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How Detroit, Michigan Income Tax & Salary Deductions Work
Detroit, the Motor City, is experiencing a remarkable renaissance driven by automotive innovation, technology, and urban revitalization. With one of the lowest costs of living among major US cities and a growing job market, Detroit offers exceptional value — though its local income tax adds a unique consideration to your salary calculation.
Did you know? Detroit is the birthplace of the American automotive industry and Motown Records. Today, the city is at the forefront of electric and autonomous vehicle development, with GM, Ford, and numerous startups driving innovation.
The median household income in Detroit is approximately $36,000, with major employment in automotive manufacturing, technology, healthcare, logistics, and a rapidly growing startup ecosystem.
Understanding Your Detroit, Michigan Paycheck Deductions
When you receive your paycheck in Detroit, Michigan, several deductions are automatically taken out. These include federal income tax, state income tax, local taxes, Social Security, and Medicare. Our calculator breaks down each of these components so you can see exactly where your money goes.
Detroit, Michigan Federal & State Tax Rates 2026
The tax rates in Detroit, Michigan are determined by multiple factors including your income level, filing status, and location. Federal taxes apply to all US residents, while state and local taxes vary significantly by location. Use our calculator above to see your personalized tax breakdown.
Where Your Money Goes in Detroit, Michigan
74.0%
11.7%
6.2%
1.5%
4.3%
2.4%
Net Pay
$55,515
Federal Tax
$8,761
Social Security
$4,650
Medicare
$1,088
State Tax
$3,188
Local Tax
$1,800
| Tax Type | Rate | Amount |
|---|---|---|
| Federal Tax | 11.68% | $8,761 |
| Social Security | 6.20% | $4,650 |
| Medicare | 1.45% | $1,088 |
| State Tax | 4.25% | $3,188 |
| Local Tax | 2.40% | $1,800 |
| Total Tax | 25.98% | $19,486 |
Salary Calculators Near Detroit, Michigan
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Frequently Asked Questions
On a salary of $75,000 in Detroit, Michigan, you would pay approximately $19,486 in total taxes, which represents an effective tax rate of 25.98%. This includes all applicable federal, state, and local taxes, as well as social insurance contributions.
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