Michigan State Income Tax Overview
Michigan (MI) state income tax rate: 4.05% flat (flat rate system)
Michigan Income Tax Brackets (2026)
Flat 4.05% on Michigan taxable income (temporarily reduced from 4.25% due to revenue triggers; the rate will return to 4.25% when conditions change)
Michigan has a flat income tax that temporarily dropped to 4.05% due to a budget surplus trigger. This is the first time Michigan's income tax rate has changed since 1983. Many Michigan cities also levy a local income tax of 1%–2.4% (e.g., Detroit: 2.4%).
Median Household Income in Michigan
The median household income in Michigan is $59,234. Michigan's median income is somewhat below the national average, reflecting ongoing recovery from the decline of its auto-dependent economy. Detroit's resurgence and diversification into tech and startups is slowly lifting median income levels.
How to Use This Calculator for Michigan
- Enter your gross income and filing status
- The calculator applies Michigan's flat income tax rate of up to 4.05% flat
- Subtract your standard deduction and any applicable credits
- Review your estimated state and federal tax liability
Frequently Asked Questions
What is the Michigan state income tax rate?
Michigan has a flat income tax with a top rate of 4.05% flat. Flat 4.05% on Michigan taxable income (temporarily reduced from 4.25% due to revenue triggers; the rate will return to 4.25% when conditions change).
How does Michigan's income tax compare to the national average?
Michigan's top income tax rate of 4.05% flat applies to a flat rate system. Michigan has a flat income tax that temporarily dropped to 4.05% due to a budget surplus trigger. This is the first time Michigan's income tax rate has changed since 1983. Many Michigan cities also levy a local income tax of 1%–2.4% (e.g., Detroit: 2.4%).
What is the median household income in Michigan?
The median household income in Michigan is $59,234. Michigan's median income is somewhat below the national average, reflecting ongoing recovery from the decline of its auto-dependent economy. Detroit's resurgence and diversification into tech and startups is slowly lifting median income levels.
Is this state income tax calculator free to use for Michigan?
Yes, this state income tax calculator is 100% free with no signup required. It includes Michigan-specific tax rates and calculates your estimated state and federal tax liability instantly.