Should I Keep My Medical Marijuana Card?

Since recreational marijuana for citizens over the age of 21 passed in Michigan, a lot of patients are wondering, should I keep my medical marijuana card? Here we try to give a simple breakdown of the financial benefits of keeping your medical marijuana card in Michigan.

Financial Benefits

The new recreational law, Proposal 1, imposes a 10% Excise Tax on recreational marijuana sales. This is in addition to the 6% State Sales Tax. Proposal 1 also eliminates the current 3% Excise Tax on medical marijuana sales, but the 6% State Sales Tax remains in effect. Although excise taxes are the responsibility of the retailer/dispensary, the cost is typically baked in to retail price. So, medical card holders will likely pay at least 10% less than recreational consumers.

Let’s Do the (Simple) Math

According to “PriceOfWeed.com” the average cost of “High Quality” cannabis in Michigan is $290/oz. For simple math, we’ll cut this price to $200 per ounce. Under Proposal 1, a medical card holder will likely spend at least 10% less at a dispensary than recreational consumers. A medical card holder’s annual savings will depend on the amount of cannabis consumed. Here is a handy chart that shows the potential annual savings for medical vs recreational.

Cannabis per Month

    • 0.5 oz
    • 1.0 oz
    • 1.5 oz
    • 2.0 oz
    • 2.5 oz

Medical (6% Tax)

    • $106
    • $212
    • $318
    • $424
    • $530

Recreational (16% Tax)

    • $116
    • $232
    • $348
    • $464
    • $580

Annual Savings

    • $120
    • $240
    • $360
    • $480
    • $600
CategoryMichigan

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