Michigan vs Colorado Taxes: Income, Property & Sales

Does Michigan or Colorado have lower taxes? We answer that in a variety of ways below:

Michigan vs Colorado Income Tax Comparison

	Michigan	Colorado
Income Tax Rates & Thresholds	4.25%	4.40%
Median Income	$68,990	$89,930
Income Tax Paid On Median Household Income	$10,665	$16,055
Income After Tax Based on Median Household Income	$58,325	$73,875

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Michigan vs Colorado Property Tax Comparison

	Michigan	Colorado
Average Property Tax Rate	1.06%	0.40%
Average House Price By State	$233,019	$555,300
Average Property Tax Owed Per Year	$2,470	$2,221
Income After Income Taxes & Property Taxes Based On Median State Household Income	$55,855	$71,654

Michigan vs Colorado Sales Tax Comparison

	Michigan	Colorado
Average State Sales Tax	6.00%	2.90%
Average Local Sales Tax Across the State	0.00%	4.87%
Average Combined Sales Tax Rate	6.00%	7.77%
Maximum Amount of Sales Tax Paid Based on Median Household Income	$3,162	$5,166
Maximum Disposable Income Based on Median Household Income	$52,693	$66,488

After Tax Comparison Earning $40,000 Per Year Filing As Single

	Michigan	Colorado
Income Tax Owed	$4,528	$4,271
After Tax Income	$35,472	$35,729
Income After Income & Property Tax	$33,002	$33,508
Maximum Disposable Income After Income, Property & Sales Taxes	$31,134	$31,092

After Tax Comparison Earning $60,000 Per Year Filing As Single

	Michigan	Colorado
Income Tax Owed	$8,305	$8,109
After Tax Income	$51,695	$51,891
Income After Income & Property Tax	$49,225	$49,670
Maximum Disposable Income After Income, Property & Sales Taxes	$46,439	$46,089

After Tax Comparison Earning $80,000 Per Year Filing As Single

	Michigan	Colorado
Income Tax Owed	$13,555	$13,419
After Tax Income	$66,445	$66,581
Income After Income & Property Tax	$63,975	$64,360
Maximum Disposable Income After Income, Property & Sales Taxes	$60,354	$59,720

After Tax Comparison Earning $100,000 Per Year Filing As Single

	Michigan	Colorado
Income Tax Owed	$18,805	$18,729
After Tax Income	$81,195	$81,271
Income After Income & Property Tax	$78,725	$79,050
Maximum Disposable Income After Income, Property & Sales Taxes	$74,269	$73,350

After Tax Comparison Earning $100,000 Per Year Filing As Married Filing Jointly

	Michigan	Colorado
Income Tax Owed	$12,306	$11,852
After Tax Income	$87,694	$88,148
Income After Income & Property Tax	$85,224	$85,927
Maximum Disposable Income After Income, Property & Sales Taxes	$80,400	$79,732

After Tax Comparison Earning $150,000 Per Year Filing As Married Filing Jointly

	Michigan	Colorado
Income Tax Owed	$24,486	$24,182
After Tax Income	$125,514	$125,818
Income After Income & Property Tax	$123,044	$123,597
Maximum Disposable Income After Income, Property & Sales Taxes	$116,079	$114,686

After Tax Comparison Earning $200,000 Per Year Filing As Married Filing Jointly

	Michigan	Colorado
Income Tax Owed	$37,611	$37,457
After Tax Income	$162,389	$162,543
Income After Income & Property Tax	$159,919	$160,322
Maximum Disposable Income After Income, Property & Sales Taxes	$150,867	$148,763

After Tax Comparison Earning $250,000 Per Year Filing As Married Filing Jointly

	Michigan	Colorado
Income Tax Owed	$51,655	$51,651
After Tax Income	$198,345	$198,349
Income After Income & Property Tax	$195,875	$196,128
Maximum Disposable Income After Income, Property & Sales Taxes	$184,788	$181,987

FAQ

Does Michigan or Colorado have lower income taxes?

Michigan’s income tax falls into the following range: 4.25%

Whereas Colorado’s income tax is the following 4.40%

Does Michigan or Colorado have lower property taxes?

Michigan has an average property tax rate of 1.06%

In comparison, Colorado has an average property tax rate of 0.40%

Does Michigan or Colorado have lower sales taxes?

Michigan has a state sales tax rate of 6.00% and an average local rate of 0.00% for a combined total rate of 6.00%.

In contrast, Colorado has a state sales tax rate of 2.90% and an average local rate of 4.87% for a combined total rate of 7.77%.

Do you get to keep more money in Michigan or Colorado?

Based on median household income after income, property and sales taxes Michigan gives you a maximum amount of disposable income of $52,693

In comparison, Colorado gives you $66,488.

More Comparisons:

Michigan vs Minnesota
Michigan vs South Carolina
Michigan vs Alabama
Michigan vs Louisiana
Michigan vs Kentucky

Sources:

https://en.wikipedia.org/wiki/State_income_tax#Rates_by_jurisdiction

https://www.bankrate.com/real-estate/property-tax-by-state/#by-state

https://fred.stlouisfed.org/release/tables?eid=259515&rid=249

https://www.fool.com/the-ascent/research/average-house-price-state/

https://taxfoundation.org/data/all/state/2022-sales-taxes/

https://www.forbes.com/advisor/income-tax-calculator/