Tax Bracket Calculator

What Do Tax Brackets and Tax Rate Mean?

Tax brackets are the divisions used to determine how the tax rates change in a progressive tax system. It refers to the various slabs at which tax rates apply, and they move from the lowest to the highest income group. 10% to 37%. However, this legislation extended them and made them permanent. In 2026 (taxes filed in 2027), the 10% and 12% income tax brackets will get an additional adjustment for inflation, allowing more income to be taxed at lower rates. 10%, 12%, 22%, 24%, 32%, 35%, and 37%. are the seven federal income tax rates.

The tax brackets divide your income portions into various windows based on your filing status, helping you evaluate which tax rates you are liable to pay. For instance, in 2025, a single filer having $50,000 as his taxable income will have to pay a combination of 10%, 12%, and 22%.

2025 Federal Tax Brackets

The brackets and rates apply to taxable income acquired in the year 2025. The deadline for filing the taxes for 2025 will be the 15th of April 2026, or the 15th of October 2026, with an extension.

Tax Rate	Single Filers	Married, Filing Jointly	Married, Filing Separately	Head of Household
10 %	$0 to $11,925	$0 to $23,850	$0 to $17,000	$0 to $11,925
12%	$11,925 to $48,475	$23,851 to $96,950	$17,001 to $64,850	$11,926 to $48,475
22%	$48,475 to $103,350	$96,951 to $206,700	$64,851 to $103,350	$48,476 to $103,350
24%	$103,250 to $197,300	$206,701 to $394,600	$103,351 to $197,300	$103,351 to $197,300
32%	$197,300 to $250,525	$394,601 to $501,050	$197,301 to $250,500	$197,301 to $250,525
35%	$250,525 to $626,350	$501,051 to $751,600	$250,501 to $626,350	$250,526 to $275,800
37%	$626,351 or more	$751,601 and above	$626,351 and above	$275,801 and above

Note: Taxable income = your gross income after you account for certain tax deductions and other adjustments. It includes contributions to a 401(k) or an IRA, as well as either the standard deduction or itemized deductions. 

2024 Federal Tax Brackets

The following brackets and rates are applicable to income acquired during the 2024 calendar year (reported on outstanding tax returns by 15th of April, 2025)

However, some individuals may get some additional time to file. For instance, taxpayers who filed for a tax extension to file their 2024 returns have untill the 15th of October, 2025. The residents belonging to those areas, which are impacted by federally declared disasters, may also get extra time.

Tax Rate	Single Filers	Married Filing Jointly	Married, Filing Separately	Head of Household
10%	$0 to $11,600	$0 to $23,300	$0 to $11,600	$0 to $16,550
12%	$11,601 to $47,150	$23,301 to $94,300	$11,601 to $47,150	$16,551 to $63,100
22%	$47,151 to $100,525	$94,301 to $201,050	$47,151 to $100,525	$63,101 to $100,500
24%	$100,526 to $191,950	$201,051 to $383,900	$100,526 to $191,950	$100,501 to $191,950
32%	$191,951 to $243,725	$383,901 to $487,450	$191,951 to $243,725	$191,951 to $243,700
35%	$243,726 to $609,350	$487,451 to $731,200	$243,726 to $365,600	$243,701 to $609,350
37%	$609,351 or more	$731,201 or more	$365,601 or more	$609,351 or more

How Do Tax Brackets and Rates Work?

Below is some information you need to consider and keep in mind to understand everything regarding the working of tax brackets and rates:

1. What is taxable income?

Your taxable income is your gross income after you consider some specific tax deductions and other adjustments. It includes contributions to a 401(k) or an IRA, along with either the itemized deductions or the standard deduction.

2. What are income tax brackets?

The U.S. has a progressive tax system, meaning people with higher incomes are liable for higher tax rates; similarly, lower-income individuals are taxed at lower rates.

The government determines your tax liability by dividing your taxable income into chunks, which is known as "tax brackets". Each bracket is taxed at a corresponding tax rate, ranging from 10% to 37%.

One key advantage of tax brackets is that, regardless of which bracket(s) you are in, you generally don't have to pay that specific tax rate on your entire income. The highest rate of tax will apply only to a certain portion of your income.

An Example of Federal Tax Brackets

In 2024, as a single filer, if you had a taxable income of $50,000, you paid 10% on that first $11,600 and 12% on the chunk of income between $11,601 and $47,150. It means you paid 22% on the rest as some of your taxable income falls into the 22% tax bracket.

The total bill was around $6,053, and about 12% of your taxable income, even when your highest bracket is 22%. That 12% will be your effective tax rate.

3. On the state level, how do the tax brackets and rates function?

The states might treat taxes differently compared to the federal government, having completely different brackets or a different system. For example, Colorado has a flat tax rate of 4.25% on taxable income, and some states, like Wyoming, do not have a state income tax.

4. Are income tax brackets adjusted for the purpose of inflation?

Federal income tax brackets are the income ranges where a specific tax rate applies, and may be adjusted to account for inflation. These changes are referred to as inflation adjustments, which are an integral part of the tax code.

Bracket adjustments can help prevent individuals from falling into a higher tax bracket as their living cost rises. They also have the option to reduce taxes for those whose compensation is declining and not keeping up with inflation.

What is a Marginal Tax Rate?

The marginal tax rate is the tax rate you pay on the last dollar of taxable income, generally linked to your highest tax bracket. For instance, if you are a single filer with a taxable income of $35,000 in 2025, a certain part of this income would be taxed at 10% and 12%.

If your taxable income rises by $1, you will be required to pay 12% on that additional dollar as well.

What is an Effective Tax Rate?

Your effective tax rate refers to the percentage of taxable income paid in taxes. To calculate your effective tax rate, divide the total tax you owe on Form 1040 by your total taxable income.

• ETR = Total Tax/Taxable Income

How Can I Reduce the Taxes I Owe?

You pay taxes as you earn, meaning you are withholding sufficient tax during the year through your W-4 or estimated tax payments to settle what you owe. If you overpay tax all year round, you will get a refund for the overpaid amount, while underpayment might result in a bill.

Nevertheless, the following are the two common ways to reduce your tax bill:

• Tax credits: They can help lower your tax bill on a dollar-for-dollar basis, without affecting the bracket you are in.
• Tax Deductions: These will reduce the amount you owe in taxes. Deductions help in reducing your taxable income by your highest federal tax rate, so if you fall into the 22% tax bracket, you could save $220 on a $1000 deduction.

To put it in another way, claim all the tax deductions you are eligible for. Deductions will reduce your taxable income and put you in a lower tax bracket, significantly lowering the tax rate you are liable to pay.

Tax Brackets and Rates for the Past Year

Let's take a look at the tax brackets and rates for the past years, 2023 and 2022:

2023 Federal Tax Bracket

Tax Rate	Single Filers	Married, filing jointly	Married, filing separately	Head of Household
10%	$0 to $11,000	$0 to $22,000	$0 to $11,000	$0 to $15,700
12%	$11,001 to $44,725	$22,001 to $89,450	$11,001 to $44,725	$15,701 to $59,850
22%	$44,726 to $95,375	$89,451 to $190,750	$44,726 to $95,375	$59,851 to $95,350
24%	$95,376 to $182,100	$190,751 to $364,200	$95,376 to $182,100	$95,351 to $182,100
32%	$182,101 to $231,250	$364,201 to $462,500	$182,101 to $231,250	$182,101 to $231,250
35%	$231,251 to $578,125	$462,501 to $693,750	$231,251 to $346,875	$231,251 to $578,100
37%	$578,126 or more	$693,751 or more	$346,876 or more	$578,101 or more

2022 Federal Tax Brackets

Tax Rate	Single Filers	Married, filing jointly	Married, filing separately	Head of Household
10%	$0 to $10,275	$0 to $20,550	$0 to $10,275	$0 to $14,650
12%	$10,276 to $41,775	$20,551 to $83,550	$10,276 to $41,775	$14,651 to $55,900
22%	$41,776 to $89,075	$83,551 to $178,150	$41,776 to $89,075	$55,901 to $89,050
24%	$89,076 to $170,050	$178,151 to $340,100	$89,076 to $170,050	$89,051 to $170,050
32%	$170,051 to $215,950	$340,101 to $431,900	$170,051 to $215,950	$170,051 to $215,950
35%	$215,951 to $539,900	$431,901 to $647,850	$215,951 to $323,925	$215,951 to $539,900
37%	$539,901 or more	$647,851 or more	$323,926 or more	$539,901 or more

The Bottom Line

Tax brackets depend on using your taxable income to check your federal income tax bill. Knowing your tax bracket and your effective tax rate is crucial to reducing your taxable income as well as taxes. Use the Savetaxs Federal Tax Bracket Calculator to easily determine which tax bracket you are in.

Simply answer some questions to estimate your tax bracket without wasting any time or leaving the comfort of your home. We guarantee 100% accuracy and satisfactory results. Determine your tax bracket now and file with confidence.