For role-by-role compensation benchmarking and career income strategy, see the Profession Salary Guides hub.

For conversion formulas, overtime scenarios, and annual-pay planning, see the Hourly to Annual hub.

A good salary in Michigan is $50,000-$65,000 for a single person. Most of Michigan is very affordable with low housing costs.

Quick Answer by City

City Good Salary Comfortable Thriving
Ann Arbor $70,000 $90,000 $125,000
Grand Rapids $55,000 $70,000 $100,000
Detroit $50,000 $62,000 $90,000
Lansing $50,000 $62,000 $90,000
Kalamazoo $48,000 $60,000 $85,000

Michigan Cost of Living

Category Michigan National Avg Difference
Overall 90 100 -10%
Housing 80 100 -20%
Transportation 95 100 -5%
Healthcare 95 100 -5%
Utilities 98 100 -2%

Ann Arbor is an exception at 10-15% above average.

Michigan Income Tax

Michigan has a flat 4.25% income tax on all wages.

Gross Salary State Tax
$50,000 $2,125
$75,000 $3,188
$100,000 $4,250
$150,000 $6,375

Simple calculation: multiply income by 0.0425.

Take-Home Pay in Michigan

Gross Salary Federal Tax State Tax FICA Take-Home
$50,000 $4,000 $2,125 $3,825 $40,050
$60,000 $5,500 $2,550 $4,590 $47,360
$75,000 $8,000 $3,188 $5,738 $58,074
$100,000 $12,500 $4,250 $7,650 $75,600

Housing Costs by City

City Median Home Price Median Rent (1BR)
Ann Arbor $480,000 $1,600
Grand Rapids $300,000 $1,200
Detroit $200,000 $1,000
Lansing $200,000 $950
Kalamazoo $220,000 $1,000

Auto Industry Salaries

Position Entry Level Mid-Career Senior
Manufacturing $45,000 $60,000 $80,000
Engineering $70,000 $95,000 $140,000
IT/Software $65,000 $90,000 $130,000
Management $80,000 $110,000 $160,000

Michigan’s auto industry provides strong middle-class wages with benefits.

Home Affordability by Salary

Salary Affordable Home Monthly Payment Available In
$50,000 $175,000 $1,170 Detroit suburbs
$65,000 $230,000 $1,520 Lansing, Kalamazoo
$80,000 $280,000 $1,870 Grand Rapids
$120,000 $420,000 $2,800 Ann Arbor

Sources

  • U.S. Bureau of Labor Statistics. “Occupational Employment and Wage Statistics, May 2024.” bls.gov/oes

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