Taxes in Novi, Michigan
Complete tax guide for Novi, MI. State income tax up to 4.25%, 1.48% property tax, 6.91% sales tax. Calculate your total tax burden.
State Income Tax
4.25%
Michigan
Property Tax
1.48%
Effective rate
Sales Tax
6.91%
Combined rate
Tax Burden
Moderate
Novi, MI Tax Overview
Population
60,489
Median Income
$50,800
Cost of Living
91.7 (100 = avg)
State Income Tax
4.25%
Local Income Tax
2.32%
Median Home Price
$207,000
Novi Tax Calculator
Pre-filled with Novi median: $50,800
Total Tax Burden in Novi
$11,281
Take-Home: $39,519 · Effective Rate: 22.21%
Federal Tax
$4,058
7.99% eff.
MI State + Local
$3,338
6.57% eff.
FICA
$3,886
7.65% eff.
Take-Home
$39,519
77.79% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $50,800.00 | $4,233.33 |
| Federal Income Tax | -$4,057.50 | -$338.13 |
| Michigan State Tax | -$2,159.00 | -$179.92 |
| Novi Local Tax (2.32%) | -$1,178.56 | -$98.21 |
| Social Security (6.2%) | -$3,149.60 | -$262.47 |
| Medicare (1.45%) | -$736.60 | -$61.38 |
| Take-Home Pay | $39,518.74 | $3,293.23 |
Property Tax in Novi
Median Home
$207,000
Annual Tax
$3,064
Monthly Tax
$255
Effective Rate
1.48%
Sales Tax in Novi
Combined Rate
6.91%
State Portion
~4.4%
Local Portion
~2.5%
The combined sales tax rate in Novi is 6.91%, which is below the national average of 7.12%. On a $100 purchase, you would pay $6.91 in sales tax.
Tax Burden Comparison
| Tax Type | Novi | Michigan Avg | National Avg |
|---|---|---|---|
| Income Tax | 4.25% + 2.32% | 4.25% | 4.6% |
| Property Tax | 1.48% | ~1.48% | 1.1% |
| Sales Tax | 6.91% | ~6.91% | 7.12% |
| Overall Burden | Moderate | — | Moderate |
Tax Saving Tips for Novi 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.
- Novi has a local income tax of 2.32%. 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 Novi (1.48%) 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
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ModerateWarren
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ModerateAnn Arbor
Very HighLansing
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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 Novi, MI?
Novi, Michigan has a state income tax rate up to 4.25%, plus a local income tax of 2.32%. The property tax rate is 1.48% and the combined sales tax rate is 6.91%.
How much is property tax in Novi?
The effective property tax rate in Novi is 1.48%. On the median home price of $207,000, this equals approximately $3,064 per year or $255 per month. This is above the national average of 1.1%.
What is the sales tax rate in Novi?
The combined sales tax rate in Novi is 6.91%, which includes both state and local components. This is below the national average combined rate of approximately 7.12%.
How does Novi's tax burden compare to other cities?
Novi has a moderate overall tax burden. The effective total tax rate for a median-income household is approximately 29.9%. The combination of 4.25% state income tax, 1.48% property tax, and 6.91% sales tax determines the total burden. Cost of living index is 91.7 (100 = national average).
Are there any local taxes in Novi?
Yes. Novi imposes a local income tax of 2.32% in addition to the state income tax of 4.25%.