Is Michigan a state where withholding is required?

<p>Every Michigan employer who is obliged by the Internal Revenue Code to withhold federal income tax must also register for and withhold Michigan income tax. What is Michigan's withholding tax rate for 2020? In 2020, the tax rate will be 4.25 percent. What is the amount of the personal exemption in Michigan for 2020?</p>

what is Michigan state withholding tax?

<p>In 2020, the tax rate will be 4.25 percent. What is the amount of the personal exemption in Michigan for 2020? For 2020, the personal exemption amount is $4,750.</p>

Michigan Payroll Services

Michigan Payroll Tax And Labor Laws

Get your Michigan State Tax ID Number

Click Here to Obtain State Tax ID
Click Here to Obtain State Unemployment Tax ID

Did you know that Michigan’s Single Business Tax (SBT) was repealed and a Michigan Business Tax (MBT) was adopted, lowering taxes for 70% of Michigan businesses?

Michigan Wage and Hour Laws

Employees in Michigan who are covered by the state’s minimum wage statute must be paid $9.65 per hour.

Except for the following, all workers of employers with two or more employees in a calendar year are covered:

except for some domestic service employees who are excluded from the Fair Labor Standards Act (see below),
individuals under the age of 18 and those above the age of 64,
Summer camp staff who labor for up to four months
workers who work for fruit, pickle, or tomato growers, as well as
additional agricultural laborers hired on a piecework basis for harvest

Michigan Payroll for Employers

Employers subject to Michigan’s wage payment statute are required to pay wages at least twice a month. Earnings earned during the first 15 days of the previous month must be paid on the first of the month, and wages earned from the 16th to the final day of the previous month must be paid on the 15th of the month. Every employee is protected.

Michigan Unemployment:

Taxable Wage Base ($000s): 9,000 or 9,500

New Employer Rate (% Taxable Wages) 2.7 or 6.3

Michigan Income Tax Withholding

Employers in Michigan are required to withhold state income tax from employees’ pay and remit the withheld amounts to the Michigan Department of Treasury.

Illinois, Indiana, Kentucky, Minnesota, Ohio, and Wisconsin have reciprocal agreements with Michigan. Employers in Michigan are not obligated to deduct Michigan income tax from wages paid to citizens of other states.

Other out-of-state companies with Michigan employees must register with the Michigan Treasury Department and withhold Michigan income tax from all employees working in the state.

Michigan Benefits

Michigan Voting Rights:

Employer Right to Schedule Voting Hours No

Pay Deduction for Voting Time Leave No

Michigan does not have a voting time leave law.

Michigan State Tax Resources

Michigan Department of Treasury >>

Michigan Laws >>

Michigan State Regulations >>

Department of Labor and Economic Growth – Unemployment Insurance Agency >>

Tax Forms and Publications >>

Michigan SUI Rate >>

Question on FUTA (Federal Unemployment Tax Act)

See What is FUTA article

AccuServe Payroll disavows any responsibility or warranty for the information on these state payroll pages. The material provided is for informational purposes only and does not constitute tax or legal advice. Verify this information with professional tax, legal, or other experts to see if and how it applies to your specific circumstances.

This website provides articles that are intended to be informative and educational. AccuServe Payroll is not responsible for the accuracy of any of the information provided on these pages. AccuServe Payroll does not necessarily agree with or support any of the views stated in the materials. The information contained in these documents should not be construed as legal or accounting advice, nor should it be used to replace legal, accounting, or other professional advice where the facts and circumstances justify it. If you need legal or accounting advice or other professional assistance, to address your specific facts, circumstances, and business needs, you should always consult a licensed attorney, accountant, or other tax specialists.