Every year, the IRS adjusts the federal income tax brackets to account for inflation. These updates impact how much you owe in federal income tax and how much of your income falls into each marginal tax rate. In this guide, we provide the 2025 and projected 2026 tax brackets by income for each filing status, helping you estimate your tax liability and plan better for deductions, contributions, and savings.
📌 Quick Overview of U.S. Federal Tax System
The U.S. uses a progressive tax system, meaning your income is taxed in brackets at increasing rates. You’re not taxed the same rate on all your income—instead, you only pay higher rates on income that exceeds the lower thresholds.
🧾 2025 Federal Income Tax Brackets (Based on IRS Inflation Adjustments)
Single Filers
| Tax Rate | Taxable Income (Single) |
|---|---|
| 10% | Up to $11,600 |
| 12% | $11,601 – $47,150 |
| 22% | $47,151 – $100,525 |
| 24% | $100,526 – $191,950 |
| 32% | $191,951 – $243,725 |
| 35% | $243,726 – $609,350 |
| 37% | Over $609,350 |
Married Filing Jointly
| Tax Rate | Taxable Income (MFJ) |
|---|---|
| 10% | Up to $23,200 |
| 12% | $23,201 – $94,300 |
| 22% | $94,301 – $201,050 |
| 24% | $201,051 – $383,900 |
| 32% | $383,901 – $487,450 |
| 35% | $487,451 – $731,200 |
| 37% | Over $731,200 |
Heads of Household
| Tax Rate | Taxable Income (HoH) |
|---|---|
| 10% | Up to $16,550 |
| 12% | $16,551 – $63,100 |
| 22% | $63,101 – $100,500 |
| 24% | $100,501 – $191,950 |
| 32% | $191,951 – $243,700 |
| 35% | $243,701 – $609,350 |
| 37% | Over $609,350 |
📊 Example: Tax Calculation for Single Filer with $80,000 Income
- First $11,600 → 10% = $1,160
- $11,601 – $47,150 → 12% = $4,260
- $47,151 – $80,000 → 22% = $7,219
Total tax owed (before credits): $12,639
📉 2026 Projections: Will Tax Rates Change?
Unless Congress acts, the 2017 Tax Cuts and Jobs Act (TCJA) provisions will expire at the end of 2025. If that happens, 2026 brackets could revert to higher pre-TCJA rates, reducing thresholds and increasing rates:
- Top rate could return to 39.6%
- Standard deductions may decrease
- Personal exemptions may return
Planning Tip: Consider accelerating income or deductions into 2025 before potential increases in 2026.
📌 Standard Deduction Amounts (2025)
- Single: $14,600
- Married Filing Jointly: $29,200
- Head of Household: $21,900
- Additional for Seniors (65+): +$1,950 (Single), +$1,550 per spouse (MFJ)
🧮 Income Planning Strategies for 2025–2026
- Max out tax-deferred retirement accounts (401(k), IRA)
- Use Health Savings Accounts (HSAs) for triple tax benefits
- Manage capital gains and losses to stay in lower brackets
- Bunch itemized deductions to exceed standard deduction thresholds
🔍 People Also Ask (FAQs)
Q: Do these brackets apply to gross income?
No, they apply to taxable income, which is your income after deductions (standard or itemized).
Q: Are the brackets the same for capital gains?
No, long-term capital gains and qualified dividends have their own tax brackets—0%, 15%, or 20% based on your taxable income.
Q: Will tax brackets go up in 2026?
Yes, if TCJA provisions expire as scheduled, marginal rates will increase in 2026 unless new legislation is passed.
Q: How often do tax brackets change?
Each year the IRS adjusts brackets for inflation, but structural changes occur only with new tax laws.
📘 Final Thoughts
Understanding the tax brackets for 2025 and anticipating changes for 2026 is crucial for smart tax planning. Use these income thresholds to guide your withholding, deductions, retirement contributions, and overall savings strategy. Stay tuned for updates as Congress debates whether to extend or revise current tax law before the 2026 reversion date.
Tip: Consult with a CPA or tax advisor to model your 2025 and 2026 liability under different income and deduction scenarios.
