Tax Estimator
A rough estimate of your 2025 federal income tax, and the difference between the rate you're "in" and the rate you actually pay.
Enter your details
Wage income, standard deduction assumed
Estimated federal tax
2025 tax year, standard deduction of $15,750
Estimated federal income tax
$7,949
on $59,250 of taxable income
Marginal rate ("your bracket")
22%
Effective rate (what you pay)
10.6%
Income after federal tax
$67,051
- Taxed at 10%
- $1,193
- Taxed at 12%
- $4,386
- Taxed at 22%
- $2,371
Marginal vs. effective: the bracket myth
How this tax estimator works
A single filer earning $75,000 lands in the 22% marginal bracket, but after the standard deduction their actual tax bill works out to about $7,949, an effective rate near 10.6%, not 22%. This estimator runs your income through the actual federal brackets, slice by slice, rather than applying one flat rate to the whole number.
Being "in the 22% bracket" does not mean paying 22% on everything. Only the dollars inside that bracket are taxed at 22%. The dollars below it are taxed at the lower rates that came before, the same way for every filer regardless of income.
Why a raise never actually leaves you with less
This is why the effective rate is always lower than the marginal rate, and why a raise can never leave someone with less take-home pay overall. A raise that pushes part of your income into a higher bracket only taxes that additional slice at the new rate. Everything below it stays taxed exactly as it was before the raise.
People sometimes turn down a raise or extra hours out of fear of "jumping a bracket," worried the whole paycheck gets taxed at the higher rate. It does not work that way, and understanding the difference between marginal and effective rate is what clears up the confusion.
Why pre-tax contributions are worth so much
Pre-tax contributions come off at your marginal rate, the highest rate your income touches, which is what makes a traditional 401(k) or HSA such an efficient tax lever. A dollar contributed pre-tax by someone in the 22% bracket saves 22 cents in tax right now, on top of whatever that dollar grows into later. See our guide to lowering your tax bill.
How this is calculated
It runs your income through the federal brackets to estimate the tax bill and your real rate.
Taxable income = gross income − pre-tax contributions − the standard deduction. Each slice of taxable income is taxed at its bracket's rate and the slices are added up. Effective rate = total tax ÷ gross income.
What it assumes
- Standard deduction only: no itemizing, credits, or other income types.
- Federal income tax only: no state or local tax, and no Social Security or Medicare (FICA).
- Brackets are for the 2025 tax year and assume wage income.
Frequently asked questions
Does this include state income tax?
No, this is a federal-only estimate. State income tax varies enormously, from 0% in several states to over 10% in others, so add your state's rate separately for a full picture.
What are pre-tax contributions?
Money that reduces your taxable income before tax is calculated, like traditional 401(k) or HSA contributions. Increasing pre-tax contributions lowers the taxable income this estimate is based on, which lowers the tax owed.
Why is my effective rate so much lower than my bracket?
Because only the income inside each bracket is taxed at that bracket's rate, the dollars below it are taxed at lower rates first. Your effective rate blends all of those together, which is always lower than your top, or marginal, rate.
A simplified federal estimate: standard deduction only, wage income only, no state or local tax, FICA, credits, itemizing, or capital gains. Figures are for the 2025 tax year. For educational purposes only; not tax advice. Consult a tax professional for your situation.