In this current year 2025, changes to the IRS federal tax brackets could slightly increase the take-home pay of some United States workers. And this is certainly good news for lucky Americans. These tax brackets increased by 2.8%, a figure lower than the 5.4% adjustment made in 2024, reflecting more moderate inflation but still inflation after all.
If wages remain similar to 2024, a common occurrence, some taxpayers could pay less tax due to the increase in standard deductions, which are now $30,000 for married couples filing jointly and $15,000 for single filers. This increase may put taxpayers in a lower tax bracket, even if their income goes up slightly. It will all depend on where they are in the tax brackets at the end of the year.
However, the benefits of this change could be limited due to the high prices of essential goods such as food, gasoline and automobiles. In addition, it is crucial to regularly review state and federal tax withholdings to avoid surprises, as over-withholding can generate a refund, while under-withholding could result in a tax liability. So everything related to taxes must be watched out in detail, since even if a priori we pay less taxes we have to know what our limits are.
New IRS Tax Brackets for 2025
Just by checking this information we will have enough to know if we will pay more taxes or not in 2025. The usual in these cases is that thanks to these IRS adjustments we will not have to pay more taxes after adding the increases, inflation and everything related to these aspects.
Thus, we find ourselves with these new tax brackets. We must keep in mind that some tax brackets are different for couples and for individuals. In addition, we must also keep in mind that there are some exceptions in certain tax brackets that we must not forget:
| Taxable Income (Single Filers) | Taxable Income (Married Couples Filing Jointly) | Tax Rate |
|---|---|---|
| $11,925 or less | $23,850 or less | 10% |
| $11,926 to $48,475 | $23,851 to $96,950 | $1,192.50 (Single) / $2,385 (Married) plus 12% of the amount over $11,925 (Single) / $23,850 (Married) |
| $48,476 to $103,350 | $96,951 to $206,700 | $5,578.50 (Single) / $11,157 (Married) plus 22% of the amount over $48,475 (Single) / $96,950 (Married) |
| $103,351 to $197,300 | $206,701 to $394,600 | $17,651 (Single) / $35,302 (Married) plus 24% of the amount over $103,350 (Single) / $206,700 (Married) |
| $197,301 to $250,525 | $394,601 to $501,050 | $40,199 (Single) / $80,398 (Married) plus 32% of the amount over $197,300 (Single) / $394,600 (Married) |
| $250,526 to $626,350 | $501,051 to $751,600 | $57,231 (Single) / $114,462 (Married) plus 35% of the amount over $250,525 (Single) / $501,050 (Married) |
| $626,351 and above | $751,601 and above | $188,769.75 (Single) / $202,154.50 (Married) plus 37% of the amount over $626,350 (Single) / $751,600 (Married) |
At the time of making the Tax Return we have to contemplate that we have paid all the taxes during the year. Being in a lower tax bracket does not mean that we have to pay less taxes. The obligation to pay all our taxes is key to be able to maintain the economic tranquility and to avoid scares of all type.
