A raise looks great on paper — until taxes take their cut. Enter your current pay and your raise to see the gross increase and the estimated after-tax difference, using 2026 federal tax figures.
Your raise details
e.g. 5 = a 5% raise
For the 2026 Child Tax Credit ($2,200/child). Enter 0 if none.
Before vs. after your raise
Your raise is really worth
$0
Federal-only estimate of annual tax liability: 2026 brackets and standard deduction for your filing status, FICA, and the 2026 Child Tax Credit ($2,200 per qualifying child under 17, phases out above $200k single / $400k joint). No state tax — and this is not your exact paycheck. Run the full calculator for state-specific results.
Why your raise shrinks on the way to your paycheck
Three things eat into a raise before you see it:
Marginal tax rates. Your raise is taxed at your top marginal rate, not your average rate. If you're in the 22% bracket, roughly 22¢ of every raise dollar goes to federal income tax — plus 7.65% to FICA.
FICA has no standard deduction. Social Security (6.2% on the first $184,500 of wages) and Medicare (1.45% on all wages) apply from the first dollar.
Credits can cushion it. The 2026 Child Tax Credit ($2,200 per qualifying child under 17, per IRS Revenue Procedure 2025-32) directly reduces federal tax — which is why this calculator asks about dependents.
The "higher bracket" myth
Getting a raise never makes you poorer. U.S. tax brackets are marginal: only the income within each bracket is taxed at that bracket's rate. Moving into the 24% bracket doesn't re-tax the dollars that were already in the 22% bracket.
Why is my take-home raise smaller than my gross raise?
Your gross raise is taxed at your marginal federal rate plus 7.65% FICA, with no standard deduction shielding it. On a typical middle-income salary, expect to keep roughly 65–75% of each raise dollar after federal taxes — the calculator above shows your estimated split.
Should I negotiate a percentage raise or a flat dollar raise?
Mathematically they're the same once converted — 5% of $80,000 is $4,000. Percentage raises compound better over a career (each year's raise builds on a bigger base), while flat amounts can favor lower earners in a given year. Use whichever framing gets you the bigger number.
Will a raise push me into a higher tax bracket and cost me money?
No — this is the most common tax myth. Brackets are marginal, so only the dollars inside the higher bracket are taxed at the higher rate. A raise always increases your after-tax income; it just increases it by less than the gross amount.
How does the Child Tax Credit affect the calculation?
The 2026 Child Tax Credit is $2,200 per qualifying child under 17 (confirmed in IRS Revenue Procedure 2025-32). It directly reduces your federal income tax — dollar for dollar — until the credit is used up. It phases out at a rate of $50 per $1,000 of income above $200,000 (single) or $400,000 (joint). This calculator models the non-refundable portion (reducing tax to zero); the law also allows up to $1,700 per child as refundable, which isn't modeled here.
Does this include my state tax?
No — this page estimates federal taxes only so the result is comparable nationwide. State tax can take another meaningful slice, so run the full take-home pay calculator with your state for the complete picture.
Methodology
Federal figures are the 2026 IRS inflation adjustments: single brackets 10% to $12,400 / 12% to $50,400 / 22% to $105,700 / 24% to $201,775 / 32% to $256,225 / 35% to $640,600 / 37% above (standard deduction $16,100); married filing jointly 10% to $24,800 / 12% to $100,800 / 22% to $211,400 / 24% to $403,550 / 32% to $512,450 / 35% to $768,700 / 37% above (standard deduction $32,200). FICA: Social Security 6.2% on the first $184,500 of wages; Medicare 1.45% on all wages plus 0.9% above $200,000 single / $250,000 joint. Child Tax Credit: $2,200 per qualifying child under 17, reduced by $50 per $1,000 of AGI over $200,000 single / $400,000 joint, applied against federal income tax (non-refundable modeling; up to $1,700 per child may be refundable under the law but is not modeled). No state/local taxes, no pre-tax deductions. Estimates only — not tax advice.
Estimate only. This page gives a federal-only estimate for illustration. It doesn't account for state or local taxes, pre-tax deductions, the refundable portion of the Child Tax Credit, or individual circumstances. Not tax advice — consult a tax professional for your situation.