52,043.50 a year.
What Michigan Taxes on Wages
- Taxed: wages, salary, bonuses, commissions and tips.
- Not taxed: traditional 401(k) deferrals at the state level.
- Retirement income: the 2023 law phases out Michigan's tax on pensions over four years, ending in 2026.
- No state disability or paid leave premium is deducted.
Michigan Compared with Other States
For $62,000 of single filer wages, without any city tax:
| State | State taxes and premiums | Net per year |
|---|---|---|
| Michigan | $2,384.25 | $49,612.75 |
| Minnesota | $2,965.41 | $49,031.60 |
| Kentucky | $2,052.40 | $49,944.60 |
Michigan's flat 4.25% beats Minnesota's brackets at this pay. Kentucky's lower rate is offset in part by its smaller deduction. Adding a Detroit resident tax of 2.4% would push Michigan's total above both.
Detroit Resident Example
Take the same $62,000 salary and add the 2.4% Detroit resident rate. The city line is $1,488 and net pay falls to $48,124.75, or $4,010.40 a month. A commuter who lives outside Detroit but works there pays 1.2%, which leaves $48,868.75 a year.
Some Michigan employers only withhold city tax for the city where you work, so residents of one city who work in another may need to pay the difference when they file.
Assumptions and Sources
- One exemption for a single filer and two for a married couple; no dependents.
- City tax as a flat rate on gross wages with no city exemption.
- No Michigan credits such as the homestead property tax credit or the earned income tax credit.
Sources: Michigan Department of Treasury 2026 withholding information and Form 446; Treasury City Tax Administration for Detroit rates; IRS and Social Security Administration for federal figures. Rates for 2026.
Frequently Asked Questions
What is the Michigan income tax rate for 2026?
A flat 4.25% of taxable income.
What is the Michigan personal exemption for 2026?
$5,900 per exemption, up from $5,800 in 2025.
How much is the Detroit city income tax?
2.4% for residents and 1.2% for nonresidents who work in Detroit.
How much is $62,000 after tax in Michigan?
About $49,612.75 a year for a single filer with no city tax, or $48,124.75 for a Detroit resident.
Which Michigan cities have an income tax?
Twenty four, including Detroit, Grand Rapids, Lansing, Flint, Saginaw and Battle Creek. Most of them charge 1% to residents.
Is there a gross to net calculator near Michigan for Ohio or Indiana?
Yes. See the Ohio Gross to Net Calculator and the Indiana Gross to Net Calculator; both states also have local income taxes.
Do I pay Detroit tax if I live in the suburbs?
Only on wages for work done in Detroit, at the 1.2% nonresident rate. Days worked from home outside the city are generally not taxed by Detroit, but your employer needs a record of them.
Does Michigan have a standard deduction?
No. It uses a personal exemption of $5,900 per person instead, which for most workers has the same effect.