How it works
This estimate uses the 2026 tax brackets, standard deduction and credit amounts the IRS published in Revenue Procedure 2025-32. It is for income you earn from January through December 2026 and report on the return you file in early 2027.
Your income minus pre-tax retirement and HSA contributions is your adjusted gross income. From that we subtract the larger of the standard deduction and your itemized deductions, then the deductions for qualified tips, overtime premium pay and age 65 or older that apply from 2025 through 2028. Tax is figured bracket by bracket on what is left, and credits come off the result.
Credits included are the child tax credit ($2,200 per child under 17, up to $1,700 of it refundable), the $500 credit for other dependents and the earned income credit. Capital gains and qualified dividends taxed at lower rates, self-employment tax, the alternative minimum tax and other credits are not included. The earned income credit has rules this estimate can't check, such as investment income under $12,200 and age limits for workers without children, so confirm eligibility on the IRS site.
Formula
Taxable income = income − pre-tax contributions − (standard or itemized deduction) − tips, overtime and senior deductions; tax = sum over brackets of (income in bracket × rate) − credits
2026 federal tax brackets
| Rate | Single | Married filing jointly | Head of household |
|---|---|---|---|
| 10% | $0 – $12,400 | $0 – $24,800 | $0 – $17,700 |
| 12% | $12,400 – $50,400 | $24,800 – $100,800 | $17,700 – $67,450 |
| 22% | $50,400 – $105,700 | $100,800 – $211,400 | $67,450 – $105,700 |
| 24% | $105,700 – $201,775 | $211,400 – $403,550 | $105,700 – $201,750 |
| 32% | $201,775 – $256,225 | $403,550 – $512,450 | $201,750 – $256,200 |
| 35% | $256,225 – $640,600 | $512,450 – $768,700 | $256,200 – $640,600 |
| 37% | over $640,600 | over $768,700 | over $640,600 |
The 2026 standard deduction is $16,100 for single filers and married people filing separately, $32,200 for married couples filing jointly and $24,150 for heads of household. People 65 or older, or blind, add $2,050 if unmarried or $1,650 each if married.
Sources
- IRS Rev. Proc. 2025-32: 2026 tax brackets, standard deduction, child tax credit and earned income credit
- IRS fact sheet FS-2025-03: deductions for tips, overtime and seniors (2025–2028)
- IRS Schedule 1-A (Form 1040): phase-out of the new deductions
- IRS Schedule 8812 (Form 1040): child tax credit phase-out and refundable portion
Questions people ask
What are the 2026 tax brackets?
The rates stay at 10%, 12%, 22%, 24%, 32%, 35% and 37%. For single filers the 12% bracket starts above $12,400, 22% above $50,400 and 24% above $105,700. For married couples filing jointly the thresholds are $24,800, $100,800 and $211,400. The full table is above.
What is the standard deduction for 2026?
$16,100 for single filers, $32,200 for married couples filing jointly and $24,150 for heads of household, from IRS Revenue Procedure 2025-32.
Is my income taxed at my top bracket rate?
No. Only the part of your taxable income inside each bracket is taxed at that bracket's rate. That is why your effective rate (total tax divided by income) is lower than your marginal rate.
Are tips and overtime tax-free in 2026?
Partly. From 2025 through 2028 you can deduct up to $25,000 of qualified tips and up to $12,500 ($25,000 married filing jointly) of qualified overtime premium pay. Both deductions shrink once modified AGI passes $150,000 ($300,000 joint), and they reduce income tax only, not Social Security and Medicare tax.