2025 Tax Brackets: What You Really Need to Know
What’s New for 2025?
The IRS didn’t raise tax rates in 2025—they’re still the same seven marginal rates: 10%, 12%, 22%, 24%, 32%, 35%, and 37%. What changed? The income thresholds got bumped up to account for inflation, helping prevent “bracket creep”—where inflation pushes you into a higher tax bracket despite no real increase in spending power.
Good news—the standard deduction also rose, making it easier to reduce your taxable income. Here’s how thing stack up…
Federal Tax Brackets for 2025
Single Filers
● 10%: up to $11,925
● 12%: $11,926 to $48,475
● 22%: $48,476 to $103,350
● 24%: $103,351 to $197,300
● 32%: $197,301 to $250,525
● 35%: $250,526 to $626,350
● 37%: over $626,350
Married Filing Jointly
● 10%: up to $23,850
● 12%: $23,851 to $96,950
● 22%: $96,951 to $206,700
● 24%: $206,701 to $394,600
● 32%: $394,601 to $501,050
● 35%: $501,051 to $751,600
● 37%: over $751,600
(Heads of Household brackets follow a similar inflation‑adjusted pattern.)
Standard Deduction for 2025
● Single: $15,000
● Married Filing Jointly: $30,000
● Head of Household: $22,500
These reflect modest bumps from 2024 and help you reduce your taxable income right off the bat.
Why Marginal vs. Effective Tax Rates Matter
Your marginal rate is the highest percentage you pay on the top slice of your income—but not on your entire income. Your effective tax rate is your true average rate across all income, which is always lower than your highest bracket rate.
Example for a single filer with $50,000 income:
First $11,925 taxed at 10%
Next portion (up to $48,475) taxed at 12%
Remaining amount taxed at 22%
So your overall tax rate ends up below 22%.
Planning Tips to Keep More of Your Money
● Max out your standard deduction—it’s a quick way to lower taxable income.
● Contribute to IRAs or 401(k)s to potentially stay in lower brackets.
● If possible, defer income to avoid jumping into a higher bracket this year.
● Take advantage of tax credits like Child Tax Credit, Education Credits, or Earned Income Tax Credit.
● Adjust your withholding early—so you don’t face a surprise tax bill next spring.
Why This Matters
Staying tax-smart in 2025 means keeping more of your money—whether you're single, married, freelancing, or managing a household. While tax rates held steady, threshold shifts make planning your move more potent than ever.
Want a breakdown tailored for freelancers (including self-employment taxes) or a simple example calculator? Just say the word—I’ve got you covered!