Local payroll and employment requirements that differ from or exceed Michigan state law
Last updated: January 2025
Michigan state minimum wage applies. Grand Rapids follows state rate.
Michigan Paid Medical Leave Act applies to employers with 50+ employees.
City income tax on all taxable income for Grand Rapids residents. Second highest rate in Michigan after Detroit.
Non-residents working in Grand Rapids pay 0.75% on wages earned in the city. Exactly half the resident rate.
Corporations with nexus in Grand Rapids pay 1.5% on net income attributable to Grand Rapids operations.
Employers must withhold Grand Rapids income tax from all employees working in Grand Rapids. File quarterly with Michigan Treasury.
Grand Rapids income tax applies to work physically performed in the city. Remote workers may not be subject if working outside city limits.
These local rules apply in addition to Michigan state law. Employers must comply with whichever law provides greater protection to employees. Always verify current requirements with official sources.