Michigan and the national debt

Federal money in and out of Michigan

In fiscal year 2025 the IRS collected $111.93 billion in Michigan — $11,052 per resident, 29% below the national average. That ranks 38th highest of the 50 states and DC.

Federal grants to Michigan — Medicaid, highways, education and hundreds of smaller programs, mostly paid to the state and local governments — came to $34.31 billion in fiscal year 2025. That is $3,387 per resident, 4% below the national average — 32nd highest of the 50 states and DC.

Total federal contract and payment obligations are not compared by state: USAspending records large Medicare payments where the claims contractor or insurer is based. In fiscal year 2025 that placed about $90 billion of health spending on North Dakota, home of a major Medicare contractor. Grants are recorded with the state and local bodies that receive them, so they are the comparable figure.

Taxes and grants are not subtracted here either: taxes are counted where they are filed, often at a company’s headquarters. For an adjusted state balance of payments, see the Rockefeller Institute of Government.

In total that is $48,050 per adult with a credit record, 24% below the US figure of $63,200 — 43rd highest of the 50 states and DC. 11.3% of credit card balances were 90 or more days late, against 12.4% nationally.

Michigan’s economy

Michigan produced $730.07 billion of goods and services in 2025, 2.4% of US GDP. Per resident that is $72,085, 41st highest of the 50 states and DC. Measured by economic weight rather than headcount, its share of the national debt would be $950.44 billion.

Common questions