Federal Tax Brackets 2020

The Internal Revenue Service released the tax brackets that will be used for the 2019 taxes. As usual, there is a slight increase in all brackets while the marginal rates remain the same. This is one of the tax provisions that the IRS adjusts each year.

The increase in all brackets is a little bit higher than the increase in the standard deduction. While the standard deduction increase for 2020 is $200 which is an increase of under 2 percent, the increase projected on tax brackets is higher. The percentage of the increase in 2020 Federal Tax Brackets is about 3.5% in most brackets.

Although the increase is minor, this might be due to the total tax revenue of the U.S. In 2019, less tax was collected compared to previous years and given that the increase is higher than what you can deduct this year, Uncle Sam is going to get more tax money this year. Unless your income has shifted significantly though, the amount of taxes that you’re going to pay remains pretty much the same as last year.

2020 IRS Income Tax Tables

Here are the tax brackets that you will use in 2020 for all filers; single, head of household, married filing jointly, married filing separately, qualifying widow and widowers.

Single and Separate Tax Brackets 2020

Marginal Tax RateSingle – Married Filing Separately
10%$0 – $9,875
12%$9,876 – $40,125
22%$40,126 – $85,525
24%$85,526 – $163,300
32%$163,301 – $207,350
35%$207,351 – $518,400
37%$518,401 and higher

Joint Filers and Qualifying Widow(er)s

Marginal Tax RateMarried Filing Jointly and Qualifying Widow(er)
10%$0 – $19,750
12%$19,751 – $80,250
22%$80,251 – $171,050
24%$171,051 – $326,600
32%$326,601 – $414,700
35%$414,701 – $622,050
37%$622,051 and higher

Head of Household

Marginal Tax RateHead of Household
10%$0 -$14,100
12%$14,101 – $53,700
22%$53,701 – $85,500
24%$85,501 – $163,300
32%$163,301 – $207,350
35%$207,351 – $518,400
37%$518,401 and higher

How to find your tax bracket

Tax brackets do not refer to how much you’ve earned throughout the year. Instead, you must use your Adjusted Gross Income which is your taxable income. Simply subtract all the deduction amounts you can claim from your income and you’ll have your taxable income.

From there on, you’ll know what your income places you in tax brackets and then you can calculate your total tax bill. If your tax withholdings on your W-4 exceeds your tax liability for this year, you’ll get a tax refund. If not, you’ll need to make up the rest.


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