Michigan vs Washington Taxes: Income, Property & Sales

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

Michigan vs Washington Income Tax Comparison

	Michigan	Washington
Income Tax Rates & Thresholds	4.25%	7.0% on capital gains income only
Median Income	$68,990	$89,430
Income Tax Paid On Median Household Income	$10,665	$12,442
Income After Tax Based on Median Household Income	$58,325	$76,988

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Michigan vs Washington Property Tax Comparison

	Michigan	Washington
Average Property Tax Rate	1.06%	0.70%
Average House Price By State	$233,019	$593,406
Average Property Tax Owed Per Year	$2,470	$4,154
Income After Income Taxes & Property Taxes Based On Median State Household Income	$55,855	$72,834

Michigan vs Washington Sales Tax Comparison

	Michigan	Washington
Average State Sales Tax	6.00%	6.50%
Average Local Sales Tax Across the State	0.00%	2.79%
Average Combined Sales Tax Rate	6.00%	9.29%
Maximum Amount of Sales Tax Paid Based on Median Household Income	$3,162	$6,191
Maximum Disposable Income Based on Median Household Income	$52,693	$66,643

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

	Michigan	Washington
Income Tax Owed	$4,528	$3,040
After Tax Income	$35,472	$36,960
Income After Income & Property Tax	$33,002	$32,806
Maximum Disposable Income After Income, Property & Sales Taxes	$31,134	$30,018

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

	Michigan	Washington
Income Tax Owed	$8,305	$5,968
After Tax Income	$51,695	$54,032
Income After Income & Property Tax	$49,225	$49,878
Maximum Disposable Income After Income, Property & Sales Taxes	$46,439	$45,638

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

	Michigan	Washington
Income Tax Owed	$13,555	$10,368
After Tax Income	$66,445	$69,632
Income After Income & Property Tax	$63,975	$65,478
Maximum Disposable Income After Income, Property & Sales Taxes	$60,354	$59,912

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

	Michigan	Washington
Income Tax Owed	$18,805	$14,768
After Tax Income	$81,195	$85,232
Income After Income & Property Tax	$78,725	$81,078
Maximum Disposable Income After Income, Property & Sales Taxes	$74,269	$74,186

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

	Michigan	Washington
Income Tax Owed	$12,306	$8,481
After Tax Income	$87,694	$91,519
Income After Income & Property Tax	$85,224	$87,365
Maximum Disposable Income After Income, Property & Sales Taxes	$80,400	$79,939

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

	Michigan	Washington
Income Tax Owed	$24,486	$18,536
After Tax Income	$125,514	$131,464
Income After Income & Property Tax	$123,044	$127,310
Maximum Disposable Income After Income, Property & Sales Taxes	$116,079	$116,488

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

	Michigan	Washington
Income Tax Owed	$37,611	$29,536
After Tax Income	$162,389	$170,464
Income After Income & Property Tax	$159,919	$166,310
Maximum Disposable Income After Income, Property & Sales Taxes	$150,867	$152,173

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

	Michigan	Washington
Income Tax Owed	$51,655	$41,455
After Tax Income	$198,345	$208,545
Income After Income & Property Tax	$195,875	$204,391
Maximum Disposable Income After Income, Property & Sales Taxes	$184,788	$187,017

FAQ

Does Michigan or Washington have lower income taxes?

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

Whereas Washington’s income tax is the following 7.0% on capital gains income only

Does Michigan or Washington have lower property taxes?

Michigan has an average property tax rate of 1.06%

In comparison, Washington has an average property tax rate of 0.70%

Does Michigan or Washington 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, Washington has a state sales tax rate of 6.50% and an average local rate of 2.79% for a combined total rate of 9.29%.

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

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, Washington gives you $66,643.

More Comparisons:

Michigan vs Arizona
Michigan vs Tennessee
Michigan vs Massachusetts
Michigan vs Indiana
Michigan vs Missouri

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/