Federal Income Tax Calculator

Estimate your 2026 IRS federal income tax, marginal and effective rates, payroll (FICA) taxes, and estimated take-home pay — using the official brackets from Revenue Procedure 2025-32.

Updated Jul 18, 2026 Reviewed by the BSF CPA Editorial Team Source: IRS Rev. Proc. 2025-32 12 min read
Quick Answer

A single filer earning $80,000 in 2026 owes about $8,770 in federal income tax — an effective rate of 11.0% — after the $16,100 standard deduction leaves $63,900 of taxable income. Their top marginal bracket is 22%, but only the income above $50,400 is taxed at that rate. Add roughly $6,120 in FICA (Social Security + Medicare) for total federal withholding near $14,890.

2026 Federal Income Tax Calculator

Your details

Educational estimate using 2026 IRS figures. Covers federal income tax on ordinary income plus FICA. Excludes state/local tax, credits (CTC, EITC), capital-gains rates, AMT, and self-employment tax. Not tax advice.

Your 2026 estimate

Single
Federal income tax owed
$8,770
Effective rate
11.0%
Marginal bracket
22%
Taxable income
$63,900
Deduction used
$16,100
FICA (SS + Medicare)
$6,120
Est. take-home
$65,110
BracketTaxed in bandTax

Take-home = gross − federal income tax − FICA − pre-tax contributions. Your actual paycheck also reflects state tax and benefit elections.

What your result means

At $80,000 of income filing single, your $8,770 tax bill works out to an effective rate of 11.0%. You sit in the 22% bracket, but because the system is progressive, your average rate is roughly half your top rate — a gap worth understanding before you make any pre-tax savings decision.

What this calculator does

A federal income tax calculator estimates what you owe the IRS on your ordinary income for a given tax year. This one uses the finalized 2026 brackets and standard deductions from IRS Revenue Procedure 2025-32 — the numbers you’ll use for income earned in 2026 and filed in early 2027. It takes your gross income, filing status, pre-tax contributions, and any itemized deductions, then works your income through each progressive bracket to return four numbers that matter: your total federal income tax, your marginal rate (the rate on your next dollar), your effective rate (your true average burden), and your payroll FICA taxes for Social Security and Medicare.

Who should use it

It’s built for the way Americans actually plan money: an employee weighing a bigger 401(k) contribution, a freelancer setting aside quarterly estimates, a founder deciding on salary versus distributions, or a household modeling the tax effect of a raise or a second income. If you can see both your marginal and effective rate, almost every tax decision gets easier.

When to use it

Use it before you act, not after. The highest-value moments are open-enrollment season (choosing pre-tax benefits), a job change or raise, a bonus or RSU vesting event, and year-end when a last traditional-401(k) or HSA contribution can still move your taxable income into a lower band.

Scope & limits

This tool models federal income tax on ordinary income plus FICA. It intentionally excludes state and local income tax, tax credits (Child Tax Credit, EITC), long-term capital-gains rates, the Alternative Minimum Tax, the Net Investment Income Tax, and self-employment tax. Those need their own dedicated tools, linked at the bottom of this page.

How US federal income tax works

The United States uses a progressive, marginal system: your income is sliced into bands, and each band is taxed at its own rate. This is the single most misunderstood idea in personal tax. Moving into the 24% bracket does not mean all of your income is suddenly taxed at 24% — only the dollars that fall inside that band are. Every dollar below it keeps being taxed at 10%, 12%, and 22% exactly as before.

Before any rate applies, you subtract your deductions. Almost everyone takes the standard deduction — a flat amount set by filing status — rather than itemizing. Pre-tax contributions to a traditional 401(k), HSA, or deductible IRA come out on top of that, lowering the taxable income the brackets ever see.

The formula

Taxable income = Gross income − Pre-tax contributions − max(Standard deduction, Itemized deductions) Then tax is summed band by band: Federal tax = Σ ( min(income, band top) − band bottom ) × band rate And the two rates people confuse: Marginal rate = the rate on your last dollar  |  Effective rate = Total tax ÷ Gross income

FICA is calculated separately and on a different base. Social Security tax is 6.2% of wages up to the 2026 wage base of $184,500 (a maximum of $11,439). Medicare is 1.45% on all wages with no cap, plus an Additional Medicare Tax of 0.9% on wages above $200,000. Crucially, a traditional 401(k) contribution lowers your income tax but not your Social Security and Medicare wages — those are still assessed on your gross pay.

2026 federal tax brackets & standard deduction

Official figures from IRS Revenue Procedure 2025-32. On average, thresholds rose about 2.7% from 2025; the One Big Beautiful Bill Act (OBBBA) made the seven-rate structure permanent and gave the bottom two bands a slightly larger inflation bump.

RateSingleMarried Filing JointlyHead 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%$640,601+$768,701+$640,601+
Filing status2026 standard deduction
Single$16,100
Married Filing Jointly$32,200
Head of Household$24,150
Married Filing Separately$16,100

Taxpayers 65+ get an additional standard deduction ($2,050 single / $1,650 per qualifying spouse for joint filers), plus a new temporary $6,000 OBBBA senior deduction that phases out above $75,000 (single) / $150,000 (joint) of modified AGI.

Worked examples

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Example 1 — Single tech contractor in Austin, TX ($80,000)

Standard deduction, no pre-tax contributions.

Taxable income = $80,000 − $16,100 = $63,900. Working the bands: 10% × $12,400 = $1,240; 12% × $38,000 = $4,560; 22% × $13,500 = $2,970. Total federal income tax = $8,770, an effective rate of 11.0% even though the marginal bracket is 22%. Add FICA of $6,120 (6.2% + 1.45% of $80,000). Texas has no state income tax, so estimated take-home is about $65,110.

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Example 2 — Married couple, one earner, Ohio ($150,000)

Filing jointly, $12,000 into a traditional 401(k).

Pre-tax savings drop taxable income to $150,000 − $12,000 − $32,200 = $105,800. Bands: 10% × $24,800 = $2,480; 12% × $76,000 = $9,120; 22% × $5,000 = $1,100. Federal income tax = $12,700 (8.5% effective). That $12,000 contribution saved roughly $2,640 in federal tax versus not contributing — a 22% instant return before the money ever grows. FICA is assessed on the full $150,000 wage, not the reduced figure.

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Example 3 — Head of household, Florida ($60,000)

Standard deduction.

Taxable income = $60,000 − $24,150 = $35,850. Bands: 10% × $17,700 = $1,770; 12% × $18,150 = $2,178. Federal income tax = $3,948 — an effective rate of just 6.6%, with a 12% marginal bracket. This is why head-of-household status is valuable: a wider set of low-rate bands than a single filer at the same income.

How to interpret your results

Marginal vs. effective rate

Your marginal rate answers “what does my next dollar — or my next deduction — cost or save?” It’s the number that matters for decisions: whether to make another pre-tax contribution, take a side gig, or defer a bonus. Your effective rate answers “what share of everything I earned went to federal tax?” It’s the honest headline number and is always lower than your marginal rate in a progressive system.

What’s a “good” effective rate?

There’s no good or bad — it’s a function of income and deductions. But as a sanity check: most single filers between $50k–$100k land at a federal effective rate of roughly 8–15%; a dual-income household at $200k is often near 13–18% before credits. If your effective rate looks wildly off those ranges, re-check your filing status and whether pre-tax amounts were entered.

The one move with the highest leverage

Every pre-tax dollar you contribute is deducted at your marginal rate. In the 22% bracket, a $1,000 traditional 401(k) contribution cuts your federal tax by $220 immediately — before any market return. That’s why maxing tax-advantaged space usually beats chasing a slightly higher investment return.

Business & professional uses

For finance professionals and business owners, this calculation is a building block, not just a personal chore:

Founders & S-Corp owners

The classic S-Corporation question — how much to pay yourself as W-2 salary versus take as distributions — turns on marginal rates and the payroll-tax line. A “reasonable salary” is taxed for FICA; distributions aren’t, but too-low a salary invites IRS scrutiny. Model the income-tax half here, then layer in the self-employment/payroll comparison.

Freelancers & contractors

1099 earners should use their marginal rate to size quarterly estimated payments and to decide how aggressively to fund a SEP-IRA or Solo 401(k), where 2026 limits are far higher than employee-only plans.

FP&A, HR & payroll teams

The same bracket engine underlies paycheck modeling, total-comp benchmarking, and the “what does a raise actually feel like?” conversations that HR fields constantly. Understanding that a raise is taxed only at the marginal rate defuses the persistent myth that “a raise pushed me into a higher bracket and cost me money.”

2026 effective-rate benchmarks

Approximate federal income tax and effective rate by income, filing single with the standard deduction and no pre-tax contributions. Use these to sanity-check your own result.

Gross income (single)Taxable incomeFederal income taxEffective rateMarginal
$40,000$23,900$2,6206.6%12%
$60,000$43,900$5,0208.4%12%
$80,000$63,900$8,77011.0%22%
$100,000$83,900$13,17013.2%22%
$150,000$133,900$24,73416.5%24%
$250,000$233,900$51,30420.5%32%

Figures rounded; computed with 2026 brackets. Add FICA and any state tax for total burden.

Common mistakes

  • Thinking a raise into a new bracket lowers take-home. Only the dollars inside the new band are taxed at the higher rate. A raise always leaves you with more after-tax income.
  • Confusing marginal and effective rate. People quote their bracket (say 24%) as if that’s what they pay on everything. Their effective rate is usually far lower.
  • Forgetting FICA. Income-tax-only estimates understate total withholding by 7.65% of wages for most workers. Always add it when budgeting.
  • Assuming 401(k) cuts FICA. Traditional 401(k) reduces income tax, not Social Security/Medicare tax. HSA contributions through payroll do avoid FICA — a subtle edge.
  • Itemizing when the standard deduction is larger. Since 2018, ~90% of filers do better with the standard deduction. Only itemize when mortgage interest + SALT (capped) + charity clearly exceed it.
  • Using last year’s numbers. Brackets and the standard deduction move every year. This tool is set to 2026.

Best practices

A CPA’s checklist

Know your marginal rate before every money decision · Fill tax-advantaged space first (2026: 401(k) $24,500, IRA $7,500, HSA $4,400 self / $8,750 family) · Revisit withholding after any life change so you neither owe a penalty nor lend the IRS an interest-free refund · Keep a running estimate mid-year rather than a surprise in April · Compare standard vs. itemized every year — the SALT cap rose to $40,000 under OBBBA and may flip the math for some homeowners.

Frequently asked questions

What are the 2026 federal income tax brackets?
There are seven: 10%, 12%, 22%, 24%, 32%, 35%, and 37%. For single filers the 12% band starts at $12,401, 22% at $50,401, and the top 37% rate applies above $640,600. Married-filing-jointly thresholds are generally double the single amounts except at the very top (37% begins at $768,701). Source: IRS Rev. Proc. 2025-32.
What is the 2026 standard deduction?
$16,100 for single and married-filing-separately, $32,200 for married filing jointly, and $24,150 for head of household. Taxpayers 65+ get an extra amount plus a new temporary $6,000 senior deduction that phases out at higher incomes.
What’s the difference between marginal and effective tax rate?
Your marginal rate is the rate on your last dollar of income — your top bracket. Your effective rate is total tax divided by total income. Because the system is progressive, your effective rate is always lower. A single filer at $80,000 tops out in the 22% bracket but pays an effective federal rate near 11%.
Does this calculator include Social Security and Medicare (FICA)?
Yes. It adds Social Security at 6.2% up to the 2026 wage base of $184,500, Medicare at 1.45% on all wages, and the 0.9% Additional Medicare Tax on wages above $200,000. FICA is shown separately from income tax because it’s assessed on gross wages, not taxable income.
How do 401(k) contributions reduce my tax?
Traditional 401(k) contributions are pre-tax, lowering your taxable income dollar for dollar. In 2026 you can contribute up to $24,500 ($32,500 if 50+ with catch-up). A $24,500 contribution for someone in the 22% bracket saves about $5,390 in federal income tax — though it does not reduce Social Security or Medicare tax.
Which is better, standard or itemized deduction?
Take whichever is larger. Most filers do better with the standard deduction. You’d itemize only if deductible expenses — mortgage interest, state and local taxes (SALT, now capped at $40,000 through 2029 under OBBBA), and charitable gifts — add up to more than your standard deduction.
Does a raise ever reduce my take-home pay?
No. Because only the income inside a higher bracket is taxed at that higher rate, a raise always increases your after-tax income. The “bracket penalty” is a myth. (Losing an income-tested benefit is a separate issue and not caused by the brackets themselves.)
Are these 2025 or 2026 brackets?
These are the 2026 brackets and standard deductions from IRS Revenue Procedure 2025-32 — the figures for income earned in 2026 and filed in early 2027, including the One Big Beautiful Bill Act changes.
What does the calculator leave out?
State and local income tax, tax credits (Child Tax Credit, EITC), long-term capital-gains rates, the Alternative Minimum Tax, the Net Investment Income Tax, and self-employment tax. Use our dedicated tools for those.
How is take-home pay estimated?
Take-home = gross income − federal income tax − FICA − pre-tax contributions. It’s a federal-only approximation; your real paycheck also reflects state tax, insurance premiums, and other elections.
Do I pay federal income tax on 401(k) or HSA money later?
Traditional 401(k) withdrawals are taxed as ordinary income in retirement. HSA funds used for qualified medical expenses are never taxed — contributions, growth, and withdrawals are all tax-free, which makes the HSA uniquely powerful.
How does head-of-household status change my tax?
Head of household offers a larger standard deduction ($24,150 vs. $16,100 single) and wider low-rate brackets, so a single parent typically pays noticeably less than a single filer at the same income.
What if I’m self-employed?
You’ll owe self-employment tax (15.3% covering both halves of Social Security and Medicare) on net earnings in addition to income tax, but you can deduct half of it and often contribute far more to a retirement plan. This tool covers the income-tax portion; treat the SE tax separately.
Is this a substitute for tax advice?
No. It’s an educational estimate. For filing decisions, an equity event, a business structure choice, or anything with real dollars at stake, consult a licensed CPA or tax advisor.

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