Bookkeeping services in Michigan, done remotely.
Our bookkeeping services in Michigan cover monthly books, payroll and tax filings for small businesses anywhere in the state, in QuickBooks Online, Xero or the software you already use.
Fixed monthly fees from $150/month
- 6% sales and use tax returns
- City income tax withholding, set per employee
- UIA registration and quarterly wage reports
- The LLC annual statement on your calendar
The same fixed fees as anywhere we work
Every Michigan city is the same distance from a remote bookkeeper.
From Detroit to the Upper Peninsula, the work happens in your accounting file and the reports land in your inbox.
What does change from place to place is local tax: 24 Michigan cities tax wages, and most do not. That, the state’s payroll rules and its filing calendar are all covered below.
- Reports by the 5th of each month
- A reply within one business day
- US business hours, Mon-Sat, 9am-5pm EST
We work remotely, so there is no office to visit. Call, email or book a free intro call instead.
Small business bookkeeping in Michigan: the rules we keep on top of.
What is different about keeping books for a Michigan business, and what we do about each one.
6% sales and use tax, no local add-ons
Michigan charges a flat 6%, with no city or county sales tax, so the rate is simple and the filing schedule is what people miss. Treasury assigns monthly, quarterly or annual returns through Michigan Treasury Online. Monthly and quarterly returns are due on the 20th, and the annual return by February 28. We track taxable sales and use tax in your books and prepare each return.
Selling to other states
Every state sets its own threshold for when an out-of-state seller has to register and collect. Michigan’s is $100,000 in sales or 200 transactions in the previous calendar year. If you ship beyond Michigan, we watch where your sales may cross a threshold and file where you are registered.
Flow-through entity tax election
S corporations and partnerships can elect to pay Michigan income tax at the entity level, which can help owners with the federal limit on state and local tax deductions. It is only worth considering with clean books that show the numbers. We keep them that way and flag the election to your tax preparer.
Annual LLC statement
Every Michigan LLC files an annual statement with LARA by February 15. It is a short filing with a small fee, and easy to forget. It goes on your calendar with the rest of your dates.
Michigan city income tax, in one table.
24 Michigan cities levy an income tax. If your business is in one of them, you generally withhold it from employees who live there and, usually at half the rate, from non-residents for the work they do in the city.
Detroit’s tax is administered by Michigan Treasury, and Flint’s moves there on January 1, 2027. The other cities run their own forms, returns and payments. We set each employee up correctly and keep every return filed.
Remote staff, which cities tax wages and who collects what: Michigan city income tax, for employers.
| City | Residents | Non-residents | Administered by |
|---|---|---|---|
| Detroit | 2.4% | 1.2% | Michigan Treasury |
| Highland Park | 2% | 1% | The city |
| Grand Rapids | 1.5% | 0.75% | The city |
| Saginaw | 1.5% | 0.75% | The city |
| Lansing | 1% | 0.5% | The city |
| East Lansing | 1% | 0.5% | The city |
| Flint | 1% | 0.5% | The city (Michigan Treasury from Jan 1, 2027) |
| Most other taxing cities | 1% | 0.5% | The city |
Sources: Michigan Treasury, Which cities impose an income tax?; City of Saginaw, Income Tax; Michigan Treasury, City Tax Administration. Checked .
Michigan payroll services: city tax, UIA, sick time and reciprocity.
What makes payroll in Michigan different. Staff in other states too? Our multi-state payroll services cover each state you employ in.
City income tax
Withholding is set per employee: resident or non-resident, and which city. Detroit’s tax is administered by Michigan Treasury, and Flint’s moves there on January 1, 2027. The other taxing cities run their own returns, and we keep each one filed with state withholding.
UIA and new hires
New employers register with the Unemployment Insurance Agency and file a wage report by the 25th of the month after each quarter, on top of federal Form 941. New hires are reported to the state within 20 days.
Earned sick time
Under the Earned Sick Time Act, employees earn 1 hour of paid sick time for every 30 hours worked. Employers may cap use at 72 hours a year, or 40 with 10 or fewer employees, so payroll has to track what each person has earned and used.
Reciprocity with six states
Michigan has reciprocal agreements with Illinois, Indiana, Kentucky, Minnesota, Ohio and Wisconsin. Residents of those states who work in Michigan claim exemption on Form MI-W4 and pay income tax to their home state.
Sources: Michigan Treasury, withholding reciprocity; LEO, Earned Sick Time FAQ. Checked .
Your filing calendar.
The state dates we track for you, alongside every federal one.
The 20th
Every month
Monthly and quarterly sales, use and withholding returns, due the 20th of the month after the period.
The 25th
After each quarter
UIA quarterly wage report: April 25, July 25, October 25 and January 25.
January 1
Every year
New minimum wage rates. For 2026: $13.73 an hour, and $5.49 for tipped employees.
February 15
Every year
LLC annual statement with LARA.
February 28
Every year
Annual sales, use and withholding return.
Notes for restaurants, contractors and online sellers.
- bookkeeping for restaurants
Restaurants
Tipped staff have their own minimum wage, $5.49 an hour in 2026, and tips have to run through payroll. Food and labor cost are reported every month.
- bookkeeping for contractors
Contractors
Subcontractors paid $2,000 or more in 2026 need a 1099-NEC by February 1, 2027 (the threshold was $600 through 2025). Job costing shows profit by job.
- ecommerce bookkeeping
Online sellers
Shopify and Amazon payouts are split into sales, fees, refunds and sales tax before the 6% return is prepared, and sales into other states are watched against their thresholds.
What we do for Michigan businesses.
The same services and fixed monthly fees as anywhere we work, with Michigan’s rules handled inside each one.
Questions about working with us.
Do you work with businesses anywhere in Michigan?
Yes. We work remotely, so a business in Detroit and one in the Upper Peninsula get the same service, the same named contact and the same fixed fees.
Is payroll in Michigan different?
In four ways. Some cities tax wages, so withholding depends on where each employee lives and works. Employers file UIA wage reports every quarter. The Earned Sick Time Act sets how paid sick time builds up. And residents of six neighboring states can claim exemption from Michigan withholding under reciprocity. We handle all four inside your payroll.
When are Michigan sales tax returns due?
Monthly and quarterly returns are due on the 20th of the month after the period ends, and the annual return by February 28. Treasury tells you which schedule you are on. The full detail is in our Michigan sales tax guide.
Do you keep track of the LLC annual statement?
Yes. Every Michigan LLC files an annual statement with LARA by February 15. We put it on your calendar with the rest of your filing dates, so it is not forgotten.
Do you have an office in Michigan I can visit?
No. We work remotely, so there is no office to visit. You can call (906) 268-9778, email us or book a free intro call (opens in a new tab), Mon-Sat, 9am-5pm EST.
How much does bookkeeping cost in Michigan?
The same as anywhere else we work: fixed monthly fees from $150 a month for Starter, $350 for Growth and $650 for Scale, confirmed after a short look at your volume. See all three packages on the pricing page.
My business is outside Michigan. Can you still help?
Yes. We work with small businesses across the US. This page covers the Michigan rules; the services are the same everywhere.
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