Income Tax Calculator
Calculate U.S. federal income tax liability using 2024 tax brackets with detailed breakdown by tax bracket
Tax Summary
Tax Breakdown by Bracket
| Tax Bracket | Income in Bracket | Rate | Tax |
|---|---|---|---|
| 10% ($0 - $11,600) | $11,600 | 10% | $1,160 |
| 12% ($11,600 - $47,150) | $35,550 | 12% | $4,266 |
| 22% ($47,150 - $100,525) | $13,250 | 22% | $2,915 |
| Total Federal Income Tax | $8,341 | ||
Monthly Income Breakdown
* This calculator shows federal income tax only. Actual take-home pay will be lower due to state income tax (if applicable), Social Security (6.2%), Medicare (1.45%), and other withholdings.
About This Tool
An income tax calculator helps you estimate your federal tax liability based on your income, filing status, and deductions. Understanding how progressive tax brackets work and what you'll owe in taxes is essential for financial planning, budgeting, and maximizing tax efficiency.
How Tax Brackets Work
The U.S. uses a progressive tax system with marginal tax brackets. This means different portions of your income are taxed at different rates - not your entire income at one rate. For example, if you're single and earn $75,000, you're in the 22% bracket, but you don't pay 22% on all $75,000. Instead: the first $11,600 is taxed at 10%, the next $35,550 ($11,600-$47,150) at 12%, and only the remaining amount at 22%. Your marginal rate is the highest bracket you reach, while your effective rate is your total tax divided by total income (typically much lower).
Standard vs Itemized Deductions
Deductions reduce your taxable income, lowering your tax bill. The standard deduction for 2024 is $14,600 (single), $29,200 (married filing jointly), or $21,900 (head of household) - these amounts are automatically available to everyone. Itemized deductions include mortgage interest, state/local taxes (capped at $10,000), charitable donations, and medical expenses exceeding 7.5% of income. About 90% of taxpayers use the standard deduction because it's simpler and often larger than their itemized deductions, especially after the 2017 tax reform increased standard deductions significantly.
Effective vs Marginal Tax Rate
Your marginal tax rate (the bracket you're in) is what you pay on your last dollar earned, while your effective tax rate is your average rate on all income. If you're single earning $75,000, you're in the 22% marginal bracket, but your effective rate is only about 13.5%. This distinction is crucial for decision-making: when considering a raise or bonus, think marginal rate (that extra income is taxed at 22%). When budgeting overall taxes, use effective rate. Understanding this prevents common misconceptions like "a raise will push me into a higher bracket and I'll make less money" - only the additional income is taxed at the higher rate.
Tax Planning Strategies
To minimize your tax burden: maximize retirement contributions to traditional 401(k)/IRA (reduces taxable income), contribute to HSA if eligible (triple tax advantage), bunch itemizable deductions into alternating years if near the standard deduction threshold, harvest investment losses to offset gains, and consider tax-loss harvesting. If you're near a bracket threshold, even small adjustments like increasing 401(k) contributions by 1-2% can drop you into a lower marginal bracket. Also remember: state income taxes (0-13% depending on state) and FICA taxes (7.65% up to income limits) add to your total tax burden beyond federal income tax.