His retirement is effective Sept. 1, just a few weeks before having to answer to misconduct charges by the judicial tenure commission.
The state began investigating Powers after Fox 2's Rob Wolchek's "Busted on the job" story last year.
Fox 2 caught Powers playing golf after canceling his court docket, taking vacations with his wife when he was supposed to be at judicial conferences.
Powers was also spending long lunches with a female friend and not leaving his house for court until hours after he was supposed to be on the bench.
Powers sent a letter to Gov. Rick Snyder. It says retirement will allow him to spend more time with his family.
For more on Rob Wolchek's story, including what the Michigan Judicial Commission could do, click the video player above.