2021 Tax Rates and Standard Deductions

Tax rates change every year. Take a look at the tax rates for 2021.

Federal Income Tax Rates

Single:

Tax rate Taxable income bracket                             Tax
10% $0 to $9,700 10% of taxable income
12% $9,701 to $39,475 $970 plus 12% of the amount over $9,700
22% $39,476 to $84,200 $4,543 plus 22% of the amount over $39,475
24% $84,201 to $160,725 $14,382.50 plus 24% of the amount over $84,200
32% $160,726 to $204,100 $32,748.50 plus 32% of the amount over $160,725
35% $204,101 to $510,300                $46,628.50 plus 35% of the amount over $204,100
37% $510,301 or more $153,798.50 plus 37% of the amount over $510,300

Married Filing Jointly or Qualifying Widow(er):

Tax rate Taxable income bracket                             Tax
10% $0 to $19,400 10% of taxable income
12% $19,401 to $78,950 $1,940 plus 12% of the amount over $19,400
22% $78,951 to $168,400                 $9,086 plus 22% of the amount over $78,950
24% $168,401 to $321,450 $28,765 plus 24% of the amount over $168,400
32% $321,451 to $408,200 $65,497 plus 32% of the amount over $321,450
35% $408,201 to $612,350 $93,257 plus 35% of the amount over $408,200
37% $612,351 or more $164,709.50 plus 37% of the amount over $612,350

Married Filing Separately:

Tax rate Taxable income bracket                              Tax
10% $0 to $9,950 10% of taxable income
12% $9,951 to $40,525 $995 plus 12% of the amount over $9,950
22% $40,526 to $86,375                   $4,664 plus 22% of the amount over $40,525
24% $86,376 to $164,925 $14,751 plus 24% of the amount over $86,375
32% $164,926 to $209,425 $33,603 plus 32% of the amount over $164,925
35% $209,426 to $314,150 $47,843 plus 35% of the amount over $209,425
37% $314,151 or more $84,496.75 plus 37% of the amount over $314,150


Head of Household:

Tax rate Taxable income bracket                             Tax
10% $0 to $14,200 10% of taxable income
12% $14,201 to $54,200 $1,420 plus 12% of the amount over $14,200
22% $54,201 to $86,350                    $6,220 plus 22% of the amount over $54,200
24% $86,351 to $164,900 $13,293 plus 24% of the amount over $86,350
32% $164,901 to $209,400 $32,145 plus 32% of the amount over $164,900
35% $209,401 to $523,600 $46,385 plus 35% of the amount over $209,400
37% $523,601 or more $156,355 plus 37% of the amount over $523,600

 

Unearned Income of a Minor Child (the “Kiddie Tax”)

The kiddie tax applies to children under 19 or dependent full-time college students under 24 with unearned income in excess of $2,200 (for tax year 2021). The first $1,100 of a child’s unearned income qualifies for the standard deduction. The next $1,100 is taxed at the child’s income tax rate. Unearned income beyond $2,200 is taxed at the parent’s normal tax bracket.

Estates and Trusts

Tax rate Taxable income bracket                             Tax
10% $0 to $2,650 10% of taxable income
24% $2,651 to $9,550 $265 plus 24% of the excess over $2,650
35% $9,551 to $13,050 $1,921 plus 35% of the excess over $9,550
37% $13,051 or more $3,146 plus 37% of the excess over $13,050

Social Security Tax Rates

Maximum Income Subject to Social Security Tax $142,800
Social Security Tax Rate 6.2%
Maximum Social Security Tax $8,853.60

Medicare Tax Rates

Maximum Income Subject to Medicare Tax Unlimited
Medicare Tax Rate 1.45%
Additional Medicare Rate for High Earners: 0.9%
For Annual Earned Income Over:
Single $200,000
Married Filing Separately $125,000
Head of Household (with qualifying person) $200,000
Qualifying Widower (with dependent child) $200,000
Married Filing Jointly $250,000

Standard Deductions       
Single$12,550 (up from $12,400 for 2020)
Married Filing Separately $12,550 (up from $12,400 for 2020)
Married Filing Jointly$25,100 (up from $24,800 for 2020)
Head of Household $18,800 (up from $18,650 for 2020)
Dependentcannot exceed the greater of
(1) $1,100, or
(2) the sum of $350 and the individual’s earned income (cannot exceed
the standard deduction for your filing status)

Additional Standard Deduction for Older and Blind Taxpayers

The additional standard deduction for married taxpayers 65 or older or blind will be $1,350.  For a single taxpayer or head of household who is 65 or older or blind, the additional standard deduction will be $1,700.