Income Tax Calculator

About the Income Tax Calculator

This calculator provides an estimate of your U.S. federal income tax liability based on the 2024 tax brackets. Understanding how your income is taxed can help you with financial planning, budgeting, and making informed decisions about your money.

How It Works

The U.S. uses a progressive tax system, which means that people with higher taxable incomes are subject to higher federal income tax rates. However, you don't pay the same rate on every dollar you earn. Instead, your income is divided into "brackets," and you pay a different rate on the amount of income in each bracket.

• Taxable Income: This is your gross income minus any eligible deductions (like the standard deduction or itemized deductions). This calculator works with your final taxable income number.
• Filing Status: Your filing status (e.g., Single, Married Filing Jointly) determines which set of tax brackets applies to you.

The calculator will show you:

• Estimated Total Tax: The total amount of federal income tax you may owe.
• Effective Tax Rate: Your total tax divided by your taxable income. This is your average tax rate.
• Marginal Tax Rate: The rate you pay on your last dollar of income. It's the highest tax bracket your income falls into.

The breakdown table illustrates exactly how the progressive system works, showing how much of your income is taxed at each rate.

This is an estimate for informational purposes only. It does not account for tax credits, state and local taxes, or other specific circumstances. Consult a qualified tax professional for personal advice.