How this federal income tax calculator works
This calculator applies the exact method the IRS uses on Form 1040. It starts with your gross income, subtracts pre-tax contributions to get your adjusted gross income (AGI), subtracts the larger of the standard deduction or your itemized deductions to find taxable income, then runs that figure through the seven federal tax brackets for your filing status. Finally, it subtracts the child tax credit ($2,200 per qualifying child under 17, phasing out above $200,000 of AGI for single filers and $400,000 for joint filers).
All figures come from official IRS sources: Revenue Procedure 2024-40 for tax year 2025 and Revenue Procedure 2025-32 for tax year 2026, both reflecting the permanent changes made by the One Big Beautiful Bill Act (OBBBA) of July 2025.
2026 federal income tax brackets
| Rate | Single | Married filing jointly | Head of household |
|---|---|---|---|
| 10% | $0 – $12,400 | $0 – $24,800 | $0 – $17,700 |
| 12% | $12,400 – $50,400 | $24,800 – $100,800 | $17,700 – $67,450 |
| 22% | $50,400 – $105,700 | $100,800 – $211,400 | $67,450 – $105,700 |
| 24% | $105,700 – $201,775 | $211,400 – $403,550 | $105,700 – $201,775 |
| 32% | $201,775 – $256,225 | $403,550 – $512,450 | $201,775 – $256,200 |
| 35% | $256,225 – $640,600 | $512,450 – $768,700 | $256,200 – $640,600 |
| 37% | Over $640,600 | Over $768,700 | Over $640,600 |
The 2026 standard deduction is $16,100 for single filers, $32,200 for married couples filing jointly, and $24,150 for heads of household. For tax year 2025 (the return you file in early 2026) the amounts are $15,750, $31,500, and $23,625.
Marginal vs. effective tax rate — the difference that matters
Your marginal rate is the rate on your last dollar of income; your effective rate is your total tax divided by total income. Because the U.S. system is progressive, only income inside each bracket is taxed at that bracket's rate. A single filer earning $85,000 in 2026 is "in the 22% bracket," but their first $12,400 is taxed at 10%, the next chunk at 12%, and only income above $50,400 at 22% — producing an effective rate far below 22%. Earning one more dollar never reduces your take-home pay. Read our full guide on how tax brackets work for worked examples.
Worked example: single filer, $85,000 salary (2026)
- Gross income: $85,000 → minus standard deduction $16,100 → taxable income $68,900
- 10% × $12,400 = $1,240
- 12% × ($50,400 − $12,400) = $4,560
- 22% × ($68,900 − $50,400) = $4,070
- Total federal tax ≈ $9,870 — an effective rate of about 11.6%, even though the marginal bracket is 22%.
What this estimate includes — and what it doesn't
Included: federal income tax brackets, standard or itemized deduction, and the child tax credit. Not included: FICA payroll taxes (use the paycheck calculator), state income tax, self-employment tax (use the SE tax calculator), capital gains rates (use the capital gains calculator), AMT, and credits such as the EITC or education credits. For most W-2 households the result is within a few dollars of the official IRS computation.