A raise, a new job, or a freelance contract sounds great until payday reveals how much the government keeps. This tax calculator turns your gross annual income into a clear, line-by-line estimate of what you actually take home. It applies the 2024 US federal progressive brackets, subtracts the standard deduction, and adds an optional flat state tax rate — so you can see your federal tax, your effective rate, and your net monthly pay in seconds.
Unlike a simple percentage guess, a progressive system means only the dollars inside each bracket are taxed at that bracket's rate. Earning more does not push your entire salary into the top tier; it only raises the rate on the portion that crosses the threshold. This calculator makes that invisible math visible.
How to Use
- Enter your Gross Annual Income — your full salary before taxes, pre-tax retirement contributions, or benefits. If you are paid hourly, multiply your hourly rate by your hours and weeks worked first.
- Choose your Filing Status. Most people are either Single or Married Filing Jointly. Your choice sets both the bracket thresholds and your standard deduction, so switching it can change the result by thousands of dollars.
- Optionally set your State Tax Rate. Enter the approximate flat percentage your state charges on income (typically 0% in states like Texas, Florida, and Washington, up to around 13% for high earners in a few states). Leave it at 0 to estimate federal-only take-home pay.
- Read the result card. It shows your taxable income after the standard deduction, the federal income tax, the state tax, your total tax burden, your effective tax rate, and your net take-home pay broken into yearly and monthly figures.
The effective rate is the number people really mean when they ask "what percentage do I pay?" It is your total tax divided by your gross income — always lower than the highest bracket your salary touches. If a 22% bracket worker sees an effective rate near 14–16%, that is correct: the lower dollars were taxed at 10% and 12%.
How Progressive Brackets Work
The 2024 federal system uses seven marginal rates: 10%, 12%, 22%, 24%, 32%, 35%, and 37%. For a single filer in 2024, the first $11,600 is taxed at 10%, the next slice up to $47,150 at 12%, and so on. Married couples filing jointly receive roughly doubled thresholds plus a $29,200 standard deduction versus $14,600 for single filers.
Before any bracket math, you subtract the standard deduction (or your itemized deductions, if larger). A single person earning $75,000 is not taxed on $75,000: after the $14,600 standard deduction, taxable income is $60,400. Applying the brackets to that figure produces the federal tax, not a flat 22% of the whole salary. This is the single most common mistake people make when estimating their own tax.
State income tax is applied here as a simple flat percentage of gross income for speed and transparency. Real state systems vary — some have their own brackets, some tax only interest and dividends, and a handful charge none at all. Treat the state line as a planning estimate, and adjust the rate to match your home state's published schedule.
Examples
Example 1 — A single professional earning $75,000. After the $14,600 standard deduction, taxable income is $60,400. The progressive brackets yield about $8,341 in federal tax. Adding a 5% state rate ($3,750) brings total tax to roughly $12,091, leaving $62,909 per year — about $5,242 per month. The effective rate is about 16.1%, even though part of the income sits in the 22% bracket.
Example 2 — A married couple earning $120,000 jointly. Their standard deduction is $29,200, so taxable income is $90,800. Federal tax works out to about $10,432, and a 4% state rate adds $4,800. Net take-home is roughly $104,768 a year, or $8,731 a month, with an effective rate near 12.7%. Filing jointly can lower their effective rate compared with two single filers earning the same combined amount.
Example 3 — A high earner at $1,500,000. After the married standard deduction, taxable income is about $1,470,800. Most of this falls in the 35% and 37% brackets, producing roughly $470,322 in federal tax. With a 6% state rate ($90,000), total tax is about $560,322, and take-home pay is roughly $939,679 a year. The effective rate climbs to about 37.4% — still below the top marginal rate of 37% combined with the state levy.
FAQ
What is the difference between marginal and effective tax rate?
Your marginal rate is the tax bracket your last earned dollar falls into — say, 22%. Your effective rate is your total tax divided by your gross income, usually much lower because the first chunks of income are taxed at 10% and 12%. A worker in the 22% bracket typically pays an effective rate around 14–17% after the standard deduction.
Which tax year brackets does this calculator use?
This calculator uses the 2024 federal income tax brackets and standard deductions as published by the IRS in Rev. Proc. 2023-34: $14,600 for single filers and $29,200 for married couples filing jointly. Thresholds are adjusted for inflation each year, so results for other years will differ slightly.
Does this include FICA, Social Security, and Medicare?
No. This estimate covers federal income tax and an optional state income tax only. It does not include the 7.65% FICA payroll tax (Social Security and Medicare), pre-tax retirement contributions like a 401(k), health insurance premiums, or other deductions. Your real net pay will be lower than this estimate suggests, often by an extra 7–9% for payroll taxes.
What if my state has no income tax?
Simply set the State Tax Rate to 0. States such as Texas, Florida, Washington, Nevada, Wyoming, South Dakota, and Alaska levy no broad state income tax; New Hampshire and Tennessee tax only limited investment income. In those states your estimated burden is federal income tax plus FICA.
Should I use the standard deduction or itemize?
This calculator applies the standard deduction, which the majority of filers claim. If you have large mortgage interest, medical expenses, or charitable contributions that together exceed the standard deduction, itemizing could lower your taxable income further. Run the comparison with a tax professional before filing.
How accurate is this take-home estimate?
It is a solid planning figure for budgeting and job offers, accurate to within a few percentage points for most W-2 employees. It deliberately ignores FICA, pre-tax benefits, credits like the Earned Income Tax Credit, and state-specific brackets. For your exact return, use IRS Form 1040 or a licensed tax preparer.
Disclaimer
This tax calculator is provided for informational purposes only and does not constitute tax, legal, or financial advice. Estimates are based on the 2024 US federal progressive bracket table, a simplified flat state tax assumption, and the inputs you enter. They exclude payroll taxes (FICA), credits, deductions, and itemized amounts. Actual tax liability varies by jurisdiction, withholding, deductions, credits, and life changes. Always verify your figures with the IRS (irs.gov) or a qualified tax professional before filing or making financial decisions.