For Educational Purposes Only — Not Tax Advice — 2026 IRS Regulations (Rev. Proc. 2025-32) + OBBBA
Income Tax
$9,870
Monthly
$5,719
Eff. Income Rate
11.6%

2026 W-2 Tax Calculator

All filing statuses · All 50 states · OBBBA 2026 updated · IRA · 401k · HSA · QBI

Quick answer

This calculator estimates 2026 federal income tax. The 2026 ordinary rates run from 10% to 37%. Your marginal rate is what the next dollar you earn is taxed at; your effective rate is total tax divided by total income, and is always lower. Social Security and Medicare tax are calculated and shown as separate lines. State and local income tax, the Alternative Minimum Tax and the Earned Income Credit are not included. It assumes the standard deduction unless you enter itemized amounts.

Standard deduction used: $16,100 single, $32,200 married filing jointly, $24,150 head of household.

How these figures are calculated · IRS Rev. Proc. 2025-32 · IRS 2026 inflation adjustments · Tax data last verified

2026 tax inputs and methodology reviewed by Deepak Middha, Chartered AccountantPassed the Series 65 examinationMethodologyEditorial standardsMethodology reviewed

Personal Information
Filing Status
Age
🎂
50+ catch-up · 60–63 super catch-up (SECURE 2.0)
State of residence
Income
All sources for the tax year
W-2 wages / salary
$
Box 1 of your W-2
Net self-employment profit
$
Schedule C net profit after business expenses — not gross receipts. SE tax auto-calculated.
Short-term capital gains
$
Under 1 year — ordinary income rates
Long-term capital gains
$
Over 1 year — 0%, 15%, or 20%
Qualified dividends
$
Taxed at LTCG rates
Other income
$
Rental, prizes, alimony (pre-2019)
OBBBA 2026 — New Above-the-Line Deductions
Qualified overtime — Code TT (limit $12,500)
$
OBBBA deduction — reduces taxable income (post-AGI); phases out above $150k / $300k MFJ MAGI
Qualified tips — Code TP (limit $25,000)
$
OBBBA deduction for qualified tips; phases out above $150k / $300k MFJ MAGI
Dependents
Child Tax Credit $2,200 per child (2026) · Other Dependent $500 each
Children under 17
👦
$2,200 CTC each — phases out above $200,000
Other dependents
👤
College students, parents, relatives — $500 credit each
Pre-Tax Contributions
2026 limits enforced automatically
401k / 403b — limit $24,500
$
Standard limit
Traditional IRA — limit $7,500
$
Deductibility phases out with a workplace plan
HSA — limit $4,400
$
Requires an HDHP health insurance plan
FSA Medical — limit $3,400
$
FSA Dependent Care — limit $7,500
$
Deductions
Standard automatically selected if it's larger
Standard deduction
$16,100
Itemized deduction
$0
Less than standard
OBBBA charitable — non-itemizer (limit $1,000)
$
Cash donations — stacks ON TOP of standard deduction (OBBBA)
Educational use only. Simplified 2026 estimate. Sources: IRS Rev. Proc. 2025-32 · OBBBA July 2025 · SECURE 2.0.Full disclaimer →
Estimated Income Tax
$9,870
Monthly Take-Home
$5,719
Effective income tax rate
11.6%
Marginal Rate
22.0%
After-Tax Income
$68,628
AGI
$85,000
Tax Savings Meter
How much of your tax bill you've eliminated
0%eliminated0%100%
Income tax baseline
$9,870
no strategies
Income tax saved
$0
strategies applied
Income tax
$9,870
after strategies
🎯 No strategies applied yet
Enter 401k, IRA, HSA or business deductions above to fill the meter
Income Tax Breakdown
Federal Tax Before Credits
$9,870
Net Federal Income Tax
$9,870
Texas State Tax
$0
Est. Income Tax
$9,870
State portion — Texas
Preliminary state estimate — full 2026 state verification pending.
Simplified estimate
The federal figures above do not depend on your state selection.
Payroll Taxes (reference)
Social Security (6.2%)
$5,270
Medicare (1.45%)
$1,233
Income Flow
Gross Income
$85,000
Adj. Gross Income
$85,000
after above-line deductions
Taxable Income
$68,900
after deduction + QBI
Federal Brackets
10% on $12,400$1,240
12% on $38,000$4,560
22% on $18,500$4,070
Tax Savings Meter
How much of your tax bill you've eliminated
0%eliminated0%100%
Income tax baseline
$9,870
no strategies
Income tax saved
$0
strategies applied
Income tax
$9,870
after strategies
🎯 No strategies applied yet
Enter 401k, IRA, HSA or business deductions above to fill the meter
2026 Summary · Single · Texas
Estimated Income Tax
$9,870
Monthly take-home
$5,719
Effective income tax rate
11.6%
Marginal fed rate
22.0%
After-tax income
$68,628
Adj. gross income
$85,000
Tax Breakdown
Income Taxes
Federal tax before credits$9,870
Net federal income tax$9,870
Texas state tax$0
Estimated Income Tax$9,870
Payroll Taxes
Social Security (6.2%)$5,270
Medicare (1.45%)$1,233
Estimated Total Tax Burden$16,373
Strategy savings are estimated against federal and state income tax. Payroll taxes are shown separately for awareness.
Want your state tax too?
See full 2026 brackets, retirement rules, local taxes, and take-home pay for your state.
Open Texas calculator →
Browse all 50 states + DC →
Income Flow
Gross income
$85,000
− Above-the-line deductions
$0
Adjusted gross income (AGI)
$85,000
− Standard deduction
$16,100
Taxable income
$68,900
Federal Bracket Breakdown
10% bracket ($12,400)$1,240
12% bracket ($38,000)$4,560
22% bracket ($18,500)$4,070

How federal tax changes as income increases

Every figure below is produced by the same calculation as the calculator on this page, for a single filer with wage income only, taking the standard deduction, with no dependents, no retirement contributions and no state tax.

2026 federal tax by income level — Single. Tax data last verified .
Gross incomeTaxable incomeFederal income taxSocial Security & MedicareTotal federal taxEffective federal rateExtra federal tax on the increaseKept from the increase
$25,000$8,900$890$1,913$2,80311.2%
$50,000$33,900$3,820$3,825$7,64515.3%$4,843$20,158 (81%)
$75,000$58,900$7,670$5,738$13,40817.9%$5,763$19,238 (77%)
$100,000$83,900$13,170$7,650$20,82020.8%$7,413$17,588 (70%)
$150,000$133,900$24,734$11,475$36,20924.1%$15,389$34,611 (69%)
$250,000$233,900$51,304$15,514$66,81826.7%$30,609$69,391 (69%)
$500,000$483,900$138,134$21,389$159,52331.9%$92,705$157,295 (63%)

Reading the last two columns.Moving into a higher bracket does not put all of your income at that rate. Only the income inside each bracket is taxed at that bracket’s rate, which is why the “kept from the increase” column stays well above zero at every income level — a raise always leaves you with more money after tax than before it.

The effective federal rate here is total federal tax — income tax plus Social Security and Medicare — divided by gross income. State and local tax are not included.

📊

In-Depth Tax Analysis Report

Free

Full breakdown with charts, contribution tracking, quarterly estimates, and a CPA summary — generated in your browser and downloadable as a PDF. No account required.

🧾 Tune your paycheck withholding →
Use the W-4 Optimizer to avoid a surprise bill or a giant refund, with a suggested Step 4(c) amount.
🎯 Get your Tax Savings Action Plan →
Answer 12 questions for your Tax IQ score and the top 5 moves to lower this year's tax.
TaxsaveIQ · Educational purposes only · Not tax advice · IRS Rev. Proc. 2025-32 · OBBBA July 2025 · SECURE 2.0 ·Full disclaimer

Methodology and sources

How the Federal Income Tax Calculator works for tax year 2026, what it leaves out, and the official material behind its figures. Reviewed by Deepak Middha, Chartered Accountant · Data, formulas and sources last re-verified .

What this calculator estimates

  • Federal income tax on wage income, business income, or both
  • Taxable income after the standard or itemized deduction
  • Your effective and marginal federal rate
  • Employee-side FICA on W-2 wages and self-employment tax on business profit
  • The effect of pre-tax retirement, HSA, and FSA contributions

What it does not calculate

  • Your actual return, refund, or balance due as filed
  • State or local income tax (use the state calculators for that)
  • Payroll withholding already taken from your paychecks
  • Alternative Minimum Tax or the net investment income tax

Formula summary

  • Gross income − pre-tax contributions = adjusted gross income (AGI)
  • AGI − standard or itemized deduction − qualifying OBBBA deductions − QBI deduction = taxable income
  • Taxable income is run through the 2026 bracket schedule for your filing status
  • Non-refundable credits reduce the resulting tax, then refundable credits are applied
  • FICA or self-employment tax is computed separately on earned income, not on taxable income

Tax-year assumptions

  • Defaults to tax year 2026 using the Rev. Proc. 2025-32 inflation adjustments
  • 2025 figures are available as a comparison year and are labelled as such
  • Assumes full-year residency and a calendar tax year
  • Business mileage uses the two 2026 standard rate periods — 72.5¢ per mile for miles driven January 1 through June 30 and 76¢ per mile for miles driven July 1 through December 31 — so miles must be entered by period

Filing-status assumptions

  • Supports single, married filing jointly, married filing separately, and head of household
  • Head of household assumes you meet the qualifying-person and cost-of-keeping-up-a-home tests
  • Married filing separately does not model the deduction and credit limits that apply to some separate filers

Important exclusions

  • Not modelled: Alternative Minimum Tax, the kiddie tax, foreign-income and treaty rules, and any state-specific add-backs
  • Itemized deductions are entered as a single total rather than line by line
  • Phaseouts are applied at the statutory thresholds without state-specific variations

Educational use only — these figures are estimates, not a tax filing or personalized advice. Read the editorial methodology or report a correction.