DayCents

Tax Bracket

A tax bracket is an income range taxed at a specific rate. The U.S. system is progressive, so moving into a higher bracket only taxes the income above that threshold at the higher rate — not your entire income. That's why a raise never leaves you with less take-home pay.

For a single filer in 2026 the federal bands run 10% to $12,400 of taxable income, 12% to $50,400, 22% to $105,700, 24% to $201,775, then 32%, 35% and 37%. Income is sliced across them rather than assigned to one: taxable income of $58,900 is taxed at 10% on the first $12,400, 12% on the next slice, and 22% only on the part above $50,400. Note that the thresholds apply to taxable income — after the standard or itemized deduction — not to salary, which is why the bracket you are “in” is lower than your pay suggests. The bands are adjusted for inflation each year.