Tax

Marginal Tax Rate

The tax rate applied to your last dollar of income. The US has progressive brackets (10%, 12%, 22%, 24%, 32%, 35%, 37%). Your effective rate is lower than your marginal rate.

Related Terms

Effective Tax Rate
Tax Bracket

Related Calculators

Take-Home Pay Calculator
Roth IRA Calculator

Understanding Marginal Tax Rate

Marginal Tax Rate is a key concept in tax. Understanding this term helps you make more informed financial decisions. Use our related calculators above to see how marginal tax rate affects your specific situation.