For the 2024 tax year, according to the IRS, the top tax rate remains 37% for individual single taxpayers with incomes greater than $609,350 (731,200 for married couples filing jointly).

Other marginal tax rates include:

Married Filing Jointly

• 35% for incomes over $243,725 ($487,450 for married couples filing jointly)
• 32% for incomes over $191,950 ($383,900 for married couples filing jointly)
• 24% for incomes over $100,525 ($201,050 for married couples filing jointly)
• 22% for incomes over $47,150 ($94,300 for married couples filing jointly)
• 12% for incomes over $11,600 ($23,200 for married couples filing jointly)
• The lowest rate is 10% for incomes of single individuals with incomes of $11,600 or less ($23,200 for married couples filing jointly).

More tax rate information for 2024:

• The Alternative Minimum Tax exemption, which impacts approximately 0.8% of the U.S. population, goes into effect if income is above the annual AMT exemption amount. This generally applies to taxpayers with high incomes, ensuring these taxpayers pay at least the minimum tax amount owed. Their tax is calculated under regular tax rules and AMT rules, and they pay the higher amount of the two. For 2024, the AMT exemption amount is $85,700 and starts to phase out at $609,350 ($133,300 for married couples filing jointly whose phase out begins at $1,218,700).
• The Earned Income Tax Credit amount is $7,830 for qualifying taxpayers in 2024. To qualify, you must meet the basic rules:
  • Must be a U.S. citizen or resident alien for the entire year.
  • Have a valid social security number by the due date of your 2023 tax return.
  • Have an earned income through working under $63,398.
  • Have investment income below $11,000 in the 2023 tax year.
  • Will not file form 2555 for foreign earned income.
  • Qualify for the rules of separation from your spouse and not filing a joint tax return.

*  There are also special qualifying rules for members of the military, clergy, and taxpayers and their relatives with disabilities.

• The monthly limitation for the qualified transportation fringe benefit and qualified parking is $315.
• The dollar limitation for employee salary reductions for contributions to health flexible spending arrangements is $3,200.
• For cafeteria plans that permit the carryover of unused amounts, the maximum carryover amount is $640.
• For participants with self-only coverage in a Medical Savings Account, the plan must have an annual deductible that is not less than $2,800 and not more than $4,150. The maximum out-of-pocket expense amount for self-only coverage is $5,550.
• For family coverage in a Medical Savings Account, the annual deductible is not less than $5,550 and cannot be more than $8,350. The out-of-pocket expense limit for family coverage is $10,200.
• The foreign-earned income exclusion is $126,500.
• The lifetime gift and estate tax exemption amount is now $13,610,000 (this amount may significantly decrease after Dec. 31, 2025, when the Tax Cuts and Jobs Act sunsets unless policymakers extend these provisions).
• The annual gift exclusion is now $18,000.
• The maximum credit allowed for adoptions is the qualified adoption expenses up to $16,810.
• The Lifetime Learning credit applies to individuals who are enrolled in an eligible educational institution (colleges, universities, or technical schools offering education beyond high school) and taking eligible courses (those that improve or acquire job skills). They must also have a modified adjusted gross income (MAGI) of less than $80,000 for single filers and $160,000 for joint filers (beyond this limit, the credit phases out). The tax credit is worth up to 20% of the first $10,000 of qualified tuition and related expenses paid during the taxable year for a maximum credit of $2,000.

Items that are unaltered by indexing due to the Tax Cuts and Jobs Act of 2017. This may change upon sunsetting of the Tax Cuts and Jobs Act at the close of 2025.

• The personal exemption remains at 0 (line 5 of your 1040, which states that you want the most amount of tax taken out of your pay each pay period). If you put 1, for example, less taxes are withheld from your paychecks, so you get more money now with a smaller refund.
• There is no limitation on itemized deductions.