← Home

🧾 Income Tax Calculator

Calculate income tax using progressive tax brackets for the US, UK, Australia and custom systems. See a full breakdown by bracket, marginal rate, effective rate, and net after-tax income.

Gross Annual Income

Tax System

What is this tool?

Income tax is the percentage of your earnings that you pay to the government, and in most countries it is calculated using a progressive bracket system. Unlike a flat tax that applies a single rate to everything you earn, progressive taxation divides your income into segments called brackets. Each bracket is taxed at its own rate, so the first portion of your income might be taxed at 10 percent, the next portion at 12 percent, and so on. As your income rises, the rate on each additional dollar increases step by step. This progressive system means that two people with very different salaries do not simply pay a proportionally different amount of tax. Instead, everyone pays the same rate on the income within each bracket, regardless of their total earnings. This makes the system fairer, but it also makes the math more complicated than a simple percentage. The rate on your last dollar earned is called the marginal rate, while the overall percentage of your income that goes to tax is the effective rate. These two numbers are often quite different, and understanding both is key to financial planning. This income tax calculator handles the full progressive bracket calculation for the United States (2024, single and married filing jointly), the United Kingdom (2024-25), Australia (2024-25), and a fully custom mode where you enter your own brackets. It shows a detailed breakdown of how much tax falls in each bracket, plus the total tax, effective rate, net income, and marginal rate. All calculations run locally in your browser, so your salary details never leave your device.

How it works

The calculator applies progressive tax brackets one at a time. For each bracket, it calculates how much of your income falls within that bracket’s range, multiplies that amount by the bracket’s rate, and adds the result to the running total. If your income does not reach a bracket, that bracket contributes zero tax. The marginal rate is simply the rate of the highest bracket your income reaches. For example, consider a US single filer earning $60,000 in 2024. The first $11,600 is taxed at 10 percent, producing $1,160. The portion from $11,601 to $47,150 ($35,550) is taxed at 12 percent, producing $4,266. The remaining portion from $47,151 to $60,000 ($12,850) is taxed at 22 percent, producing $2,827. The total tax is $8,253, the effective rate is about 13.8 percent, and the marginal rate is 22 percent. The net after-tax income is $51,747.

US 2024 Single Filer Brackets

Bracket	Income Range	Rate
1	$0 – $11,600	10%
2	$11,601 – $47,150	12%
3	$47,151 – $100,525	22%
4	$100,526 – $191,950	24%
5	$191,951 – $243,725	32%
6	$243,726 – $609,350	35%
7	$609,351+	37%

2024 Tax Bracket Reference

Country	Bracket	Range	Rate
US Single 2024	1	$0 – $11,600	10%
	2	$11,601 – $47,150	12%
	3	$47,151 – $100,525	22%
	4	$100,526 – $191,950	24%
	5	$191,951 – $243,725	32%
	6	$243,726 – $609,350	35%
	7	$609,351+	37%
UK 2024-25	Personal allowance	£0 – £12,570	0%
	Basic rate	£12,571 – £50,270	20%
	Higher rate	£50,271 – £125,140	40%
	Additional rate	£125,141+	45%
Australia 2024-25	1	A$0 – A$18,200	0%
	2	A$18,201 – A$45,000	16%
	3	A$45,001 – A$135,000	30%
	4	A$135,001 – A$190,000	37%
	5	A$190,001+	45%

Worked Example: US Single Filer at $60,000

For a US single filer with a gross income of $60,000 in 2024:

Bracket	Range	Rate	Taxable Amount	Tax
1	$0 – $11,600	10%	$11,600	$1,160.00
2	$11,601 – $47,150	12%	$35,550	$4,266.00
3	$47,151 – $100,525	22%	$12,850	$2,827.00
Total Tax				$8,253.00
Effective Rate				13.76%
Marginal Rate				22%
Net Income				$51,747.00

How to use

Enter your gross annual income (the full amount before any deductions).
Select your tax system: US Single, US Married Jointly, UK, Australia, or Custom Brackets.
If you chose Custom Brackets, enter up to 3 threshold and rate pairs.
Click Calculate Tax to see the full breakdown.
Review the tax by bracket, total tax, effective rate, net income, and marginal rate.

Frequently Asked Questions

What is the difference between marginal rate and effective rate?

Your marginal rate is the tax rate on your last dollar earned — the rate of the highest bracket your income reaches. Your effective rate is your total tax divided by your total income, which gives the overall percentage of your income that goes to tax. The effective rate is always lower than the marginal rate in a progressive system, because much of your income is taxed at lower brackets.

Will getting a raise that pushes me into a higher bracket cost me money?

No. This is a widespread myth. In a progressive system, only the income above the new bracket threshold is taxed at the higher rate. The rest of your income continues to be taxed at the same lower rates as before. A raise always increases your net after-tax income, though the additional earnings are taxed at your marginal rate.

Does this calculator include state taxes, Social Security, or Medicare?

No. This calculator handles federal income tax brackets only. It does not include state or local income taxes, payroll taxes like Social Security and Medicare (FICA in the US, National Insurance in the UK), or other deductions such as retirement contributions and health insurance. Your actual paycheck will be lower than the net income shown here.

How accurate are the 2024 tax brackets?

The US, UK, and Australian bracket data reflect the official rates published for the 2024 or 2024-25 tax year. However, tax laws change frequently, and individual circumstances vary widely. This tool provides a solid estimate for planning and comparison, but you should always verify with your local tax authority or a qualified tax professional for an official figure.

Can I model a country that is not listed?

Yes. Choose the Custom Brackets option and enter up to 3 threshold and rate pairs that match your country’s progressive tax system. The calculator will apply them in the same progressive manner, taxing each portion of income at the appropriate rate and showing the full breakdown.

Why is my effective tax rate so much lower than my marginal rate?

Because progressive taxation means only a small portion of your income falls in the highest bracket. Most of your income is taxed at lower rates, pulling the overall average (effective rate) down. For example, a US single filer earning $60,000 has a marginal rate of 22% but an effective rate of only about 13.8%.

This tool is for informational purposes only and does not constitute financial advice. Consult a qualified financial professional for advice specific to your situation.

Tips & Advice

One of the most common misconceptions about progressive taxation is that moving into a higher bracket somehow reduces your take-home pay. This is false. Only the income above each threshold is taxed at the higher rate, so a raise always increases your net income. However, it is still worth understanding your marginal rate because it tells you how much of each additional dollar you actually keep. If your marginal rate is 24 percent, a $1,000 raise only adds about $760 to your pocket before other deductions. When planning charitable contributions or retirement contributions, remember that their tax benefit is worth your marginal rate, not your effective rate. Finally, the brackets shown here are for federal income tax only and do not include state taxes, Social Security, Medicare, or other deductions, so your actual paycheck will differ from the calculator output.

Related Tools

💰