The information in this article is up to date for tax year 2024 (returns filed in 2025).

Understanding tax brackets is crucial for planning your finances. They determine the federal income tax rates you’ll pay on different portions of your taxable income. For the 2024 and 2025 tax years, the tax rates range from 10% to 37%. The income limits for the 2024 tax brackets have been adjusted for inflation to help reduce bracket creep, a phenomenon where inflation pushes your wages into a higher tax bracket, resulting in higher taxes, even if your real income remains the same.

Your tax rate depends on your filing status and taxable income. The five filing statuses are: single, head of household, married filing jointly, married filing separately, and qualifying widow(er). Generally, as your income increases, you’ll move into a higher tax bracket and pay more in taxes. Let’s break down the 2024 and 2025 tax brackets for each filing status.

2024 tax brackets and federal income tax rates

For taxes due in 2025, these are the 2024 tax brackets and federal income tax rates based on your filing status:

Tax rate Single Head of household Married filing jointly or Qualifying widow(er) Married filing separately
10% $0 to $11,600 $0 to $16,550 $0 to $23,200 $0 to $11,600
12% $11,601 to $47,150 $16,551 to $63,100 $23,201 to $94,300 $11,601 to $47,150
22% $47,151 to $100,525 $63,101 to $100,500 $94,301 to $201,050 $47,151 to $100,525
24% $100,526 to $191,950 $100,501 to $191,950 $201,051 to $383,900 $100,526 to $191,950
32% $191,951 to $243,725 $191,951 to $243,700 $383,901 to $487,450 $191,951 to $243,725
35% $243,726 to $609,350 $243,701 to $609,350 $487,451 to $731,200 $243,726 to $365,600
37% $609,351 or more $609,350 or more $731,201 or more $365,601 or more
2024 tax brackets

2025 tax brackets and federal income tax rates

For taxes due in 2026, these are the 2025 tax brackets and federal income tax rates based on your filing status:

Tax rate Single Head of household Married filing jointly or Qualifying widow(er) Married filing separately
10% $11,925 or less $17,000 or less $23,850 or less $11,925 or less
12% $11,926 to $48,475 $17,001 to $64,850 $23,851 to $96,950 $11,926 to $48,475
22% $48,476 to $103,350 $64,851 to $103,350 $96,951 to $206,700 $48,476 to $103,350
24% $103,351 to $197,300 $103,351 to $197,300 $206,701 to $394,600 $103,351 to $197,300
32% $197,301 to $250,525 $197,301 to $250,500 $394,601 to $501,050 $197,301 to $250,525
35% $250,526 to $626,350 $250,501 to $626,350 $501,051 to $751,600 $250,526 to $375,800
37% $626,351 or more $626,350 or more $751,601 or more $375,801 or more
2025 tax brackets

How do tax brackets work?

Many people wonder, “how do tax brackets work?”. Simply put, tax brackets are designed to ensure that as your income increases, you pay a higher tax rate on each additional dollar you earn, but not on your entire income. This is the essence of the progressive tax system.

For example, let’s say you’re single and have a taxable income of $60,000 in 2024. You don’t pay 22% on your entire income. Instead, your tax rate is applied to income in “chunks,” based on your tax bracket. Here’s how it breaks down:

  • 10% on the first $11,600 of your earnings
  • 12% on the chunk of earning from $11,601 and $47,150
  • 22% on the remaining income

This is how tax brackets work to ensure you’re only taxed at higher rates on the portions of income that fall within those higher brackets.

Tax bracket 2024 example for single person with $60,000 taxable income.

What is the federal income tax rate?

When asking “what is the federal income tax rate?”, it’s important to clarify that your federal income tax rate is not a single percentage applied to all your income. It’s the rate applied to each portion of your income, depending on your tax bracket.

Single

Tax rate Taxable income Taxes owed in April 2025
10% $0 to $11,600 10% of taxable income
12% $11,601 to $47,150 $1,160 plus 12% of the amount over $11,600
22% $47,151 to $100,525 $5,426 plus 22% of the amount over $47,150
24% $100,526 to $191,950 $17,168.50 plus 24% of the amount over $100,525
32% $191,951 to $243,725 $39,110.50 plus 32% of the amount over $191,950
35% $243,726 to $609,350 $55,678.50 plus 35% of the amount over $243,725
37% $609,351 or more $183,647.25 plus 37% of the amount over $609,350
Tax brackets 2024: Single

Head of household

Tax rate Taxable income Taxes owed in April 2025
10% $0 to $16,550 10% of taxable income
12% $16,551 to $63,100 $1,655 plus 12% of the amount over $16,500
22% $63,101 to $100,500 $7,241 plus 22% of the amount over $63,100
24% $100,501 to $191,950 $15,469 plus 24% of the amount over $100,500
32% $191,951 to $243,700 $37,417 plus 32% of the amount over $191,950
35% $243,701 to $609,350 $53,977 plus 35% of the amount over $243,700
37% $609,350 or more $181,954.50 plus 37% of the amount over $609,350
Tax brackets 2024: Head of household

Married filing jointly or Qualifying widow(er)

Tax rate Taxable income Taxes owed in April 2025
10% $0 to $23,200 10% of taxable income
12% $23,201 to $94,300 $2,320 plus 12% of the amount over $23,200
22% $94,301 to $201,050 $10,852 plus 22% of the amount over $94,300
24% $201,051 to $383,900 $34,337 plus 24% of the amount over $201,050
32% $383,901 to $487,450 $78,221 plus 32% of the amount over $383,900
35% $487,451 to $731,200 $111,357 plus 35% of the amount over $487,450
37% $731,201 or more $196,669.50 + 37% of the amount over $731,200
Tax brackets 2024: Married filing jointly or Qualifying widow(er)

Married filing separately

Tax rate Taxable income Taxes owed in April 2025
10% $0 to $11,600 10% of taxable income
12% $11,601 to $47,150 $1,160 plus 12% of the amount over $11,600
22% $47,151 to $100,525 $5,426 plus 22% of the amount over $47,150
24% $100,526 to $191,950 $17,168.50 plus 24% of the amount over $100,525
32% $191,951 to $243,725 $39,110.50 plus 32% of the amount over $191,950
35% $243,726 to $365,600 $55,678.50 plus 35% of the amount over $243,725
37% $365,601 or more $98,334.75 plus 37% of the amount over $365,600
Tax brackets 2024: Married filing separately

As you can see from the charts above, the federal income tax rate varies depending on how much money you earn. The more you make, the higher your tax rate on the income that falls into higher brackets.

What is taxable income?

Taxable income includes wages, salaries, tips, bonuses, and commissions, but the list doesn’t end there.  Learn more about what’s considered taxable income.

What is a marginal tax rate?

Your marginal tax rate is the tax rate you pay on your last dollar of income.  The marginal tax rate increases as your income grows.  The easiest way to figure out your marginal tax rate is to look at the highest tax bracket you’ll be taxed in. 

What is an effective tax rate?

Your effective tax rate is the percentage of your taxable income being paid in taxes.  You can calculate your effective tax rate by dividing your tax owed by your total income.  This rate is usually lower than your marginal tax rate.

How to get into a lower tax bracket

One of the best ways to lower your tax rate is to reduce your taxable income. Here’s how to reduce taxable income:

  • Contribute to retirement accounts like a 401(k) or a traditional IRA. These contributions reduce your taxable income because they’re made on a pre-tax basis.
  • Maximize tax deductions by contributing to an health savings account (HSA) or utilizing deductions for things like medical expenses, student loan interest or charitable contributions.
  • If you qualify, use tax credits such as the Child Tax Credit or Earned Income Tax Credit (EITC), which directly reduce the amount of taxes you owe, rather than just lowering taxable income.

By taking advantage of these options, you can lower your taxable income, potentially reducing your tax bracket and paying less in taxes.

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The articles and content published on this blog are provided for informational purposes only. The information presented is not intended to be, and should not be taken as, legal, financial, or professional advice. Readers are advised to seek appropriate professional guidance and conduct their own due diligence before making any decisions based on the information provided.