Paying federal income taxes is one of most people’s least favorite annual activities.
As a result, many people tend to procrastinate by not planning for their taxes each
year and by completing and filing the forms at the last possible minute. This calculator
is designed to help you estimate your annual federal income tax liability.
For the 2020 tax year, the standard deductions are as follows: single, $12,400;
heads of households $18,650; married filing separately, $12,400; and married filing
Based on your estimates, you could owe the amount of federal income tax shown below.
Is the amount greater than you expected? You may be able to help reduce your tax
liability by contributing more to your employer-sponsored retirement plan or by
increasing your itemized deductions. For example, you may want to increase your
charitable contributions or pre-pay deductible expenses such as state taxes.
This is only an estimate of your total taxes. A tax refund or taxes still owed would depend
on withholdings, estimated taxes paid, eligible tax credits, and other factors not considered
here. This is not to be construed as a final determination of your federal tax liability;
a tax professional should be consulted. Alternative minimum tax and itemized deductions are
Are you comfortable with the amount you are paying in taxes? There are steps you can take to
help reduce your annual tax burden. Review your individual situation and develop a strategy
to help reduce your taxable income.
This hypothetical example is used for illustrative purposes only. Actual results will vary.
This information is not intended as tax, legal, investment, or retirement advice or recommendations, and it may not be relied on for the purpose of avoiding any federal tax penalties. You are encouraged to seek advice from an independent tax or legal professional. The content is derived from sources believed to be accurate. Neither the information presented nor any opinion expressed constitutes a solicitation for the purchase or sale of any security.
This material was written and prepared by Broadridge Advisor Solutions.
© 2020 Broadridge Investor Communication Solutions, Inc.