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New IRS Income Tax Brackets Released – Average Family will Save – Facts Matter with Roman Balmakov
1 year ago
773
The Standard Deduction was $27,700 – meaning this is the amount you do not pay any taxes on, the taxes begin AFTER earnings are over this amount.
This upcoming year, the Standard Deduction for married couples has now been increased 5.4% to $29,200.
A married couple making $150,000 a year would pay around $17,000. $150,000 - $27,200 = $122,000 in taxable income. Now we look at the tax brackets which you pay on different portions of your earnings. On first 22,000 OVER the $27,200 – you pay 10%, on the next $67,000 you pay 12%, the next $33,000 you would pay 22%.
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