2018 Federal Income Tax Brackets and Standard Deduction

The 2018 tax brackets are out. Here are the federal income tax rates and standard deductions by tax filing status and income.

2018 tax brackets and standard deduction

Unless you’ve been living under a rock, you’ve probably heard rumblings of tax reform. Congress is currently trying to figure out how to simplify our labyrinthine tax system. But as that hasn’t happened yet, the federal income tax brackets and standard deduction for 2018 are only slightly changed.

The IRS announced 2018 changes, predictably, in October this year. It cites inflation as the cause of this year’s changes, which is typically the case. Maybe we’ll see a major overhaul in 2019, but we’re not quite there yet.

Remember, these numbers are for your 2018 taxes. So you should look at them if you’re changing your withholding for next year–starting on January 1, 2018. But you won’t actually file taxes using these numbers until the spring of 2019.

Personal Exemption and Phase-Out

For 2018, every taxpayer can take a personal exemption of $4,150, up from $4,050 in 2017. But remember that this exemption starts phasing out according to your total income. The exemption starts phasing out when your adjusted gross income reaches $266,700 for an individual or $320,000 for a married couple filing jointly. The personal exemption completely phases out for individuals earning $389,200 or married couples earning $442,500.

2018 Standard Deduction

The standard deduction is jumping a bit this year–by $300 for married couples filing jointly. Here are the standard deductions by tax filing status:

  • Married Filing Jointly/Surviving Spouse: $13,000
  • Heads of Households: $9,550
  • Single: $6,550
  • Married Filing Separately: $6,550

What if you’re still claimed as a dependent on someone else’s taxes? In this case, your standard deduction is the greater of $1,050 or the sum of $350 plus your earned income.

What if you’re one of the lucky ones who can take more from itemized deductions than the standard deduction? The IRS still limits how much you can take from itemized deductions. For 2018, those limits are:

  • Married Filing Jointly/Surviving Spouse: $320,000
  • Heads of Households: $293,250
  • Single: $160,000
  • Married Filing Separately: $160,000

2018 Tax Brackets

So how much will you pay in taxes for 2018? Here’s how the tax rate is applied for the year. Remember, the income listed here is your taxable income–not your gross income.

Married Filing Jointly and Surviving Spouses

Taxable Income Taxes
Up to $19,050 10% of taxable income
Over $19,050 but not over $77,400 $1,905 plus 15% of excess over $19,050
Over $77,400 but not over $156,150 $10,657.50 plus 25% of the excess over $77,400
Over $156,150 but not over $237,950 $30,345 plus 28% of the excess over $156,150
Over $237,950 but not over $424,950 $53,249 plus 33% of the excess over $237,950
Over $424,950 but not over $480,050 $114,959 plus 35% of the excess over $424,950
Over $480,050 $134,244 plus 39.6% of the excess over $480,050

Heads of Households

Taxable Income Taxes
Up to $13,600 10% of taxable income
Over $13,600 but not over $51,850 $1,360 plus 15% of excess over $13,600
Over $51,850 but not over $133,850 $7,097.50 plus 25% of the excess over $51,850
Over $133,850 but not over $216,700 $27,597.50 plus 28% of the excess over $133,850
Over $216,700 but not over $424,950 $50,795.50 plus 33% of the excess over $216,700
Over $424,950 but not over $453,350 $119,518 plus 35% of the excess over $424,950
Over $453,350 $129,458 plus 39.6% of the excess over $453,350

Unmaried Individuals (other than Surviving Spouses and Heads of Households:

Taxable Income Taxes
Up to $9,525 10% of taxable income
Over $9,525 but not over $38,700 $952.50 plus 15% of excess over $9,525
Over $38,700 but not over $93,700 $5,328.75 plus 25% of the excess over $38,700
Over $93,700 but not over $195,450 $19,078.75 plus 28% of the excess over $93,700
Over $195,450 but not over $424,950 $47,568.75 plus 33% of the excess over $195,450
Over $424,950 but not over $426,700 $123,303.75 plus 35% of the excess over $424,950
Over $426,700 $123,916.25 plus 39.6% of the excess over $426,700

Married Individuals Filing Separately:

Taxable Income Taxes
Up to $9,525 10% of taxable income
Over $9,525 but not over $38,700 $952.50 plus 15% of excess over $9,525
Over $38,700 but not over $78,075 $5,328.75 plus 25% of the excess over $38,700
Over $78,075 but not over $118,975 $15,172.50 plus 28% of the excess over $78,075
Over $118,975 but not over $212,475 $26,624.50 plus 33% of the excess over $118,975
Over $212,475 but not over $240,025 $57,479.50 plus 35% of the excess over $212,475
Over $240,025 $67,122 plus 39.6% of the excess over $240,025

Again, remember that these numbers are for the 2018 calendar year. They don’t apply to the 2017 taxes you’ll file this spring. For those numbers, read our 2017 Federal Income Tax Brackets article.

(This information is summarized from the IRS Revenue Procedure 2017-58)


Topics: Taxes

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