An MEMS device has a dynamically variable reference capacitor that provides a reference to a sense capacitance. In some embodiments, a 3-axis accelerometer includes a proof mass suspended above a substrate from an anchor, and a cantilevered Z-axis reference capacitor arm suspended above the substrate from the same anchor. In some embodiments, the proof mass is suspended from a plurality of anchors, and each anchor also supports one or more cantilevered arms, the cantilevered arms forming a dynamically variable reference capacitance.