2025 and 2026 Tax Brackets:

What they are and how they work

Understanding how your income falls into different tax brackets can help with tax planning.

Key takeaways

The IRS uses 7 brackets to calculate your tax bill based on your income and filing status.

As your income rises it can push you into a higher tax bracket and may increase how much you owe.

You don’t pay the same tax rate on every dollar of income. Your income is broken down by thresholds. As you surpass each threshold, your income gradually moves to a higher bracket with a higher tax rate.

Your marginal tax rate is the rate you pay on your highest dollar of income. Your effective tax rate is the total percentage of income you pay in taxes.

You can potentially lower your tax bill by contributing more to retirement plans, claiming more deductions, delaying income until the following year, and tax-loss harvesting.

Figuring out how much you owe for taxes can be complex and sometimes takes some work. That’s because the federal government and the Internal Revenue Service (IRS) don’t assess the same amount of tax for every dollar you earn. Instead, the IRS assigns your income to brackets with tax rates that increase as you earn more money.

Following are the federal tax tables and how to make sense of them to potentially reduce your upcoming tax bill.

2025 tax brackets

Tax rate Single filers Married couples filing jointly Married couples filing separately Head of household
10% $11,925 or less $23,850 or less $11,925 or less $17,000 or less
12% $11,926 to $48,475 $23,851 to $96,950 $11,926 to $48,475 $17,001 to $64,850
22% $48,476 to $103,350 $96,951 to $206,700 $48,476 to $103,350 $64,851 to $103,350
24% $103,351 to $197,300 $206,701 to $394,600 $103,351 to $197,300 $103,351 $197,300
32% $197,301 to $250,525 $394,601 to $501,050 $197,301 to $250,525 $197,301 to $250,500
35% $250,526 to $626,350 $501,051 to $751,600 $250,526 to $375,800 $250,501 to $626,350
37% Over $626,350 Over $751,600 Over $375,800 Over $626,350

Source: Internal Revenue Service

2026 tax brackets

Tax rate Single filers Married couples filing jointly Married couples filing separately Head of household
10% $12,400 or less $24,800 or less $12,400 or less $17,700 or less
12% $12,401 to $50,400 $24,801 to $100,800 $12,401 to $50,400 $17,701 to $67,450
22% $50,401 to $105,700 $100,801 to $211,400 $50,401 to $105,700 $67,451 to $105,700
24% $105,701 to $201,775 $211,401 to $403,550 $105,701 to $201,775 $105,701 to $201,750
32% $201,776 to $256,225 $403,551 to $512,450 $201,776 to $256,225 $201,751 to $256,200
35% $256,226 to $640,600 $512,451 to $768,700 $256,226 to $384,350 $256,201 to $640,600
37% Over $640,600 Over $768,700 Over $384,350 Over $640,600

Source: Internal Revenue Service

What are tax brackets and how do they work?

What is taxable income?

Your taxable income is your gross income after you account for certain tax deductions and other adjustments. These include contributions to a 401(k) or an IRA, as well as either the standard deduction or itemized deductions.

Your taxable income is then used alongside tax brackets to determine how much tax you will owe.

What are income tax brackets?

A tax bracket is a range of income that’s taxed at a specific rate. The U.S. has a progressive tax system. This means that people with higher incomes are subject to higher tax rates, and people with lower incomes are subject to lower tax rates.

The government decides how much tax you owe by dividing your taxable income into chunks called tax brackets. There are different tax brackets for different filing statuses. Each individual bracket gets taxed at a corresponding tax rate. Tax rates can range from 10% to 37%.

The beauty of tax brackets is that no matter which bracket(s) you’re in, you generally won’t pay that tax rate on your entire income. The highest tax rate you pay applies to only a portion of your income.

Federal Tax Bracket Example

Mason has a taxable income of $80,000 in 2025. He is unmarried, and does not have any dependents so he files his taxes as a single filer. Here is the breakdown of how his $80,000 would get taxed at the federal level:

  • He will pay a rate of 10% on his first $11,925 of taxable income. This equates to $1,192.50.

  • He will pay a rate of 12% on the taxable income between $11,926 and $48,475. This equates to $4,385.88.

  • He will pay a rate of 22% on the taxable income between $48,475 and $103,350. Since he earned $80,000, he earned $31,525 in this tax bracket, that will be the amount subject to the 22% tax. This equates to $6,935.50.

  • His total federal tax bill would be $12,513.88.

Even though Mason’s last tax dollar of taxable income was subject to a rate rate of 22%, his total tax bill of $12,513.88 was only about 15.6% of his taxable income. This 15.6% is known as his effective tax rate.

Quick Answers: Tax Brackets FAQ

  • A: No. You only pay each rate on the income within that specific range. It's calculated in layers, not as one flat percentage.

  • A: Only the income above the previous bracket's limit gets taxed at the higher rate. Everything below stays at the lower rates.

  • A: Take your gross income, subtract pre-tax deductions (401(k), HSA, traditional IRA contributions), then subtract your standard deduction ($15,700 for single filers in 2025) or itemized deductions. That's your taxable income.

  • A: In federal income taxes alone, no. However, certain benefit phase-outs (like premium tax credits or student loan payment programs) could create edge cases. But your federal tax bracket itself never creates this problem.

  • A: The IRS publishes them on their website. Generally, they announce updates each fall to account for annual inflation. The here are the links for the 2025 and 2026 updates respectively.

Additional Tax Resources directly from the IRS

Official Publications:

Tax Tools:

  • IRS Tax Withholding Estimator - Calculate your withholding

  • IRS Free File - IRS Free File lets taxpayers prepare and file federal income tax returns online using guided tax preparation software for free if you qualify.

Important: This information is for educational purposes and reflects federal income tax brackets for 2025 and 2026 as published by the Internal Revenue Service. It should not be considered personalized tax, legal, or financial advice. State income taxes, additional taxes (Alternative Minimum Tax, Net Investment Income Tax, Additional Medicare Tax), credits, and individual circumstances may significantly affect your actual tax liability.

For personalized guidance, consult a qualified tax professional, certified public accountant (CPA), or IRS Enrolled Agent. You can also contact the IRS directly at 1-800-829-1040 or visit IRS.gov for official guidance.

Content last reviewed: November 2025 | Based on IRS Revenue Procedure 2024-40 and Publication 17 and H.R.1 - One Big Beautiful Bill Act