LANSING — Michigan taxpayers could see thousands of dollars in savings over the next three years, owing to new policies included in the state budget.

“We have some new tax relief for tipped wages, overtime pay, more favorable treatment of retirement income for Social Security earners,” said Bob Schneider, an analyst with Citizens Research Council.

The policies could impact hundreds of thousands of Michigan workers and tens of thousands of seniors.

The tip exemption can apply to up to $25,000 in tips, which would save a taxpayer more than a thousand dollars if they reach that limit.

Workers can also exempt close to $13,000 in overtime earnings from the state’s 4.25% income tax.

“So if someone’s making $20 an hour right now, and when they get into the overtime hours, they’re making time

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