Federal Income Tax Brackets

Tax rates apply to taxable income (after deductions). 2026 brackets for MFJ: 10% up to $24,800; 12% up to $100,800; 22% up to $211,400; 24% up to $403,550; 32% up to $512,450; 35% up to $768,700; 37% over $768,700. For single filers, brackets are roughly half of MFJ thresholds.

Standard Deduction and Key Deductions

• Standard deduction: $32,200 (MFJ) / $16,100 (single)
• Additional deduction (age 65+ or blind): $1,650 per married taxpayer / $2,050 for unmarried taxpayers
• SALT deduction cap: $10,000–$40,400 (phaseout begins at $505,000 MAGI)
• Senior deduction (65+): $6,000 per eligible individual (phaseout: $75,000–$175,000 single / $150,000–$250,000 MFJ)
• Charitable deduction (non-itemizers): $1,000 (single) / $2,000 (MFJ)
• Overtime deduction: $12,500 (single) / $25,000 (MFJ) — phaseout at $150,000/$300,000 MAGI
• Tips deduction: $25,000 — phaseout at $150,000/$300,000 MAGI
• Car loan interest deduction: $10,000 on U.S.-assembled vehicles — phaseout at $100,000/$200,000 MAGI
• QBI deduction: Up to 20% of QBI ($400 minimum) — SSTB phaseout at $201,750–$276,750 (single) / $403,500–$553,500 (MFJ)

Capital Gains and Investment Taxes

• Long-term capital gains: 0% (MFJ up to $98,900 / single up to $49,450), 15% up to $613,700/$545,500, 20% above those thresholds
• 3.8% Net Investment Income Tax: MAGI above $250,000 (MFJ) / $200,000 (single)
• AMT exemption: $140,200 (MFJ) / $90,100 (single); 28% rate on income over $244,500
• AMT phaseout: Begins at $1,000,000 (MFJ) / $500,000 (single)

Retirement Plan Limits

• 401(k)/403(b)/457 elective deferrals: $24,500 + $8,000 catch-up (age 50+) / $11,250 enhanced catch-up (ages 60–63)
• Defined contribution plan limit: $72,000 per participant ($360,000 eligible comp limit)
• SIMPLE IRA: $17,000 ($18,100 with 10% increase), $4,000 catch-up ($5,250 for ages 60–63)
• SEP IRA: 25% of compensation / $72,000 max
• Traditional and Roth IRA: $7,500 / $1,100 catch-up (age 50+)
• Roth IRA eligibility phaseout: $153,000–$168,000 (single) / $242,000–$252,000 (MFJ)
• QCD limit: $111,000 per year
• QLAC limit: $210,000 (lifetime)

Social Security and Medicare

• SS Full Retirement Age: 67 (born 1960 or later)
• SS COLA: 2.8%
• SS provisional income (50% taxable): $32,000–$44,000 (MFJ) / $25,000–$34,000 (single)
• SS earnings limit below FRA: $24,480 / reaching FRA: $65,160
• Medicare Part B base premium: $202.90/month
• IRMAA surcharges: Begin at $218,000 (MFJ) / $109,000 (single) 2024 MAGI

HSA, FSA, and Education

• HSA contributions: $4,400 (individual) / $8,750 (family) / $1,000 catch-up (age 55+)
• Health FSA: $3,400 ($680 carryover limit)
• Dependent Care FSA: $7,500
• Trump Account (under 18): $5,000
• American Opportunity Tax Credit: 100% of first $2,000 + 25% of next $2,000 — phaseout at $80,000–$90,000 (single)
• Lifetime Learning Credit: 20% of first $10,000 — same phaseout range
• Student loan interest deduction: $2,500 — phaseout at $85,000–$100,000 (single)

Estate and Gift Tax

• Lifetime exemption: $15,000,000 (permanent)
• Estate tax rate: 40%
• Annual gift tax exclusion: $19,000 per donee