Michigan Estimated Tax Payments (2026)

Do you have to pay estimated taxes in Michigan?

Yes. If you're self-employed in Michigan and expect to owe more than $500 in Michigan income tax for 2026 after withholding and credits, you must make quarterly estimated payments to Michigan Department of Treasury. That is below the federal $1,000 threshold, so most part-time self-employed people owe them too. Michigan taxes income at a flat 4.25%.

When are Michigan estimated taxes due in 2026?

Michigan's 2026 quarterly payments are due April 15, June 15, September 15, and January 15, in four equal installments, on the same calendar as your federal payments.

• Q1, April 15, 2026

• Q2, June 15, 2026

• Q3, September 15, 2026

• Q4, January 15, 2027

How much should you set aside for Michigan estimated taxes?

Plan to set aside 25% to 30% of your net self-employment profit to cover federal and Michigan taxes combined, then confirm the exact amount with the calculator above. On $50,000 of net self-employment profit, federal self-employment tax alone is about $7,065 (15.3% on 92.35% of your earnings). On top of that you'll owe federal income tax and about $1,874 in Michigan income tax: 4.25% of your profit minus the $5,900 personal exemption.

How do you avoid a Michigan underpayment penalty?

To avoid a Michigan underpayment penalty, pay the smaller of 90% of your 2026 Michigan tax or 100% of your 2025 tax, or 110% of last year's tax if your prior-year AGI topped $150,000, in four on-time installments. Paying the full amount late doesn't help; each installment has to be on time. You can estimate a federal underpayment penalty here.

What deductions lower your Michigan estimated taxes?

Because estimated taxes are based on your net profit, every business write-off you claim lowers what you owe each quarter. Common deductions for 1099 workers, reported on Schedule C, include the home-office deduction, car mileage, phone and internet, software, and supplies. Two federal deductions don't help on your Michigan return: Michigan adds back the half of your self-employment tax you deduct federally, and it doesn't allow the Qualified Business Income (QBI) deduction, which can remove up to 20% of your qualified business income from your federal taxes. Self-employed health insurance premiums and self-employed retirement contributions do lower your Michigan tax.

Keeper's 1099 tax calculator estimates your bill after deductions, and our write-off guides list the deductions for your line of work.

Do self-employed people in Michigan owe local or other taxes too?

Often yes. Twenty-four Michigan cities charge their own income tax, with separate returns and estimated payments. Detroit charges 2.4% if you live there and 1.2% if you only work there; most of the others charge 1% and 0.5%.

Note: Figures are current for the 2026 tax year and are for planning, not tax advice. Confirm the details with the Michigan Department of Treasury before you file.

How to file quarterly taxes in Michigan

Filing quarterly in Michigan means two separate payments each period: one to the IRS for federal tax, and one to the Michigan Department of Treasury for your state taxes. Here’s how to do it.

1. Confirm you need to pay. You owe estimated payments when tax isn’t withheld from enough of your income — 1099 or freelance work, investment income, or other untaxed income. Federal and Michigan run separate tests: the state generally requires estimated payments if you expect to owe more than $500 in Michigan tax after withholding and credits, subject to its safe-harbor rules.
2. Calculate your federal estimate. Use the Form 1040-ES worksheet (or tax software). Estimate your full-year income, add your federal income tax and self-employment tax, subtract anything already withheld from a paycheck, and split the rest across the year. The estimate at the top of this page gives you a starting number.
3. Calculate your Michigan estimate separately. Work out your Michigan amount on its own using Form MI-1040ES. Don’t just send part of your federal payment to the state — the Michigan calculation is separate, based on your Michigan income tax, credits, and any Michigan withholding.
4. Pay the IRS. Pay through IRS Direct Pay (or EFTPS) and choose the estimated tax / Form 1040-ES option. Select tax year 2026 and save the confirmation number. This money counts only toward your federal taxes.
5. Pay Michigan separately. Make a second payment to Michigan Individual Income Tax eServices and select the Form MI-1040ES estimated payment for 2026. Save that confirmation too. This money counts only toward your Michigan taxes.
6. Repeat on each deadline. For 2026, federal estimated payments are due April 15, 2026, June 15, 2026, September 15, 2026, and January 15, 2027. Michigan uses those same four dates.

Steps reflect 2026 rules and are for planning, not tax advice.