Income Tax Calculator

Estimate your federal and state income taxes and see your take-home pay.

Income Tax Calculator
Enter your income and tax details to estimate your federal and state taxes and calculate your take-home pay.
Standard: $13,850

401(k) contributions, HSA, IRA, student loan interest, etc.

Child tax credit, education credits, energy credits, etc.

5%
Federal Tax
$0
Total Tax
$0
Take-Home Pay
$0

Income Allocation

How to Use This Calculator

Annual Income

Enter your total annual income before taxes.

Filing Status

Select your tax filing status (single, married, head of household).

Deductions

Choose between standard or itemized deductions.

Adjustments & Credits

Enter any income adjustments and tax credits you qualify for.

Understanding Income Taxes

The U.S. Progressive Tax System

The United States uses a progressive tax system, which means that different portions of your income are taxed at different rates. As your income increases, the tax rate on the additional income (your marginal tax rate) also increases.

Tax Brackets and Rates

Tax brackets are income ranges that are taxed at specific rates. The U.S. federal income tax system currently has seven tax brackets with rates ranging from 10% to 37%. Your filing status (single, married filing jointly, head of household) determines which tax brackets apply to you.

Marginal vs. Effective Tax Rates

Your marginal tax rate is the rate you pay on your last dollar of income, while your effective tax rate is the average rate you pay on your total income. Because of the progressive tax system, your effective tax rate is always lower than your marginal tax rate.

Deductions and Credits

Deductions reduce your taxable income, while credits reduce your tax liability directly. There are two types of deductions: the standard deduction (a fixed amount based on filing status) and itemized deductions (specific expenses like mortgage interest, charitable donations, etc.).

FICA Taxes

In addition to income tax, you also pay FICA (Federal Insurance Contributions Act) taxes, which fund Social Security and Medicare. The Social Security tax rate is 6.2% on earnings up to a certain wage base limit ($160,200 in 2023), and the Medicare tax rate is 1.45% on all earnings (plus an additional 0.9% on earnings over $200,000).

State Income Taxes

Most states also impose their own income taxes, with rates varying widely. Some states have a flat tax rate, while others use a progressive system similar to the federal government. Seven states (Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming) have no state income tax.