Income Tax Calculator
Estimate US federal income tax owed using simplified 2024 tax brackets.
US federal income tax uses a progressive bracket system — you don't pay one flat rate on your whole income, you pay increasing rates only on each portion that falls into a higher bracket. This calculator applies the actual 2024 brackets to estimate your tax.
How progressive brackets actually work
A common misconception is that moving into a higher tax bracket means your entire income gets taxed at that higher rate. In reality, only the income within that bracket's range is taxed at the higher rate — the portions in lower brackets are still taxed at their lower rates. This is why your effective tax rate (total tax ÷ total income) is always lower than your top marginal bracket.
What this estimate leaves out
This tool applies standard federal brackets only — it doesn't account for the standard deduction, itemized deductions, tax credits, pre-tax retirement contributions, or state income tax, all of which affect your actual tax bill. It's useful for understanding bracket mechanics, not for filing.
Frequently asked questions
Why is my effective tax rate lower than my tax bracket?
Because only your top slice of income is taxed at your marginal bracket rate — everything below it is taxed at the lower rates for those brackets. Your effective rate blends all of them together, which is always a lower number than your top bracket.
Does this include state income tax?
No — this covers federal tax only. State income tax rates and rules vary enormously (some states, like Texas and Florida, charge none at all), so check your specific state's tax authority for state-level estimates.