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 |
About Taxes in Novi
Novi has a population of approximately 60,489 residents with a median household income of $50,800. The cost of living index is 91.7 (8.3% lower than the national average of 100).
Tax burden classification: Moderate. Effective combined tax rate of 29.9% includes federal, state, FICA, property, and sales taxes for a typical Novi household.
Official Tax Resources for Michigan
For authoritative Michigan tax forms, filing deadlines, and the latest legislative updates, consult these official government resources:
- Michigan Department of Treasury — official state revenue agency
- Michigan Individual Income Tax Forms — current tax year forms and instructions
- IRS Federal Tax Forms and Instructions — federal income tax filing
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 ($4,400 individual, $8,750 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
Other Cities in Michigan
Detroit
LowGrand Rapids
ModerateWarren
LowSterling Heights
ModerateAnn Arbor
Very HighLansing
LowFlint
Very LowSources & Methodology
Tax rate data on this page is compiled from official government sources and updated for the 2026 tax year. Calculations follow the IRS-published 2026 federal tax brackets, FICA rates (6.2% Social Security up to $176,100 wage base, 1.45% Medicare), and Michigan state tax provisions. Property tax estimates use Novi's median home value of $207,000and the local effective property tax rate of 1.48%.
- • Federal tax brackets and standard deductions: IRS.gov
- • State income tax rates and brackets: Michigan Department of Treasury
- • Median household income, home value, and demographics: U.S. Census Bureau ACS
- • Cost of living comparisons: U.S. Bureau of Labor Statistics CES
- • National average benchmarks: Tax Foundation state-level tax burden studies
Disclaimer: Estimates are for informational purposes only. Actual tax liability depends on filing status, deductions, credits, and individual circumstances. Consult a licensed tax professional or your state revenue agency for binding tax guidance.
Reviewed by LevyIO Tax Research Team · Published 2026-01-15 · Last updated 2026-04-30
Calculate 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%.