Skip to main content

See all 50 states on one map and compare side-by-side. Start 7-day free trial — no card required

Back to map
Michiganworking inMinnesota
Reciprocity — home state withholds for you

Minnesota

Work State Tax Rate
5.35%-9.85%
Withholding Starts
N/A (home state)
Law Last Updated
PFML Jan 1, 2026

Employee Obligations (Which Returns YOU Must File)

Michigan has a reciprocity agreement with Minnesota. If your only income from Minnesota is wages, salary, tips, or commissions, file your Michigan return only — no Minnesota return needed. Give your Minnesota employer your reciprocity form (MI-W4) each year.

Employer Obligations (What Your Employer Must Withhold & Remit)

Reciprocity applies. If the employee provides the reciprocity form (MI-W4), withhold Michigan tax instead of Minnesota tax. Must still register for Minnesota unemployment insurance. Register for Minnesota withholding and unemployment. PFML starting January 1, 2026: employer pays at least 0.44% (total rate 0.88%) on wages up to $185,000. Process Form MWR for Michigan and North Dakota employees.

City & Local Income Taxes (Extra Filings Beyond the State Return)

No local income tax anywhere in Minnesota.

Other Paycheck Deductions (Disability, Paid Leave, Unemployment)

PFML approximately 0.44% starting January 1, 2026.

Reciprocity Agreement — File Home State Only for Wages

Michigan has a reciprocity agreement with Minnesota. For wage income, you only need to file your Michigan return. Give your employer the reciprocity form (MI-W4) each year to avoid Minnesota withholding.

Row last reviewed: Apr 17, 2026Home state credit form: Schedule 1

This is general information, not tax or legal advice. Laws change frequently. Always consult a licensed CPA or tax attorney for your specific situation. All information researched as of March 21, 2026.