Single
Married Filing Jointly
Married Filing Separately
Head of Household
Your Estimated Federal Income Tax:
$0.00
Understanding Federal Tax Brackets
The United States employs a progressive tax system, meaning that individuals with higher incomes pay a larger percentage of their income in taxes. This system is structured into tax brackets. Each bracket represents a range of income that is taxed at a specific rate. As your income increases, only the portion of your income that falls into a higher bracket is taxed at that higher rate; your entire income is not taxed at your highest marginal rate.
How Federal Tax Brackets Work
Your total tax liability is calculated by applying the tax rate of each bracket to the portion of your taxable income that falls within that bracket's range. The sum of the taxes from each bracket equals your total federal income tax.
Key Concepts:
Taxable Income: This is your Adjusted Gross Income (AGI) minus deductions. It's the amount of income on which your tax is calculated.
Filing Status: Your tax bracket thresholds and rates depend on your filing status (Single, Married Filing Jointly, Married Filing Separately, Head of Household).
Marginal Tax Rate: This is the tax rate applied to your last dollar earned. It's the rate of the highest tax bracket your income falls into.
Effective Tax Rate: This is the actual percentage of your total taxable income that you pay in taxes. It's calculated as (Total Tax Paid / Total Taxable Income) * 100.
Example Calculation (Illustrative – Rates change annually):
Let's assume the following simplified tax brackets for a Single Filer in a given year (these are for demonstration only and not current IRS rates):
10% on income up to $10,000
12% on income between $10,001 and $40,000
22% on income between $40,001 and $85,000
24% on income over $85,000
If a single individual has a Taxable Income of $60,000:
The first $10,000 is taxed at 10%: $10,000 * 0.10 = $1,000
The next $30,000 ($40,000 – $10,000) is taxed at 12%: $30,000 * 0.12 = $3,600
The remaining income ($60,000 – $40,000 = $20,000) falls into the 22% bracket: $20,000 * 0.22 = $4,400
Total Tax: $1,000 + $3,600 + $4,400 = $9,000
Marginal Tax Rate: 22% (since the last dollar earned fell into this bracket)
This calculator uses the most recent publicly available tax bracket information for federal income tax. Tax laws and rates can change annually. Consult with a qualified tax professional for personalized advice.
function calculateTaxes() {
var taxableIncome = parseFloat(document.getElementById("taxableIncome").value);
var filingStatus = document.getElementById("filingStatus").value;
var totalTax = 0;
var marginalRate = 0;
if (isNaN(taxableIncome) || taxableIncome < 0) {
document.getElementById("result-value").textContent = "Invalid Input";
document.getElementById("marginalRate").textContent = "";
return;
}
var brackets = {};
// Define tax brackets based on filing status (using 2023 tax year for illustration)
// These are simplified and may not include all nuances or future year rates.
if (filingStatus === "single") {
brackets = {
"10%": { limit: 11000, rate: 0.10 },
"12%": { limit: 44725, rate: 0.12 },
"22%": { limit: 95375, rate: 0.22 },
"24%": { limit: 182100, rate: 0.24 },
"32%": { limit: 231250, rate: 0.32 },
"35%": { limit: 578125, rate: 0.35 },
"37%": { limit: Infinity, rate: 0.37 }
};
} else if (filingStatus === "married_jointly") {
brackets = {
"10%": { limit: 22000, rate: 0.10 },
"12%": { limit: 89450, rate: 0.12 },
"22%": { limit: 190750, rate: 0.22 },
"24%": { limit: 364200, rate: 0.24 },
"32%": { limit: 462500, rate: 0.32 },
"35%": { limit: 693750, rate: 0.35 },
"37%": { limit: Infinity, rate: 0.37 }
};
} else if (filingStatus === "married_separately") {
brackets = {
"10%": { limit: 11000, rate: 0.10 },
"12%": { limit: 44725, rate: 0.12 },
"22%": { limit: 95375, rate: 0.22 },
"24%": { limit: 182100, rate: 0.24 },
"32%": { limit: 231250, rate: 0.32 },
"35%": { limit: 346875, rate: 0.35 },
"37%": { limit: Infinity, rate: 0.37 }
};
} else if (filingStatus === "head_of_household") {
brackets = {
"10%": { limit: 15700, rate: 0.10 },
"12%": { limit: 59850, rate: 0.12 },
"22%": { limit: 95350, rate: 0.22 },
"24%": { limit: 182100, rate: 0.24 },
"32%": { limit: 231250, rate: 0.32 },
"35%": { limit: 578125, rate: 0.35 },
"37%": { limit: Infinity, rate: 0.37 }
};
}
var incomeRemaining = taxableIncome;
var previousLimit = 0;
var bracketKeys = Object.keys(brackets).sort(function(a, b) {
return brackets[a].rate – brackets[b].rate; // Sort by rate ascending
});
for (var i = 0; i < bracketKeys.length; i++) {
var bracketName = bracketKeys[i];
var bracketInfo = brackets[bracketName];
var rate = bracketInfo.rate;
var limit = bracketInfo.limit;
var taxableInThisBracket = 0;
if (incomeRemaining = bracketSize) {
taxableInThisBracket = bracketSize;
incomeRemaining -= bracketSize;
} else {
taxableInThisBracket = incomeRemaining;
incomeRemaining = 0;
}
marginalRate = rate; // Update marginal rate as we progress
}
totalTax += taxableInThisBracket * rate;
previousLimit = limit;
}
var formattedTax = totalTax.toLocaleString(undefined, {
style: 'currency',
currency: 'USD'
});
document.getElementById("result-value").textContent = formattedTax;
document.getElementById("marginalRate").textContent = "Your marginal tax rate is " + (marginalRate * 100).toFixed(2) + "%.";
}