Does moving into a higher bracket cost me money?

No. Only the income inside the higher bracket is taxed at the higher rate. A raise of one dollar into the 24% bracket costs 24 cents on that dollar and changes nothing about the dollars below it.

Why is my effective rate so much lower than my bracket?

Because most of your income was taxed in lower brackets, and the standard deduction removed a slice entirely. The gap between the two rates is normal and is exactly what the bracket table shows.

Taxincome taxUnited States only

Federal Income Tax Calculator

Federal income tax for the year and filing status you select, with the bracket breakdown and both rates shown. The marginal rate is what your next dollar costs; the effective rate is what you actually paid.

Also called: us income tax calculator, federal tax estimator.

Federal income tax

$13,170.00

$13,170.00 on $100,000 of income, an effective rate of 13.17%. Your top bracket is 22%, which applies only to the income above $50,400.00.

Taxable income

$83,900.00

Deduction applied

$16,100.00

Effective rate

13.17%

Marginal rate

22%

Your top bracket starts at

$50,400.00

Income after federal tax

$86,830.00

Per month after federal tax

$7,235.83

How this is calculated

Computed from the published rates for the tax year you selected, which is not necessarily the current year. A calculation, not tax advice, and it does not know anything about your circumstances beyond the figures entered.

Bracket by bracket

Bracket	Rate	Income taxed here	Tax
0 to 12,400	10%	$12,400	$1,240
12,400 to 50,400	12%	$38,000	$4,560
50,400 to 105,700	22%	$33,500	$7,370
105,700 to 201,775	24%	$0	$0
201,775 to 256,225	32%	$0	$0
256,225 to 640,600	35%	$0	$0
Above 640,600	37%	$0	$0

Method and background

This is what the calculation gives for the numbers you entered. It is an estimate, not advice, and it knows nothing about your situation beyond those numbers. Rules for United States change on a published schedule; the effective date is shown on every rule-based tool.

How this is calculated

Gross income less the standard deduction, or your itemised total if it is larger, gives taxable income. Each bracket rate then applies only to the income inside that bracket. Being "in the 24% bracket" never means paying 24% of everything, and the bracket table on this page shows which dollars were taxed at which rate.

tax = sum over bands of rate * (income inside that band)

I: Taxable income (currency)
L_b: Lower edge of a band (currency)
U_b: Upper edge of a band (currency)
r_b: The rate for that band (decimal)

Worked examples

Each of these is asserted on every build. If a change to the engine ever moved one of these answers, the build would fail before the page could print it.

100,000 single in 2025

Gross annual income: $100,000.00
Filing status: Single
Tax year: Tax year 2025

Federal income tax$13,449.00

Standard deduction 15,750 as amended for 2025; brackets by hand: 1,192.50 + 4,386.00 + 7,870.50

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the same income in 2026

Gross annual income: $100,000.00
Filing status: Single
Tax year: Tax year 2026

Federal income tax$13,170.00

Rev. Proc. 2025-32: 16,100 standard deduction, then 1,240.00 + 4,560.00 + 7,370.00

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head of household breaks at its own thresholds in 2026

Gross annual income: $250,000.00
Filing status: Head of household
Tax year: Tax year 2026

Federal income tax$46,919.00

The head of household 32% band starts at 201,750, not at the 201,775 of the unmarried table

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joint brackets are wider, so the same income costs less

Gross annual income: $100,000.00
Filing status: Married filing jointly
Tax year: Tax year 2025

Federal income tax$7,743.00

Standard deduction 31,500 joint as amended for 2025; 68,500 taxable lands in the 12% bracket

Open this example

Written about this

A raise cannot leave you worse off · 1 min · Crossing into a higher tax bracket taxes the next dollar more, not every dollar. On a $1,000 raise at the 22% to 24% boundary you keep $762.

Method and limits

What it assumes

Ordinary income only. Long-term capital gains and qualified dividends have their own rate schedule.
Federal tax only. State and local income taxes, and FICA, are separate.
No credits are applied. Credits reduce tax directly and are calculated separately.

What it deliberately does not model

The alternative minimum tax, the net investment income tax and the additional Medicare tax are not included.
Phase-outs that depend on adjusted gross income are not modelled.

Sources

IRS Rev. Proc. 2024-40, inflation adjustments for tax year 2025 (primary government)

Formula version 1.0.0 · definition 1.0.0 · United States · Report a problem with this calculator

Frequently asked questions

Does moving into a higher bracket cost me money?: No. Only the income inside the higher bracket is taxed at the higher rate. A raise of one dollar into the 24% bracket costs 24 cents on that dollar and changes nothing about the dollars below it.
Why is my effective rate so much lower than my bracket?: Because most of your income was taxed in lower brackets, and the standard deduction removed a slice entirely. The gap between the two rates is normal and is exactly what the bracket table shows.