Tax Calculator

Tax Calculator

Estimate your federal income tax based on your gross annual income, filing status, and deductions. This calculator applies the 2024 U.S. federal tax brackets to show your total tax owed, effective tax rate, marginal rate, and after-tax income so you can plan your finances with confidence.

How Federal Income Tax Is Calculated

Taxable income = gross income minus deductions (standard or itemized). The standard deduction is $14,600 for single filers and $29,200 for married filing jointly. Tax is then computed using progressive brackets: 10% on the first $11,600, 12% on income up to $47,150, 22% up to $100,525, 24% up to $191,950, 32% up to $243,725, 35% up to $609,350, and 37% above that (single rates).

Example

Key Factors That Affect Your Tax

• Filing status — married joint filers benefit from wider brackets, potentially saving thousands compared to filing single
• Standard vs. itemized — if your mortgage interest, state taxes, and charitable donations exceed the standard deduction, itemizing saves more
• Marginal vs. effective rate — your marginal rate applies only to the last dollar earned, while your effective rate is the average across all income
• Deduction size — every additional dollar of deductions saves you money at your marginal tax rate
• Income level — the progressive system means only income above each threshold is taxed at the higher rate

Tips

1. If your itemized deductions are close to the standard deduction, bunch charitable donations into one year to exceed the threshold
2. Your marginal rate tells you the tax savings per dollar of deduction — a 22% bracket means $1,000 in deductions saves $220
3. Compare single vs. married filing to check for the so-called “marriage penalty” or “marriage bonus” at your income level
4. Revisit this calculator after major life changes like a raise, marriage, or home purchase to update your tax planning