Blended Tax Rate Calculator
Saw a "blended tax rate" in TurboTax and wondered what it means? It is your effective tax rate — the real percentage of your taxable income that goes to the IRS, not your scary-looking top bracket. Enter your income and filing status to see yours using 2025 tax-year brackets.
How your blended tax rate is calculated
The US tax system is progressive: each slice of your income is taxed at its own tier rate, and only the top slice is taxed at your marginal bracket. Your blended rate is simply:
Example: a single filer with $100,000 of taxable income in 2025 pays 10% on the first $11,925, 12% up to $48,475, and 22% on the rest — a total of $16,914. That is a blended rate of 16.91%, even though the filer sits in the 22% marginal bracket.
Blended rate vs. marginal rate at a glance
| Taxable income (single, 2025) | Marginal bracket | Approx. blended federal rate |
|---|---|---|
| $50,000 | 22% | ~11.8% |
| $100,000 | 22% | ~16.9% |
| $200,000 | 32% | ~20.5% |
| $400,000 | 35% | ~27.4% |
The gap between the two numbers is why a raise never costs you money: only the dollars above each threshold are taxed at the higher rate.
Learn more about blended tax rates
- What is a blended tax rate? — the plain-English definition and why it's lower than your bracket.
- Effective vs marginal vs blended tax rate — which number to use for a raise, overtime, or budgeting.
- How to calculate a blended tax rate — the step-by-step math, tier by tier.
- Blended state and federal tax rate — combine both into your true burden.
- Blended tax rate for an LLC or S-corp — business income with self-employment tax.
- Blended tax rate on a bonus or RSUs — why withholding isn't your real rate.
- Why is my blended tax rate so high? — the TurboTax number explained.
Frequently asked questions
What is a blended tax rate?
A blended tax rate — also called your effective tax rate — is the single average percentage of your taxable income that you actually pay in tax. Because the US uses progressive brackets, your income is taxed in tiers, and the blended rate is the weighted average of all the tiers you pass through.
Why does TurboTax show me a blended tax rate?
TurboTax displays a blended tax rate on its summary screen to show what percentage of your taxable income went to federal tax overall. It is calculated as total tax divided by taxable income, and it is almost always lower than your marginal bracket.
Why is my blended tax rate so high?
The most common reasons are additional income that stacked on top of your salary (bonuses, capital gains, side income), losing deductions or credits you had the year before, or self-employment tax being included in the figure. Comparing total tax to taxable income rather than gross income also makes the percentage look higher.
Is my blended tax rate the same as my tax bracket?
No. Your tax bracket (marginal rate) only applies to your last dollar of income. Your blended rate averages every tier — someone in the 24% bracket typically has a blended federal rate around 17–20%.
How do I calculate my blended federal and state tax rate?
Add your federal tax and state tax together, then divide by your taxable income. This calculator does it for you when you enter an optional state rate — useful for comparing take-home pay across states.
This calculator estimates federal income tax from 2025 tax-year brackets (Rev. Proc. 2024-40) and treats any state rate you enter as flat. It does not include self-employment tax, capital-gains rates, AMT, credits, or local taxes, and it is not tax advice — consult a qualified tax professional for filing decisions.
High earner? Check your Medicare surtax too
The 0.9% Additional Medicare Tax creates its own blended rate on wages above the threshold. See what you actually pay.