Calculator

Taxable Income Calculator

See how gross income narrows down to taxable income once adjustments and deductions are subtracted.

← Read the Taxable Income concept page

Gross income

Adjustments / exclusions (e.g. retirement contributions)

Deductions (standard or itemized)

Taxable income

$50,000.00

Gross income

$70,000.00

Adjusted gross income (AGI)

$64,000.00

How the math works

Gross income:               $70,000.00
− Adjustments:               $6,000.00
= Adjusted gross income:     $64,000.00
− Deductions:                $14,000.00
= Taxable income:            $50,000.00

It's this $50,000.00 figure — not the original $70,000.00 in gross income — that gets run through the tax brackets from Marginal vs. Effective Tax Rate.