2022 Tax Brackets
It's never too early to start looking at your tax obligations for the coming tax season. The information below is for the 2022 tax year, which will be filed in 2023 for most taxpayers.
The tax rates themselves didn't change from 2021 to 2022. The seven 2021 tax rates remain the same for the 2022 tax year, but the tax bracket ranges were adjusted due to inflation. Because of this change, it is possible you could be in a different tax bracket for 2022, even if your income has remained the same.1
Tax Brackets Are Marginal
The IRS breaks your income into different pieces to apply the tax rates. Each increasing portion of your income will have an increased tax rate. As an example, if you are a single filer who made $41,125, your first $10,275 will be taxed at 10%. The next portion of your income will be taxed at an increased rate. Earnings from $10,276 to $41,775 will be taxed at 12%.
As your income increases, you’ll be subject to higher tax brackets and will have a higher tax rate applied to each portion of your income.
How Could My Tax Bracket Be Different?
It is common for the IRS to adjust tax brackets to take inflation into consideration. This is due to the fact that with inflation, people face higher prices, meaning the dollar’s purchasing power is decreased. Because of this, the IRS adjusts tax brackets to avoid bracket creep, an occurrence that arises when inflation pushes a tax payer’s income into a higher tax bracket, or reduces credits and deductions for the taxpayer. In this bracket creep scenario, individuals may not actually experience increased purchasing power or have greater disposable income, even after receiving an increase in wages and salaries.1
2022 Tax Brackets
Listed below are the 2022 tax brackets, according to your filing status and income.1
10% Tax Rate
- Single Individuals: from $0 to $10,275
- Married Individuals Filing Jointly: from $0 to $20,550
- Heads of Households: from $0 to $14,650
- Married Individuals Filing Separately: from $0 to $10,275
12% Tax Rate
- Single Individuals: from $10,276 to $41,775
- Married Individuals Filing Jointly: from $20,551 to $83,550
- Heads of Households: from $14,651 to $55,900
- Married Individuals Filing Separately: from $10,276 to $41,775
22% Tax Rate
- Single Individuals: from $41,776 to $89,075
- Married Individuals Filing Jointly: from $83,551 to $178,150
- Heads of Households: from $55,901 to $89,050
- Married Individuals Filing Separately: from $41,776 to $89,075
24% Tax Rate
- Single Individuals: from $89,076 to $170,050
- Married Individuals Filing Jointly: from $178,151 to $340,100
- Heads of Households: from $89,051 to $170,050
- Married Individuals Filing Separately: from $89,076 to $170,050
32% Tax Rate
- Single Individuals: from $170,051 to $215,950
- Married Individuals Filing Jointly: from $340,101 to $431,900
- Heads of Households: from $170,051 to $215,950
- Married Individuals Filing Separately: from $170,051 to $215,950
35% Tax Rate
- Single Individuals: $215,951 to $539,900
- Married Individuals Filing Jointly: from $431,901 to $647,850
- Heads of Households: from $215,951 to $539,900
- Married Individuals Filing Separately: from $215,951 to $323,925
37% Tax Rate
- Single Individuals: over $539,901
- Married Individuals Filing Jointly: over $647,851
- Heads of Households: over $539,901
- Married Individuals Filing Separately: over $323,926
The IRS also changed the standard deductions. Keep in mind, the above rates and brackets are at the federal level, different states might have varying brackets and rates.