Taxes in Grand Rapids, Michigan
Complete tax guide for Grand Rapids, MI. State income tax up to 4.25%, 1.32% property tax, 6% sales tax. Calculate your total tax burden.
State Income Tax
4.25%
Michigan
Property Tax
1.32%
Effective rate
Sales Tax
6%
Combined rate
Tax Burden
Moderate
Grand Rapids, MI Tax Overview
Grand Rapids city income tax of 1.5%
Population
198,917
Median Income
$52,187
Cost of Living
91.3 (100 = avg)
State Income Tax
4.25%
Local Income Tax
1.5%
Median Home Price
$235,000
Grand Rapids Tax Calculator
Pre-filled with Grand Rapids median: $52,187
Total Tax Burden in Grand Rapids
$11,217
Take-Home: $40,970 · Effective Rate: 21.49%
Federal Tax
$4,224
8.09% eff.
MI State + Local
$3,001
5.75% eff.
FICA
$3,992
7.65% eff.
Take-Home
$40,970
78.51% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $52,187.00 | $4,348.92 |
| Federal Income Tax | -$4,223.94 | -$352.00 |
| Michigan State Tax | -$2,217.95 | -$184.83 |
| Grand Rapids Local Tax (1.5%) | -$782.81 | -$65.23 |
| Social Security (6.2%) | -$3,235.59 | -$269.63 |
| Medicare (1.45%) | -$756.71 | -$63.06 |
| Take-Home Pay | $40,970.00 | $3,414.17 |
Property Tax in Grand Rapids
Median Home
$235,000
Annual Tax
$3,102
Monthly Tax
$259
Effective Rate
1.32%
Sales Tax in Grand Rapids
Combined Rate
6%
State Portion
~3.5%
Local Portion
~2.5%
The combined sales tax rate in Grand Rapids is 6%, which is below the national average of 7.12%. On a $100 purchase, you would pay $6.00 in sales tax.
Tax Burden Comparison
| Tax Type | Grand Rapids | Michigan Avg | National Avg |
|---|---|---|---|
| Income Tax | 4.25% + 1.5% | 4.25% | 4.6% |
| Property Tax | 1.32% | ~1.32% | 1.1% |
| Sales Tax | 6% | ~6% | 7.12% |
| Overall Burden | Moderate | — | Moderate |
Tax Saving Tips for Grand Rapids Residents
- Michigan's income tax rate of 4.25% is competitive. You may still benefit from maximizing 401(k) contributions ($23,500 limit) to reduce your taxable income at both state and federal levels.
- Grand Rapids has a local income tax of 1.5%. If you work remotely, verify whether you owe city tax based on where you work or where you live. Some cities only tax people who work within city limits.
- Property tax in Grand Rapids (1.32%) is above the national average. Check if you qualify for homestead exemptions or assessment appeals to reduce your property tax bill.
- Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,300 individual, $8,550 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
Other Cities in Michigan
Detroit
LowWarren
LowSterling Heights
ModerateAnn Arbor
Very HighLansing
LowFlint
Very LowCalculate Your Full Michigan Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Frequently Asked Questions
What are the tax rates in Grand Rapids, MI?
Grand Rapids, Michigan has a state income tax rate up to 4.25%, plus a local income tax of 1.5%. The property tax rate is 1.32% and the combined sales tax rate is 6%. Grand Rapids city income tax of 1.5%
How much is property tax in Grand Rapids?
The effective property tax rate in Grand Rapids is 1.32%. On the median home price of $235,000, this equals approximately $3,102 per year or $259 per month. This is above the national average of 1.1%.
What is the sales tax rate in Grand Rapids?
The combined sales tax rate in Grand Rapids is 6%, which includes both state and local components. This is below the national average combined rate of approximately 7.12%.
How does Grand Rapids's tax burden compare to other cities?
Grand Rapids has a moderate overall tax burden. The effective total tax rate for a median-income household is approximately 29%. The combination of 4.25% state income tax, 1.32% property tax, and 6% sales tax determines the total burden. Cost of living index is 91.3 (100 = national average).
Are there any local taxes in Grand Rapids?
Yes. Grand Rapids imposes a local income tax of 1.5% in addition to the state income tax of 4.25%. Grand Rapids city income tax of 1.5%