The IRS announced the 2026 federal income-tax brackets and inflation-adjusted tax amounts on October 9, 2025. For income earned during tax year 2026, the seven individual federal income-tax rates remain 10%, 12%, 22%, 24%, 32%, 35% and 37%. The 2026 standard deduction rises to $16,100 for single taxpayers and married couples filing separately, $32,200 for married couples filing jointly and qualifying surviving spouses, and $24,150 for heads of household.
These figures generally apply to 2026 income reported on tax returns filed in 2027—not automatically to 2025 returns filed during the 2026 filing season. The IRS announcement covers more than 60 provisions, while Revenue Procedure 2025-32 provides the detailed calculations.
IRS Announces 2026 Tax Brackets, Standard Deductions and Other Inflation Adjustments
Important date distinction: The 2026 brackets apply to taxable income earned from January 1 through December 31, 2026, and generally to returns filed in 2027. A return filed in 2026 for income earned during 2025 uses the 2025 tax rules.
2025 tax year versus 2026 tax year
Tax-year labels can be confusing because the return is usually filed after the year in which the income was earned:
#1 Best Overall
- Tax year 2025: income earned in 2025, generally reported on a return filed in 2026.
- Tax year 2026: income earned in 2026, generally reported on a return filed in 2027.
If you are preparing a 2025 return during 2026, do not substitute the 2026 bracket table or 2026 standard deduction. The 2025 standard deduction, as adjusted under the One, Big, Beautiful Bill Act, is $15,750 for single taxpayers and married individuals filing separately, $31,500 for joint filers and qualifying surviving spouses, and $23,625 for heads of household.
The One, Big, Beautiful Bill Act also changed some 2025 provisions retroactively or prospectively. That means a 2025 return may reflect new law, but it still uses the 2025 tax-year tables. See the IRS guidance on 2025 tax bills and refunds for filing-season developments.
2026 federal income-tax brackets at a glance
The seven marginal federal income-tax rates are unchanged for 2026. The income thresholds have moved upward primarily because of inflation adjustments, and the One, Big, Beautiful Bill Act made the post-2017 rate structure permanent. The rates apply to taxable income, not directly to salary, gross income or household income.
| Filing status | 10% | 12% | 22% | 24% | 32% | 35% | 37% |
|---|---|---|---|---|---|---|---|
| Single | Up to $12,400 | Over $12,400–$50,400 | Over $50,400–$105,700 | Over $105,700–$201,775 | Over $201,775–$256,225 | Over $256,225–$640,600 | Over $640,600 |
| Married filing jointly or qualifying surviving spouse | Up to $24,800 | Over $24,800–$100,800 | Over $100,800–$211,400 | Over $211,400–$403,550 | Over $403,550–$512,450 | Over $512,450–$768,700 | Over $768,700 |
| Head of household | Up to $17,700 | Over $17,700–$67,450 | Over $67,450–$105,700 | Over $105,700–$201,750 | Over $201,750–$256,200 | Over $256,200–$640,600 | Over $640,600 |
| Married filing separately | Up to $12,400 | Over $12,400–$50,400 | Over $50,400–$105,700 | Over $105,700–$201,775 | Over $201,775–$256,225 | Over $256,225–$384,350 | Over $384,350 |
Source: Revenue Procedure 2025-32 and the IRS federal income-tax rate page.
Do these 3 things before closing this tab:
1Scan for outdated or missing drivers - takes under a minute2Repair Windows errors before they cause bigger problems3Fix the driver behind crashes, sound loss and screen glitchesWhat a marginal tax bracket actually means
Being in the 22% bracket does not mean that 22% applies to every dollar you earn. The federal system is layered: each rate applies only to the portion of taxable income within that bracket. A raise that takes some income into a higher bracket does not re-tax your earlier income at the higher rate.
Your highest bracket is your marginal rate. Your effective rate is the average rate paid across the relevant income base. Credits, deductions and other taxes can make the final effective rate different from the highest marginal rate.
2026 standard deduction amounts
The standard deduction reduces taxable income. It is not a tax credit, so it does not reduce your tax bill dollar for dollar. In most cases, a taxpayer uses either the standard deduction or itemized deductions, not both.
| Filing status | 2025 | 2026 | Increase |
|---|---|---|---|
| Single | $15,750 | $16,100 | $350 |
| Married filing separately | $15,750 | $16,100 | $350 |
| Married filing jointly or qualifying surviving spouse | $31,500 | $32,200 | $700 |
| Head of household | $23,625 | $24,150 | $525 |
For taxpayers who itemize, the standard deduction is a comparison point rather than an automatic deduction. Potential itemized deductions include mortgage interest, state and local taxes, charitable contributions and qualifying medical expenses. Married taxpayers filing separately generally must use the same deduction method as their spouse; if one spouse itemizes, the other generally cannot claim the standard deduction. The IRS Publication 501 and Topic 501 explain the rules.
Additional standard deduction for age or blindness
For 2026, the additional standard-deduction amount is:
- $1,650 for each qualifying age-or-blindness addition in the applicable category.
- $2,050 for an unmarried taxpayer who is not a surviving spouse and qualifies for an age-or-blindness addition.
These amounts are separate from the temporary senior deduction created by the One, Big, Beautiful Bill Act. A qualifying taxpayer who is both age 65 or older and blind may generally qualify for two additional standard-deduction additions, subject to the applicable filing-status rules.
Standard-deduction limit for dependents
A dependent’s 2026 standard deduction generally cannot exceed the greater of $1,350 or the dependent’s earned income plus $450, subject to the regular standard-deduction ceiling for the dependent’s filing status. A dependent therefore may not be entitled to the full $16,100 single-filer amount.
How to estimate tax from the 2026 brackets
The bracket table is only one step in a tax calculation. The general sequence is:
- Start with gross income, including wages, interest, dividends, business income, pensions and other taxable income.
- Subtract eligible adjustments to arrive at adjusted gross income, or AGI.
- Subtract the standard deduction or itemized deductions to determine taxable income.
- Apply the ordinary-income brackets and any separate capital-gains rates.
- Subtract eligible tax credits.
- Add other applicable taxes, such as self-employment tax, the net investment income tax or additional Medicare tax.
- Compare total tax with withholding and estimated payments to determine whether you receive a refund or owe a balance.
Example: single taxpayer with $100,000 of wages
Assume a single taxpayer has $100,000 of wages, no other income or adjustments, no itemized deductions and no credits. Subtracting the 2026 standard deduction produces approximately $83,900 of taxable income:
$100,000 − $16,100 = $83,900
The ordinary income tax is calculated in layers:
- 10% of the first $12,400 = $1,240;
- 12% of the next $38,000 = $4,560;
- 22% of the remaining $33,500 = $7,370.
The total is approximately $13,170 of regular federal income tax before credits and other tax items. The taxpayer’s marginal rate is 22%, but $13,170 is only 13.17% of the $100,000 wage income. It is about 15.7% of taxable income. Neither figure is a complete final effective tax rate because payroll taxes, state taxes, credits, retirement contributions and other provisions have been excluded.
Example: married couple filing jointly
Assume a joint return with $100,000 of wages, no adjustments, no credits and the 2026 standard deduction. Taxable income is approximately $67,800:
$100,000 − $32,200 = $67,800
The estimated regular income tax is $2,480 on the first $24,800 plus $5,160 on the remaining $43,000, for approximately $7,640 before credits and other taxes. This illustrates why filing status matters: the bracket thresholds and standard deduction are different from those for a single taxpayer.
Recommended Free Tools
Example: a qualifying senior taxpayer
Assume a single taxpayer age 65 or older has $60,000 of wages, $60,000 of modified AGI, no other adjustments, no credits and no itemized deductions. The taxpayer receives the $16,100 standard deduction, a $2,050 age addition for an unmarried non-surviving-spouse taxpayer, and the full $6,000 senior deduction. Taxable income would be approximately $35,850:
$60,000 − $16,100 − $2,050 − $6,000 = $35,850
Estimated regular income tax before credits would be approximately $4,054. Under these simplified assumptions, the $6,000 senior deduction reduces regular income tax by about $720 because the affected dollars fall in the 12% bracket. Actual results can differ because the senior deduction phases out at higher income and because retirement distributions, Social Security benefits, capital gains, Medicare premiums and other tax items affect planning.
2026 long-term capital-gains thresholds
Long-term capital gains generally use a separate rate structure from wages, interest, pensions and short-term gains. For 2026, the maximum taxable-income thresholds for the 0% and 15% long-term capital-gains rates are:
Free tools Windows power users keep installed
One-click scans. No signup required.
| Filing status | 0% rate applies up to taxable income of | 15% rate applies up to taxable income of |
|---|---|---|
| Single and other individuals | $49,450 | $545,500 |
| Married filing jointly or qualifying surviving spouse | $98,900 | $613,700 |
| Married filing separately | $49,450 | $306,850 |
| Head of household | $66,200 | $579,600 |
| Estates and trusts | $3,300 | $16,250 |
The 20% long-term capital-gains rate generally applies above the 15% threshold, subject to the capital-gains rules and exceptions. A taxpayer can have ordinary income in one bracket while long-term gains are taxed partly at 0%, 15% or 20%. The 3.8% net investment income tax may also apply to certain higher-income taxpayers; it is not included in the ordinary bracket table.
2026 Alternative Minimum Tax amounts
The alternative minimum tax, or AMT, is a separate calculation that can limit the benefit of certain deductions and preferences. The 2026 exemption amounts and phaseout thresholds are:
Rank #3
- Used Book in Good Condition
| Filing status | AMT exemption | Exemption begins phasing out | Complete phaseout |
|---|---|---|---|
| Married filing jointly or qualifying surviving spouse | $140,200 | $1,000,000 | $1,280,400 |
| Unmarried individual | $90,100 | $500,000 | $680,200 |
| Married filing separately | $70,100 | $500,000 | $640,200 |
| Estate or trust | $31,400 | $104,800 | $167,600 |
The 28% AMT rate begins above $244,500 for most taxpayers and above $122,250 for married individuals filing separately. Taxpayers with substantial deductions, incentive stock options, certain business interests or high income may need an AMT calculation rather than relying only on the regular bracket table.
2026 Child Tax Credit and Earned Income Tax Credit
Child Tax Credit
The maximum 2026 Child Tax Credit is $2,200 per qualifying child. The refundable portion used in the calculation is $1,700. Eligibility, qualifying-child requirements, income phaseouts and refundability rules still apply; the maximum amount is not automatically available to every taxpayer with a dependent.
Earned Income Tax Credit
The 2026 EITC amounts and phaseout ranges are shown below. The other-status columns generally refer to eligible filing statuses other than married filing jointly; married filing separately generally cannot claim the EITC.
| Qualifying children | Maximum credit | Maximum earned-income amount | MFJ phaseout begins | MFJ phaseout ends | Other-status phaseout begins | Other-status phaseout ends |
|---|---|---|---|---|---|---|
| None | $664 | $8,680 | $18,140 | $26,820 | $10,860 | $19,540 |
| One | $4,427 | $13,020 | $31,160 | $58,863 | $23,890 | $51,593 |
| Two | $7,316 | $18,290 | $31,160 | $65,899 | $23,890 | $58,629 |
| Three or more | $8,231 | $18,290 | $31,160 | $70,244 | $23,890 | $62,974 |
The EITC is unavailable if specified investment income exceeds $12,200 in 2026. The credit also has earned-income, filing-status, age, Social Security number and qualifying-child requirements.
Other important 2026 deduction, exclusion and threshold amounts
| Provision | 2026 amount or threshold |
|---|---|
| Maximum adoption credit | $17,670 |
| Refundable portion of adoption credit | $5,120 |
| Health FSA salary-reduction limit | $3,400 |
| Health FSA carryover, if the plan permits it | $680 |
| Transit and commuter-vehicle exclusion | $340 per month |
| Qualified parking exclusion | $340 per month |
| Foreign earned-income exclusion | $132,900 |
| Annual gift-tax exclusion per recipient | $19,000 |
| Gift-tax exclusion for a spouse who is not a U.S. citizen | $194,000 |
| Estate-tax basic exclusion amount | $15,000,000 |
| Excess business-loss threshold | $256,000; $512,000 for joint returns |
| Student-loan interest deduction phaseout begins | $85,000 single; $175,000 joint |
| Student-loan interest deduction ends | $100,000 single; $205,000 joint |
These figures come primarily from the IRS 2026 inflation-adjustment announcement and Revenue Procedure 2025-32. Not every provision is an income-tax deduction, and some apply to transfer taxes, employee benefits or specialized taxpayers.
2026 retirement-plan limits
Retirement contribution limits are separate from tax brackets. A higher contribution limit tells you how much may go into a tax-favored account; it does not by itself guarantee that the contribution is deductible. The tax treatment depends on the account, the taxpayer’s income and whether the taxpayer or spouse participates in a workplace plan.
The Tool Desk
Outbyte Driver Updater FREEScan for outdated or missing drivers - takes under a minuteDriver Scan →Outbyte PC Repair FREEClear out junk files and repair common Windows errorsFree Scan →| Retirement provision | 2026 limit |
|---|---|
| 401(k), 403(b), governmental 457 and federal Thrift Savings Plan elective deferrals | $24,500 |
| General catch-up contribution for those plans, age 50 or older | $8,000 |
| Special catch-up contribution for ages 60 through 63 | $11,250 |
| IRA contribution limit | $7,500 |
| IRA catch-up contribution | $1,100 |
| SIMPLE IRA or SIMPLE 401(k) standard salary-reduction limit | $17,000 |
| Defined-contribution annual additions limit | $72,000 |
| Defined-benefit annual benefit limit | $290,000 |
| SEP minimum compensation threshold | $800 |
The IRS summarizes the limits in its 2026 retirement-plan announcement, with technical details in Notice 2025-67.
2026 IRA deduction and Roth IRA phaseouts
These are MAGI phaseout ranges, not ordinary tax brackets:
- Traditional IRA deduction when the taxpayer is covered by a workplace plan: $81,000–$91,000 for single taxpayers and heads of household.
- Traditional IRA deduction for joint filers when the contributing spouse is covered: $129,000–$149,000.
- Traditional IRA deduction when the contributor is not covered but the spouse is covered: $242,000–$252,000.
- Traditional IRA deduction for a married taxpayer filing separately who is covered: $0–$10,000.
- Roth IRA contribution phaseout: $153,000–$168,000 for single taxpayers and heads of household.
- Roth IRA contribution phaseout for joint filers: $242,000–$252,000.
The ability to contribute to a Roth IRA and the ability to deduct a traditional IRA contribution are different questions. Review filing status, MAGI and workplace-plan coverage before deciding how much to contribute.
2026 HSA, HDHP and employee-benefit limits
For 2026, HSA contribution limits are $4,400 for self-only coverage and $8,750 for family coverage. The limits include both employer and employee contributions.
What’s actually slowing this PC down?
Pick the symptom - the matching free tool is one click away.
| Coverage | Minimum deductible | Maximum out-of-pocket limit |
|---|---|---|
| Self-only | $1,700 | $8,500 |
| Family | $3,400 | $17,000 |
These are general HDHP requirements; a plan must meet the applicable rules for HSA eligibility. See Revenue Procedure 2025-19.
Separate statutory changes under the One, Big, Beautiful Bill Act expand HSA eligibility beginning in 2026 for certain bronze and catastrophic plans and address telehealth, remote care and direct-primary-care arrangements. These are legal eligibility changes, not ordinary inflation adjustments. The applicable details are in the IRS Working Families Tax Cuts materials and Notice 2026-05.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Important One, Big, Beautiful Bill provisions that are not merely inflation adjustments
The IRS announcement combines routine annual indexing with provisions affected by new legislation. The distinction matters: an inflation adjustment usually changes a dollar threshold, while a statutory provision can create a new deduction, alter eligibility or impose a temporary expiration date.
Additional senior deduction
For tax years 2025 through 2028, an eligible taxpayer age 65 or older may claim an additional deduction of up to $6,000 per person. A joint return can claim up to $12,000 if both spouses qualify. The deduction is available whether the taxpayer itemizes or claims the standard deduction.
Crashes, No Sound, or Screen Glitches?
Random freezes, missing sound and display glitches usually trace back to one bad driver. Find and replace yours safely.Free scan · under a minutePC Slower Than It Used to Be?
A free scan shows the junk files, broken settings and background clutter dragging Windows down - then fixes them in one click.Free scan · Windows 10 & 11The senior deduction phases out above modified AGI of $75,000 for single taxpayers and $150,000 for joint filers. It is separate from the existing age-65 standard-deduction addition. It also does not make Social Security benefits automatically tax-free; Social Security taxation and the senior-deduction eligibility calculation are separate issues.
Qualified tips
For 2025 through 2028, eligible workers may deduct up to $25,000 of qualified tips. The deduction phases out above MAGI of $150,000, or $300,000 for joint filers. Occupation, reporting, filing-status and Social Security number requirements apply.
The phrase no tax on tips is shorthand for a limited deduction. It does not mean every type of tip is excluded from every federal tax, and the deduction does not remove other eligibility or reporting obligations. The IRS describes the filing mechanics through Schedule 1-A guidance.
Qualified overtime
The qualified-overtime deduction is limited to $12,500 per return or $25,000 for a joint return. It applies to qualified overtime compensation required under the Fair Labor Standards Act, generally the premium portion above an employee’s regular rate—not necessarily all compensation received for hours worked beyond a normal schedule.
Quick wins for a faster PC:
Repair Windows errors before they cause bigger problemsFix Now →Fix the driver behind crashes, sound loss and screen glitchesFind Drivers →For 2026 and later, employers and payers must separately report qualified overtime compensation. Employees should keep pay records and review their year-end reporting. The IRS overtime FAQs explain the definition, limits and reporting rules.
Car-loan interest
For 2025 through 2028, taxpayers may deduct up to $10,000 of qualifying interest on certain loans for new, personal-use vehicles assembled in the United States. The deduction is available to itemizers and non-itemizers, but lease payments do not qualify. It phases out above MAGI of $100,000 for single taxpayers and $200,000 for joint filers.
This is a deduction for qualifying interest, not a deduction for the vehicle’s purchase price or monthly lease payment. Check the vehicle and loan requirements in the IRS Treasury guidance.
SALT, charitable deductions and itemizing
The One, Big, Beautiful Bill Act increased the state-and-local-tax deduction limit and provides inflation adjustments for later years, with special rules for married individuals filing separately and higher-income taxpayers. The exact benefit depends on filing status, income, the type of taxes paid and the applicable limitation.
Beginning in 2026, some taxpayers who do not itemize can claim a new charitable-contribution deduction. Itemized deductions also receive new statutory limitations for certain high-income taxpayers. Because these rules can change the standard-deduction-versus-itemizing decision, compare the standard deduction with mortgage interest, SALT, charitable gifts, qualifying medical expenses and other Schedule A items using current IRS Publication 6079 and the current Schedule A instructions.
Qualified business income
The qualified business income deduction was made permanent and received new minimum-deduction and eligibility rules. Pass-through owners, partners, S corporation shareholders and sole proprietors should review the applicable QBI thresholds and phase-in ranges rather than assuming that their individual marginal bracket determines the deduction. The QBI deduction is separate from the ordinary income-tax bracket calculation.
Clean-energy credits and transition rules
Some clean-energy-credit provisions were also affected by the new law. Availability can depend on factors such as the type of property and when it is acquired, placed in service or otherwise meets the statutory requirements. Do not assume that a credit remains available simply because an expense occurs during 2026. Check current IRS guidance, the relevant credit form and the applicable transition rules before making a purchase or claiming a credit.
What taxpayers should do for 2026
Employees
- Use the 2026 tables for income earned during 2026, not for the 2025 return filed in 2026.
- Review Form W-4 if your filing status, dependents, wages, bonuses, overtime, tips, investment income or deductions change.
- Use the IRS Tax Withholding Estimator, which was updated for the new deductions and credits.
- Remember that withholding controls the timing of payments. A larger refund does not necessarily mean a lower final tax bill, and a smaller refund does not necessarily mean higher final tax.
Retirees
- Check whether you qualify for the temporary $6,000 senior deduction and whether the phaseout reduces it.
- Calculate it separately from the existing age-65 standard-deduction addition.
- Consider how IRA and 401(k) distributions, Roth conversions, Social Security benefits, capital gains and Medicare premiums interact with your income.
- Do not describe the senior deduction as making Social Security tax-free in all circumstances.
Investors
- Use ordinary brackets for wages, interest, pensions and short-term gains.
- Use the separate long-term capital-gains thresholds for qualifying long-term gains.
- Allow for the 3.8% net investment income tax where applicable.
- Check AMT exposure if you have high income, substantial deductions or incentive stock options.
- Remember that the IRS tables cover federal taxes only; state capital-gains and income-tax rules are separate.
Self-employed people and small-business owners
- Review the QBI rules, income thresholds and phase-in ranges.
- Check the $256,000 excess business-loss threshold, or $512,000 for joint returns.
- Coordinate retirement contributions with estimated taxable income and business cash flow.
- Use the 2026 Publication 505 estimated-tax guidance rather than treating the individual bracket table as a complete business-tax calculation.
- Budget separately for self-employment tax, which is not eliminated by the standard deduction.
Itemizers
Recalculate whether itemizing is worthwhile under the new SALT rules and other statutory limitations. Compare your total mortgage interest, state and local taxes, charitable contributions, deductible medical expenses and other Schedule A deductions with the standard deduction for your filing status. For married couples filing separately, verify that both spouses use the required deduction method.
Common 2026 tax-planning mistakes
- Using 2026 figures for a 2025 return: A return filed in 2026 for 2025 income uses 2025 tax rules.
- Applying brackets to salary: Brackets apply after eligible adjustments and deductions produce taxable income.
- Applying the highest rate to all income: Only the dollars in the higher layer receive the higher marginal rate.
- Confusing a deduction with a credit: A deduction reduces taxable income; a credit reduces tax directly.
- Ignoring filing status: Single, head-of-household, joint and married-filing-separately thresholds are different.
- Forgetting age or blindness additions: These are added separately to the ordinary standard deduction.
- Ignoring dependent limitations: A dependent’s standard deduction may be much smaller than the regular amount.
- Calling every OBBBA provision tax-free income: Tips, overtime, car-loan interest and senior provisions are limited deductions with eligibility rules and phaseouts.
- Assuming the standard deduction eliminates payroll taxes: It generally affects federal income tax, not Social Security and Medicare withholding.
- Using an old unofficial chart: The revenue procedure reflects law in effect on October 9, 2025 and warns that later legislation could require additional guidance.
What these numbers do—and do not—tell you
The 2026 tables are useful for estimating regular federal income tax, planning retirement and HSA contributions, reviewing itemization and adjusting withholding. They are not a complete tax return. Your final result may also depend on state tax, payroll tax, self-employment tax, the net investment income tax, AMT, capital gains, credits, deductions, income phaseouts and the timing of withholding or estimated payments.
As of August 9, 2026, the core 2026 rate schedules remain the figures in Revenue Procedure 2025-32 and the IRS’s current rate materials. Because tax legislation or subsequent IRS guidance can change the result, confirm the applicable form instructions and official IRS guidance before filing or making a major tax decision.
Frequently Asked Questions
Do the 2026 tax brackets apply to a tax return filed in 2026?
Usually no. The 2026 brackets apply to income earned during 2026 and generally reported on a return filed in 2027. A return filed in 2026 for income earned during 2025 uses the 2025 tax-year rules.
If I enter the 22% tax bracket, is all of my income taxed at 22%?
No. Federal tax brackets are marginal. The 10% and 12% layers are applied first, and only the taxable income within the 22% layer is taxed at 22%.
What’s actually slowing this PC down?
Pick the symptom - the matching free tool is one click away.
Is the 2026 standard deduction a tax credit?
No. A deduction reduces taxable income. A tax credit reduces tax directly. Your filing status, other deductions, credits and income determine the actual value of the standard deduction.
Are tips and overtime completely tax-free in 2026?
No. The new rules provide limited deductions for qualified tips and qualified overtime, subject to dollar limits, income phaseouts, reporting and other eligibility requirements. They are not blanket exclusions from every federal tax.
The Bottom Line
Bottom line: For income earned in 2026, the federal individual rates remain 10% through 37%, while the income thresholds and standard deduction increase. The standard deduction is $16,100 for single and married-filing-separately taxpayers, $32,200 for joint filers and qualifying surviving spouses, and $24,150 for heads of household. Use taxable income—not salary—to identify your bracket, keep the 2025 return separate from 2026 planning, and review withholding, estimated payments, retirement contributions, itemized deductions and any OBBBA deductions that apply to your situation.
Quick Recap
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
