changing driver license/license plate and domicile for internship year?

[WDC20009]

Hi,

I'm from Cali and I'll be doing a transitional year in MI. I'm reapplying for residency this upcoming cycle and the plan is to secure a less competitive residency in California. I am aware of MI's no fault insurance and the tax differences between the 2 states. My effective tax rate is cheaper for California than Michigan. I don't know the quote for my car insurance premium in Michigan, but I'm assuming it's higher than California's. It's not like my salary of $50k/yr matters compare to my debt. However, if I can save some money and not change my driver license/license plate/domicile to Michigan I would be so thrilled. With that being said, do you think it's necessary to change my driver license/license plate/domicile from California to Michigan? I plan to be in MI for 1 year only. Any advice for my situation? Thank you.

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[ThoracicGuy]

Hi,

I'm from Cali and I'll be doing a transitional year in MI. I'm reapplying for residency this upcoming cycle and the plan is to secure a less competitive residency in California. I am aware of MI's no fault insurance and the tax differences between the 2 states. My effective tax rate is cheaper for California than Michigan. I don't know the quote for my car insurance premium in Michigan, but I'm assuming it's higher than California's. It's not like my salary of $50k/yr matters compare to my debt. However, if I can save some money and not change my driver license/license plate/domicile to Michigan I would be so thrilled. With that being said, do you think it's necessary to change my driver license/license plate/domicile from California to Michigan? I plan to be in MI for 1 year only. Any advice for my situation? Thank you.

Legally you usually have something like 30-60 days from moving there to get your new state license and plates. Practically, you have until things expire to do as you wish. You risk running into trouble, though, if something happens and you're found not in compliance. A low risk, but still not zero.

 

[hamstergang]

One of my co-residents just got a ticket for not changing her license over. You should check with the laws of the particular state as they all vary in the time period allotted. Of course, most people could probably break this law and not get in trouble, so...

Also, as far as insurance goes, don't they care about where your car is garaged, not where you officially live?

 

[RangerBob]

Technically you are a resident in the new state and need to change your license/registration. As a medical student you didn't, but now you're moving due to a job and you're going to be paying MI state taxes.

I was in MI for my intern year--I knew a few guys who kept their old CA license/registration/insurance. But, the insurance in MI is a BIG DEAL. I believe you need to buy no-fault insurance if you're in the state more than ~30 days (even if just visiting or an out of state student keeping your out-of state plates, etc.). If you don't have no-fault insurance (or a no-fault insurance rider that your CA agent could get you), you are legally uninsured in Michigan. So if you cause an accident you're in major trouble--financially and legally (two things you don't want to deal with intern year). And even if you don't, you get a pretty big ticket if you get pulled over and can't provide proof of no-fault insurance.

Unfortunately MI insurance is quite a bit higher than CA (MI is the 2nd highest in the country--because of the no-fault insurance). I think my rates went up like 50% or something ridiculous. But it is not something I would mess around with. If you're going to live and drive in MI, insure your car through MI.

 

[JustAGuy]

I was ticketed 4 months into my residency.