Michigan Paycheck Calculator

Michigan takes a flat 4.25% from your pay after exemptions, and some cities add their own income tax on top. That makes the Michigan paycheck mostly a question of how many exemptions you claim and which city you live or work in. The calculator above lets you set both.

Michigan paycheck tax calculator: the 4.25% formula

The Michigan Department of Treasury’s 2026 Income Tax Withholding Guide (Form 446) sets the withholding rate at 4.25% of compensation after the personal and dependency exemption allowance. There are no brackets and no standard deduction. The exemption amount for 2026 is $5,900 per exemption, up from $5,800 in 2025.

To get the amount for one paycheck, multiply your number of exemptions by $5,900 and divide by the pay periods in the year. Subtract that from the period’s wages and take 4.25% of the rest. A worker paid $2,000 every two weeks with one exemption has $226.92 removed, leaving $1,773.08 and a state withholding of $75.36. With three exemptions and a $5,000 monthly paycheck, the exemption amount is $1,475.00 and the state takes $149.81.

The guide does not print the per-period division. It points employers to Treasury’s online withholding calculator. The calculator divides the annual exemption by the number of pay periods, so Treasury’s tool may differ by a cent in some cases.

Exemptions and the MI-W4

Your employer gets your exemption count from the MI-W4, which covers you and your dependents. If no valid MI-W4 is on file, the employer must withhold as if you claimed none. That gives the highest state withholding for your pay, so an unexpectedly large Michigan line is worth checking against the form. The examples on this page also use zero exemptions, so they show the plain 4.25% case.

Reciprocal agreements matter for commuters. Per the guide, residents of Illinois, Indiana, Kentucky, Minnesota, Ohio and Wisconsin who work in Michigan can be exempt from Michigan withholding. The calculator treats that as out of scope.

Michigan city income tax

Twenty-four Michigan cities levy an income tax, and employers withhold it. Resident rates in the calculator are Detroit 2.4%, Grand Rapids 1.5%, Saginaw 1.5%, Flint 1%, Pontiac 1%, Jackson 1%, Battle Creek 1% and East Lansing 1%. Non-residents who work in those cities pay about half. Detroit’s non-resident rate is 1.2%, Grand Rapids and Saginaw are 0.75%, and the 1% cities are 0.5%.

Check the dates on those numbers. Detroit’s rate comes from its 2026 withholding guide. Saginaw’s comes from a 2020 city guide, the newest we found, and the Battle Creek form we used does not show a year. Flint’s tax stays at 1% for residents and 0.5% for non-residents, and Treasury is set to take over administering it from 2027.

Lansing is not listed because we could not confirm its resident rate. Other Michigan cities are not presets either, so use the custom rate for them.

Bonuses and hourly pay

Treasury’s guide says a bonus paid separately is multiplied by 4.25% with no exemption adjustment. If you are paid hourly, enter your rate, weekly hours and overtime hours. Overtime raises gross pay for the period, and Michigan takes its 4.25% of the extra after exemptions.

What the estimate does not settle

We have not confirmed how a pre-tax 401(k) deferral affects Michigan compensation for withholding. The guide says fringe benefits follow federal Publication 15 rules. We also found no employee-paid Michigan payroll contribution in the sources checked.