Understanding the brackets
How federal tax brackets work in 2026
The United States taxes individual income using a progressive bracket system: seven rate tiers that apply only to the income within each tier, not to your entire paycheck. Knowing your bracket tells you the rate on your next dollar of income, which matters for decisions like taking on extra work, deferring a bonus, or contributing more to a 401(k).
2026 federal income tax brackets (IRS Rev. Proc. 2025-32)
| Rate | Single | Married filing jointly | Head of household |
|---|---|---|---|
| 10% | $0 – $12,400 | $0 – $24,800 | $0 – $17,700 |
| 12% | $12,401 – $50,400 | $24,801 – $100,800 | $17,701 – $67,450 |
| 22% | $50,401 – $105,700 | $100,801 – $211,400 | $67,451 – $105,700 |
| 24% | $105,701 – $201,775 | $211,401 – $403,550 | $105,701 – $201,775 |
| 32% | $201,776 – $256,225 | $403,551 – $512,450 | $201,776 – $256,200 |
| 35% | $256,226 – $640,600 | $512,451 – $768,700 | $256,201 – $640,600 |
| 37% | Over $640,600 | Over $768,700 | Over $640,600 |
Brackets apply to taxable income (after the standard deduction). Source: IRS Rev. Proc. 2025-32. Rates made permanent by the One Big Beautiful Bill Act (2025).
How the standard deduction lowers your bracket
Before the brackets apply, you subtract the standard deduction: $16,100 for single filers, $32,200 for married filing jointly, or $24,150 for head of household in 2026. This means a single person earning $66,500 has a taxable income of $50,400 — right at the top of the 12% bracket, not in the 22% bracket as their gross income might suggest. The standard deduction effectively creates a 0% bracket on your first dollars of income.
Use your bracket to plan deductions and deferrals
Knowing your bracket helps you decide whether to contribute more to a pre-tax 401(k) (which saves tax at your marginal rate), convert a Roth IRA in a low-income year, or time a bonus. A $5,000 additional 401(k) contribution saves $1,100 if you are in the 22% bracket but only $600 if you are in the 12% bracket. Run the numbers with our paycheck calculator to see the bottom-line effect.
Questions
Federal tax bracket calculator FAQ
What are the 2026 federal tax brackets?
For 2026, the seven federal tax rates are 10%, 12%, 22%, 24%, 32%, 35%, and 37%. For single filers, the 10% bracket covers taxable income up to $12,400, the 12% bracket runs from $12,401 to $50,400, the 22% bracket from $50,401 to $105,700, and so on up to the 37% bracket above $640,600. Married filing jointly thresholds are roughly double. These rates were made permanent by the One Big Beautiful Bill Act and adjusted for inflation per IRS Rev. Proc. 2025-32.
What is the difference between marginal and effective tax rate?
Your marginal tax rate is the rate on your last dollar of taxable income — the bracket you fall into. Your effective tax rate is the total federal tax divided by your total income, which is always lower than your marginal rate because only the income within each bracket is taxed at that bracket's rate.
Does my entire income get taxed at my bracket rate?
No. The U.S. uses a progressive system. Only the portion of your taxable income within each bracket is taxed at that bracket's rate. For example, a single filer earning $60,000 in taxable income pays 10% on the first $12,400, 12% on the next $38,000, and 22% only on the remaining $9,600.
How does the standard deduction affect my bracket?
The standard deduction ($16,100 single, $32,200 married filing jointly, $24,150 head of household in 2026) is subtracted from your gross income before the brackets apply. So your taxable income — and therefore your bracket — is based on income after this deduction.
Did the 2026 tax brackets change from 2025?
The seven rates (10% through 37%) stay the same. The income thresholds rose roughly 2.7% for inflation under IRS Rev. Proc. 2025-32. The One Big Beautiful Bill Act made the TCJA rate schedule permanent, so these rates no longer have a sunset date.
- Sources: IRS Rev. Proc. 2025-32 (2026 bracket thresholds + standard deductions) · One Big Beautiful Bill Act (permanent TCJA rates) · Tax Foundation 2026 bracket tables.
- 🔄 Last updated July 25, 2026 · Tax year 2026
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