There are seven federal tax brackets for the 2024 tax year: 10%, 12%, 22%, 24%, 32%, 35%, and 37%. Every year, the IRS modifies the tax brackets for inflation. Your specific bracket depends on your taxable income and filing status. These are the rates for taxes due in April 2025.
Retirement CalculatorMarginal tax rate
The marginal tax rate is the highest tax rate you have to pay for every additional dollar of income you earn. A 25% marginal tax rate means you will pay 25 cents for every extra dollar you report on your earnings.
Effective Tax Rate
The effective tax rate is your total tax amount divided by your total earned income.
Single Filers Tax Brackets for 2024
| 10% | $0 to $11,600 | 10% of taxable income |
| 12% | Over $11,600 but not over $47,150 | $1,160 plus 12% of the excess over $11,600 |
| 22% | Over $47,150 but not over $100,525 | $5,426 plus 22% of the excess over $47,150 |
| 24% | Over $100,525 but not over $191,950 | $17,168.50 plus 24% of the excess over $100,525 |
| 32% | Over $191,950 but not over $243,725 | $39,110.50 plus 32% of the excess over $191,150 |
| 35% | Over $243,725 but not over $609,350 | $55,678.50 plus 35% of the excess over $243,725 |
| 37% | Over $609,350 | $183,647.25 plus 37% of the excess over $609,350 |
Married Filing Jointly Tax Brackets for 2024
| 10% | $0 to $23,200 | 10% of taxable income |
| 12% | Over $23,200 but not over $94,300 | $2,320 plus 12% of the excess over $23,200 |
| 22% | Over $94,300 but not over $201,050 | $10,852 plus 22% of the excess over $94,300 |
| 24% | Over $201,050 but not over $383,900 | $34,337 plus 24% of the excess over $201,050 |
| 32% | Over $383,900 but not over $487,450 | $78,221 plus 32% of the excess over $383,900 |
| 35% | Over $487,450 but not over $731,200 | $111,357 plus 35% of the excess over $487,450 |
| 37% | Over $731,200 | $196,669.50 plus 37% of the excess over $731,200 |
Married Filing Separately Tax Brackets for 2024
| 10% | $0 to $11,600 | 10% of taxable income |
| 12% | Over $11,600 but not over $47,150 | $1,160 plus 12% of the excess over $11,600 |
| 22% | Over $47,150 but not over $100,525 | $5,426 plus 22% of the excess over $47,150 |
| 24% | Over $100,525 but not over $191,950 | $17,168.50 plus 24% of the excess over $100,525 |
| 32% | Over $191,950 but not over $243,725 | $39,110.50 plus 32% of the excess over $191,150 |
| 35% | Over $243,725 but not over $365,600 | $55,678.50 plus 35% of the excess over $243,725 |
| 37% | Over $365,600 | $98,334.75 plus 37% of the excess over $365,600 |
Head of Household Tax Brackets for 2024
| 10% | $0 to $16,550 | 10% of taxable income |
| 12% | Over $16,550 but not over $63,100 | $1,655 plus 12% of the excess over $16,550 |
| 22% | Over $63,100 but not over $100,500 | $7,241 plus 22% of the excess over $63,100 |
| 24% | Over $100,500 but not over $191,950 | $15,469 plus 24% of the excess over $100,500 |
| 32% | Over $191,950 but not over $243,700 | $37,417 plus 32% of the excess over $191,150 |
| 35% | Over $243,700 but not over $609,350 | $53,977 plus 35% of the excess over $243,700 |
| 37% | Over $609,350 | $181,954.50 plus 37% of the excess over $609,350 |
2024 Standard Deduction
The amount of the standard deduction reduces your taxable income. Usually, the IRS adjusts the standard deduction for inflation every year.
You can choose a standard or itemized deduction when you file your taxes. It only makes sense to itemize your deductions if their total value exceeds the standard deduction.
| 2024Â Standard Deduction | |
| Filing Status | Deduction Amount |
| Single | $14,600 |
| Married Filing Jointly | $29,200 |
| Head of Household | $21,900 |
Long-term capital gain taxes
You owe a capital gains tax on the profit from selling capital assets such as stocks, options, bonds, real estate, and cryptocurrencies. Long-term capital gains have a more favorable tax treatment than ordinary taxable income. To qualify for long-term status, you must realize a profit on an investment after holding it for one calendar year or 365 days. Short-term capital gains are taxable as ordinary income.
| Taxable Income Over | |||
| Tax Rate | Single | Married Filing Jointly | Head of Household |
| 0% | $0 | $0 | $0 |
| 15% | $47,025 | $94,050 | $63,000 |
| 20% | $518,900 | $583,750 | $551,350 |
Net Investment Income tax
A net investment income tax of 3.8% applies to all taxpayers with net investment income above specific threshold amounts. In general, net investment income includes
- Long Term Capital gains
- Short capital gains
- Dividends
- Taxable interest
- Rental and royalty income
- Passive income from investments you don’t actively participate in
- Business income from trading financial instruments or commodities
- The taxable portion of nonqualified annuity payments
You will pay 3.8% of the smaller value between
- Your total net investment income, or
- the excess of modified adjusted gross income over the following threshold amounts:
- $200,000 for single and head-of-household filers
- $250,000 for married filing jointly or qualifying widow(er)
- $125,000 for married filing separately
Alternative Minimum Tax Levels for 2024
The AMT exemption amount in 2024 is $85,700 for singles and $133,300 for married couples filing jointly.
In 2024, the 28% AMT rate applies to an excess AMT Income of $232,600 for all taxpayers ($116,300 for married couples filing separate returns).
AMT exemptions phase out at 25 cents per dollar earned once AMTI reaches $609,350 for single filers and $1,218,700 for married taxpayers filing jointly.
