For informational purposes only. Not financial, investment, or tax advice. Results are estimates based on the inputs provided. Consult a qualified financial professional before making financial decisions.
Calculator tool
How this calculator works
Use the explanation to understand the formula, assumptions, and practical limits behind the calculator result.
How Progressive Tax Brackets Work
US federal income tax is progressive: each slice of taxable income is taxed only at the rate for its own bracket. Entering a higher bracket does not make all earlier dollars use the higher rate.
This calculator first estimates taxable income:
2026 Federal Brackets Used Here
The calculator implements 2026 US federal ordinary-income brackets for single and married filing jointly returns. For single filers:
| Taxable income | Rate |
|---|---|
| USD 0–12,400 | 10% |
| USD 12,401–50,400 | 12% |
| USD 50,401–105,700 | 22% |
| USD 105,701–201,775 | 24% |
| USD 201,776–256,225 | 32% |
| USD 256,226–640,600 | 35% |
| Over USD 640,600 | 37% |
The default standard deductions in the tool are USD 16,100 for single filers and USD 32,200 for married filing jointly. You can replace the deduction input if you are intentionally testing a different deduction amount.
Worked Example — Single Filer, USD 85,000 Gross Income
With the default 2026 single standard deduction:
| Bracket | Income in bracket | Tax |
|---|---|---|
| 10% | USD 12,400 | USD 1,240 |
| 12% | USD 38,000 | USD 4,560 |
| 22% | USD 18,500 | USD 4,070 |
| Total | USD 9,870 |
- Marginal rate: 22%
- Effective rate:
- After-tax income before other taxes:
Marginal Rate vs Effective Rate
The marginal rate is the rate on your next taxable dollar. The effective rate is total federal income tax divided by gross income:
That distinction matters. A raise can move some new income into a higher bracket, but it does not retroactively re-tax the earlier brackets.
What This Estimate Excludes
This calculator models federal ordinary income tax only. It does not include state or local tax, FICA payroll tax, tax credits, capital gains treatment, self-employment tax, additional deductions, withholding mechanics, or special tax situations. Use it to understand bracket math, not as a filed return.
Frequently asked questions
What is the difference between marginal and effective tax rate?
Your marginal rate is the rate applied to the last taxable dollar you earn. Your effective rate is total federal income tax divided by gross income. In the worked example, a single filer with USD 85,000 of gross income reaches the 22% bracket, but the effective federal rate is only 11.6% because earlier slices are taxed at 10% and 12%.
Does entering a higher bracket mean all my income is taxed more?
No. Only the portion above the new threshold uses the higher rate. If taxable income rises from USD 50,400 to USD 50,500, only the extra USD 100 enters the 22% bracket; the income below that point keeps its earlier 10% and 12% treatment.
Should I use the standard deduction or my own deduction amount?
Use the standard deduction input when you want the default calculator scenario. Replace it only if you are comparing a specific itemized-deduction scenario or another known deduction amount. For 2026, the default values used here are USD 16,100 for single filers and USD 32,200 for married filing jointly.
Why can my actual tax return differ from this result?
A real return can include tax credits, itemized deductions, capital gains, business income, dependents, additional taxes, withholding, prior payments, and state or local rules. This calculator isolates the progressive federal bracket calculation so you can see the core math clearly.
