How to Invoice as a IT Consultant in Michigan

How to invoice as a it consultant in Michigan: MI sales tax 6.00% (services usually exempt), late fees capped at 1.5%/mo under Mich. Comp. Laws §438.31, written contracts required over $600. Step-by-step guide with a free template.

State sales tax
6%
Late fee cap
1.5%/mo
Net terms
30 days
Deposit
0%

1. Michigan-specific invoice requirements

  • Sales tax line: 6.00% state rate. Most services rendered in Michigan are exempt from sales tax — but materials, parts, and tangible goods are not. State 6%; uniform statewide. No local sales tax.
  • Late-fee cap: Michigan statute Mich. Comp. Laws §438.31 caps interest on unpaid invoices at 1.5% per month. Spell out the rate in writing on every invoice and in your contract — courts won't enforce undisclosed fees.
  • Written contract required: Michigan requires a signed agreement for any job over $600. Reference the contract number on the invoice.
  • Right-to-cancel notice: Customers in Michigan get 72-hour cancellation rights on certain home-services contracts. Disclose this in your terms.

2. IT Consultant line items + standard terms

Every it consultant invoice in Michigan should itemize work clearly. Standard it consultants use Net 30 terms with no deposit required.

  • Block-of-hours retainer — billed by flat.
  • Onsite labor — billed by hour (~$175 default).
  • Remote labor — billed by hour (~$145 default).
  • After-hours surcharge — billed by pct.
  • Hardware — billed by itemized.

3. IT Consultant licensing in Michigan

No general license. Vendor certifications (Microsoft, Cisco, AWS) drive credibility. SOC 2 expected for handling client data.

4. Send and follow up

Send the invoice the same day work completes. Use software that records open events and offers a one-click online payment so you don't need to chase a check by mail. Michigan customers expect digital payment options today — accepting card and ACH typically reduces days-to-paid by 30–50%.

Average invoice
$2,800
State
MI
Net terms
30 days
Deposit
0%

Michigan metro guides

Metro-specific guides include the combined sales-tax rate and local pricing benchmarks.

Related