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Have you noticed your take-home pay growing slightly, even if your salary has not changed? If so, it may be due to Updated income tax brackets From the Internal Revenue Service.
IRS recently updated tax brackets and the usual deduction for 2025. Depending on your income level, it means your salary and Tax liability may change.
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Even if your salary has not changed, you may get off a lower tax bracket this year, effectively reducing your tax rate. That change can lead to a slight increase in the amount of money you will bring to each salary period.
Normal for the IRS to make changes to the tax code each year to account for Inflation. This will help to avoid ”Tax bracket creep” – that is when inflation pushes you into a higher tax bracket Without real income increases.
New tax changes have lived live on January 1. Here's all you need to know about this year's income tax brackets, the standard increase in reduction and how tax changes will affect your money.
Read more: Best Tax Software 2025: TurBotax led the pack, but these options can work better for you
How changes to the tax code affect your salary
When the IRS raises federal income tax brackets, you can fall into a different tax bracket than you did last year – even if your income remained the same.
For example, if you made $ 48,000 last year, you fell into a 22% tax bracket. But if your income stays at the same level throughout 2025, you want to go down to the 12% bracket. This means that you are in the hook for fewer federal taxes and will have less money removed from your salary.
If you do more than 2025 than you did in 2024, the amount of your salary will determine where you will fall. You can still fall into a lower tax bracket or both tax brackets. In some cases, your tax bracket and tax rate may increase.
Read more: Be sure to claim all your tax credits to get the biggest tax refund possible
2025 income tax bracket
Your federal income tax bracket helps to determine how much you pay in taxes for a given tax year, excluding standard deduction or any Itemized tax deduction.
2025 income tax brackets for single filers
| Income tax | Federal tax rate |
|---|---|
| $ 11,925 or fewer | 10% |
| $ 11,926 up to $ 48,475 | $ 1,192.50 with 12% of income over $ 11,925 |
| $ 48,476 to $ 103,350 | $ 5,578.50 with 22% of income over $ 48,475 |
| $ 103,351 to $ 197,300 | $ 17,651 with 24% of income over $ 103,350 |
| $ 197,301 to $ 250,525 | $ 40,199 with 32% of income over $ 197,300 |
| $ 250,526 to $ 626,350 | $ 57,231 with 35% of income over $ 250,525 |
| $ 626,351 or more | $ 609,350 $ 188,769.75 with 37% of income over $ 626,350 |
2025 income tax brackets for wedding filers, file a joint
| Income tax | Federal tax rate |
|---|---|
| $ 23,850 or less | 10% |
| $ 23,851 to $ 96,950 | $ 2,385 with 12% of income over $ 23,850 |
| $ 96,951 to $ 206,700 | $ 11,157 with 22% of income over $ 96,950 |
| $ 206,701 to $ 394,600 | $ 35,302 with 24% of income over $ 206,700 |
| $ 394,601 to $ 501,050 | $ 80,398 with 32% of income over $ 394,600 |
| $ 501,051 to $ 751,600 | $ 114,462 with 35% of income over $ 501,050 |
| $ 751,601 or more | $ 202,154.50 with 37% of income over $ 751,600 |
2025 income tax brackets for head of household filers
| Income tax | Federal tax rate |
|---|---|
| $ 17,000 or fewer | 10% |
| $ 17,001 to $ 64,850 | $ 1,700 with 12% of income over $ 17,000 |
| $ 64,851 to $ 103,350 | $ 7,442 with 22% of income over $ 64,850 |
| $ 103,351 to $ 197,300 | $ 15,912 with 24% of income over $ 103,350 |
| $ 197,301 to $ 250,500 | $ 38,460 with 32% of income over $ 197,300 |
| $ 250,501 to $ 626,350 | $ 55,484 with 35% of income over $ 250,500 |
| $ 626,351 or more | $ 187,031.50 with 37% of income over $ 626,350 |
2025 standard reduction
For 2025, the standard tax deduction for single filers raised to $ 15,000, an increase of $ 400 from 2024. For wedding and filing together, the usual reduction has risen to $ 30,000, up to $ 800 from last year.
The standard reduction of IRS
| File Status | 2024 | 2025 |
|---|---|---|
| Single or married, separately file | $ 14,600 | $ 15,000 |
| Married, filing together | $ 29,200 | $ 30,000 |
| Head of household | $ 21,900 | $ 22,500 |
Source for all charts: IRS (PDF).
Most taxpayers with Simple tax return Image the standard reduction, reducing their income that can be taxed. If you receive your wages only from an employer as a W-2 employee, the standard reduction is usually the best way to maximize your tax refund. If you are self -employed Or there are specific deductions that you want to claim, you will see your deductions instead.
Read more: Should you include your taxes instead of taking the usual deduction?
Other 2025 Tax Changes That Can Help You
There are other tax changes that occur next year that may put more money on your salary. If you collect social security, you will receive a 2.5% cost-of-living-adjustment in 2025. The income tax credit also increased to $ 8,046 for filers with three or more qualified children.
Excluding foreign income, taxation on tax credits, annual exclusion for gifts and credit adoption has also increased.
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