Making Sense of Tax Rates Source: Internal Revenue Service, 2022 2023 Tax Tables Tax rate 10% Up to $11,000 Up to $22,000 12% Over $11,000 up to $44,725 Over $22,000 up to $89,450 22% Over $44,725 up to $95,375 Over $89,450 up to $190,750 24% Over $95,375 up to $182,100 Over $190,750 up to $364,200 32% Over $182,100 up to $231,250 Over $364,200 up to $462,500 35% Over $231,250 up to $578,125 Over $462,500 up to $693,750 37% Over $578,125 Over $693,750 Joint filers Single filers Income tax brackets and income thresholds Whether you are finalizing a yearly tax return or making key financial decisions, you might consider the difference between marginal and effective tax rates. The United States has a progressive tax system, whichmeans that tax rates increase as household income rises (see below). For example, if a married couple files jointly and has a taxable income of $100,000 in 2023 (after applicable deductions and exemptions), they fall into the 22% tax bracket. However, they will not pay this rate on all of their income, only on the amount over $89,450. In this case, 22% is their marginal tax rate or top tax rate.