The minimum wage in Detroit is $13.73/hour in 2026. See how it compares to the MIT living wage of $21.00/hour and local cost of living.
Last updated: May 2026 · Data: MIT Living Wage Calculator, C2ER, U.S. Census, BLS, IRS, state and city sources
Calculate annual, monthly, and weekly income at any hourly wage in Detroit.
The minimum wage in Detroit is the Michigan statewide rate of $13.73/hour for 2026. Michigan's minimum wage rose to $13.73/hour on January 1, 2026 under 2025 legislation that phases the rate up further in 2027 and indexes it to inflation afterward. Michigan law does not let cities set their own minimum wage. The bigger question for most workers is how that compares to what it actually costs to live in Detroit. With average 1-bedroom rent near $1,150/month and a cost-of-living index of 96 (US average = 100), the gap between the minimum wage and a true living wage can be significant.
| Benchmark (Detroit, 2026) | Hourly | Annual (full-time) |
|---|---|---|
| Applicable minimum wage | $13.73 | $28,558 |
| MIT living wage (single adult) | $21.00 | $43,680 |
| MIT living wage (family of four, one earner) | $40.00 | $83,200 |
| Federal minimum wage | $7.25 | $15,080 |
| Michigan 2027 scheduled minimum | $14.97 | $31,138 |
| Average rent (1-bedroom, annual) | - | $13,800 |
Living wage figures: MIT Living Wage Calculator for Wayne County. Minimum wage reflects the rate applicable to most private employers in Detroit.
Detroit is the largest city in Michigan and the historic capital of the American auto industry, headquarters to General Motors and Stellantis with a major Ford presence nearby, and is rebuilding around mobility technology, healthcare, finance, and a revitalized downtown and riverfront.
| Local Metric | Detroit (2026 estimate) |
|---|---|
| Metro population | 630,000 |
| County / jurisdiction | Wayne County |
| Cost of living index (US avg = 100) | 96 |
| MIT living wage, single adult | $21.00/hour |
| MIT living wage, one earner supporting a family of four | $40.00/hour |
| Applicable minimum wage | $13.73/hour |
| Average rent, 1-bedroom | $1,150/month |
| Average rent, 2-bedroom | $1,400/month |
| Median home price | $95,000 |
| Median household income | $39,000/year |
| Combined sales tax rate | 6% |
| Effective property tax rate | 2.1% of value/year |
Local figures are 2026 estimates compiled from the MIT Living Wage Calculator, the C2ER Cost of Living Index, U.S. Census and Zillow housing data, and city and county sources. Verify current figures before relying on them.
The minimum wage in Detroit is the Michigan statewide rate of $13.73/hour for 2026. Michigan's minimum wage rose to $13.73/hour on January 1, 2026 under 2025 legislation that phases the rate up further in 2027 and indexes it to inflation afterward. Michigan law does not let cities set their own minimum wage. A full-time worker (40 hours/week, 52 weeks) earns about $28,558 per year gross before taxes at that rate.
Not for a single adult. The MIT Living Wage Calculator estimates a single adult in Wayne County needs about $21.00/hour (roughly $43,680/year) to cover basic costs. That is $7.27/hour above the applicable minimum wage, and a one-earner family of four needs closer to $40.00/hour.
At $13.73/hour, full-time work (2,080 hours/year) produces about $28,558 gross. Part-time at 30 hours/week is roughly $21,419/year. Average 1-bedroom rent in Detroit is about $1,150/month, or $13,800/year.
Detroit uses the Michigan statewide minimum wage rather than a separate city ordinance. Michigan sets one rate that phases up on a fixed schedule and preempts local minimum wage laws.
The federal minimum wage is $7.25/hour and has not changed since 2009. Michigan sets a higher state minimum, so $13.73/hour applies in Detroit for 2026 instead.