Before you can pay employees, make sure you've registered for payroll in their applicable work state. This can sometimes take several weeks—the sooner you start the process, the sooner you'll have the tax account info required to pay them. Learn more about paying your first employee in a new state by watching this quick tutorial.
Gusto partners with CorpNet to help you register in the state—learn more below.
Click Register a company with state and local agencies or Find account numbers and rate info—the company is already registered with the state to learn more about:
Since Gusto can only report your payroll withholding, you'll need to file an additional Form 5080/5081 with the completed sales tax details for the amount of sales and use tax owed, you can learn more below.
Once a work address has been added in a new state and a new employee has been hired and assigned a work address in that state, you can get registration assistance in Gusto.
Pricing varies by state—get started below and during step 4, you'll review the price, process, and estimated timeline to completion.
Here’s a snapshot of the process:
CorpNet can walk you through entering any info that they themselves do not enter in Gusto on your behalf.
After you send your order, we’ll email you with status updates and add your order total to your next monthly invoice.
When your order is complete, you’ll receive emails from both Gusto and CorpNet. They’ll detail the next steps which include:
Before your order is completed, you can use the link in the state registration confirmation email from Gusto to check the status of your order.
You can also check the status in your Gusto account:
If an order is already completed, you'll need to contact CorpNet at [email protected] or 1(888) 449-2638 to cancel. They’re open Monday-Friday from 7am-5pm PT.
If your order is still in progress, you can cancel from your Gusto account:
Q: Can I run payroll for my employees before my registration is complete?
A: Not in most cases—you typically need to have a withholding account number and required tax rate(s) in Gusto before you can run payroll.
If you’re registering in a state where there is no income tax withheld, you can use the state-specific “new employer rate” in this article until you receive your company-assigned rate from the agency.
Q: Can I use Gusto to register in a new state if I don't have a Federal Employer Identification Number (FEIN) yet?
A: No–you must have a FEIN entered in Gusto to order a state tax registration.
Q: Where can I see all my tax information?
A: You can see all tax details in the following locations:
Gusto’s state tax registration service does not contain tax, legal, financial, or HR advice. Since rules and regulations change over time and can vary by location, consult a lawyer, HR expert, or accountant for specific guidance.
Q: My company is a nonprofit and I'm unable to enter 0% in the responsible party section, what do I do?
A: Some states have a 1% minimum for the responsible party ownership percentage. Those states are: ID, KS, MN, OH, SC, DC, DE, MD, NJ, NY, and RI.
Registration orders will need to be placed directly through CorpNet, outside of Gusto, or you'll need to register directly with the agency yourself.
During the registration process you will be asked if you are using a payroll service and need a power of attorney form to be filled out. Once you enter in the MI information in your Gusto account and assign a work address to your first MI employee, we'll formulate this Power of Attorney (POA) form for you to electronically sign along with the other forms.
To register for withholding tax:
If you have trouble registering your business or have questions regarding the status of your application, contact the Registration Unit at (517) 636-6925.
Enter the tax account information in Gusto
Once a valid Michigan work address has been added in Gusto for one or more employee(s), you can add your tax account information:
You'll need to register with the Michigan Unemployment Insurance Agency to receive the unemployment account numbers and tax rates—you should receive your Employer Account Numbers and rates a few days after registering.
To register for unemployment tax:
For questions about your unemployment tax number or rate, contact the agency at (855) 484-2636, option 5.
Enter the tax account information in Gusto
Once a valid Michigan work address has been added in Gusto for one or more employee(s), you can add your tax account information:
Some agencies require special authorization for Gusto to pay or file your taxes.
To ensure successful authorization, please verify that the following information you have entered into Gusto matches what is on file with the Michigan Unemployment Insurance Agency:
If Gusto is having trouble gaining access to your account, please verify that the above information matches exactly what the agency has on file by giving them a call at (855) 484-2636, option 5.
Multiple cities in Michigan levy an income tax on residents and nonresidents who work in these specific cities. These taxes are typically 1% income tax on residents and .5% on nonresidents. The cities of Detroit, Grand Rapids, Highland Park and Saginaw have rates that differ from the rest.
Gusto will handle the payment of these taxes but as a business owner you will need to register with the city/cities that your employees are working in—registration in each city is unique.
By clicking on the respective city below you'll be provided with the form that needs to be mailed to that city to register.
If you have multiple business locations in Michigan, each of your employees will have a "Predominant Work City" field in their Gusto profile. Employees must identify their predominant work city on the city's W-4 by December 1 for the next calendar year, then update their Gusto profile.
Employees can view or update the Predominant Work City in Gusto by following the steps below.
Admins can update this on MI employees' behalf by following the steps below.
If you already know the MI employee who needs a Predominant Work City update, you can access their profile from the Team Members section of your account. The below method will allow you to view all employees associated with Michigan.
Third party authorization is required or recommended for the below agencies:
Michigan Department of Treasury (DOT) - withholding tax
We'll attempt to access your Withholding Tax account online, behind the scenes.
If we're unable to get the access we need using the information we have on file, we'll notify you and request some more information—zip code, last payment amount, or most recent total tax due.
Michigan Department of Labor and Economic Opportunity - unemployment tax
Amendments often call for a different filing method than original returns—this agency requires that Gusto have third party access to your online Michigan Web Account Manager (MiWAM) in order to submit an amendment on your behalf.
If you've run payroll in the past in Michigan, you can find your 9-digit MI Withholding Tax ID Number (XX-XXXXXXX) on notices you've received from the Department of Treasury.
If you have any questions, call the agency at (517) 636-6925.
If you've run payroll in Michigan previously you'll find your 10-digit MI UIA Account number (XXXXXX XXX) on notices that you have received from the agency.
If you're unsure of your ID you should call the agency at (855) 484-2636, option 5.
Unemployment tax rate
Your total unemployment rate appears on the bottom right of Form UIA 1771, the Tax Rate Determination For Calendar Year notice that you receive annually from the Unemployment Insurance Agency—this rate includes the Obligation Assessment (OA) Tax.
If you're unsure of your rate you should call the agency at (855) 484-2636, option 5.
Click here to view state-by-state UI rates and wage base (not company-specific).
Once a valid Michigan work address has been added in Gusto for one or more employee(s), you can add your tax account information:
If you have multiple business locations in Michigan, each of your employees will have a "Predominant Work City" field in their Gusto profile. Employees must identify their predominant work city on the city's W-4 by December 1 for the next calendar year, then update their Gusto profile.
Employees can view or update the Predominant Work City in Gusto by following the steps below.
Admins can update this on MI employees' behalf by following the steps below.
If you already know the MI employee who needs a Predominant Work City update, you can access their profile from the Team Members section of your account. The below method will allow you to view all employees associated with Michigan.
Third party authorization is required or recommended for the below agencies:
Michigan Department of Treasury (DOT) - withholding tax
We'll attempt to access your Withholding Tax account online, behind the scenes.
If we're unable to get the access we need using the information we have on file, we'll notify you and request some more information—zip code, last payment amount, or most recent total tax due.
Michigan Department of Labor and Economic Opportunity - unemployment tax
Amendments often call for a different filing method than original returns—this agency requires that Gusto have third party access to your online Michigan Web Account Manager (MiWAM) in order to submit an amendment on your behalf.
Form 5080/5081 are the monthly, quarterly, and annual forms filed by businesses operating in Michigan. These forms are combined returns, meaning they include payroll withholdings alongside sales tax reporting.
Because this form includes reporting of sales tax and this is information that Gusto does not have, we will file this form with only the withholding tax information.
Since Gusto will only be reporting your payroll withholding, you will need to file an additional Form 5080 / 5081 with the completed sales tax details for the amount of sales and use tax owed. If sales and use tax are not owed, enter zeros on this form for these amounts. Please leave the withholding tax portion of the form blank.
Michigan will then be able to combine the sales and use tax amounts from your filed form with the payroll withholding amounts from the form filed by Gusto.
Form 5080
The sales tax portion must be filed no later than the 20th of the month following the end of the return period (e.g. monthly filers must file by the 20th day of the following month and quarterly filers file by the 20th day after the end of the quarter).
If you owe sales and use tax in Michigan, this form must be completed either by paper or electronically. If you complete it by paper you should mail it to the address below:
Michigan Department of Treasury
P.O. Box 30324
Lansing, MI 48909-7824
Form 5081
This annual form is due by the end of February, and can be filed electronically via the state website or on paper and mailed to:
Michigan Department of Treasury
P.O. Box 30401
Lansing, MI 48909-7901
If the due date falls on a weekend or holiday, the due date will be the business day following the weekend or holiday.
Where to find the forms available in your account
Head to the Taxes & compliance section and select Tax documents. Use the tabs on the page to toggle between federal, state, W-2, and 1099 forms.
Asterisks info—only if applicable