Find marginal tax rate
Another method to find the marginal tax rate is by using the new tax brackets. This will be based on the income bracket that will be used for tax calculations. However, this method cannot provide accurate results because there will be slight differences between the incomes of the different taxpayers. Marginal Tax Rate Calculator Knowing your income tax rate can help you calculate your tax liability for unexpected income, retirement planning or investment income. This calculator helps you estimate your average tax rate, your tax bracket, and your marginal tax rate for the current tax year. Marginal tax rate is the income tax rate that applies to each additional dollar of taxable income. In a progressive tax structure, it is the income tax rate applicable to the highest tax bracket in which the last dollar of taxable income falls. Marginal tax rate is an important number in tax planning and investment analysis.