No the federal tax brackets would NOT be your average income tax rate on your income.
Each separate federal tax bracket amount is your marginal tax rate for that amount of your taxable income that is in that bracket amount.
What ever your marginal rate will after you have completed you income tax return correctly. Could be any where from the -0- % to the maximum 35% tax bracket amount.
The rate for a federal income tax will vary based on one's income bracket. One can find more information about the 2013 tax year at the official IRS website.
To find the federal tax rate at which the buyer would be indifferent between Muni bonds(which are tax free) and Corporate bonds(which fall under your tax bracket tax rate) you follow this simple formula: Corporate Bond Yield=(Municipal bond Yield)/(1- Federal tax rate) In this case you would solve for the Federal Tax Rate and get an answer of .25 or 25% http://luhman.org/Nts/Bond/140_Municipals.html
Federal Tax Rate Table based on income
The tax rate for vacation pay is the same as the tax rate for regular income, which is based on your total income and tax bracket.
The maximum tax bracket or schedule amount would be at 35%. Go to the IRS.gov web site and use the search box for 2009 federal tax rate schedules go to page 13 Click on the below Related Link
For the tax year 2010 at this time July 22 2010 8:25 pm the federal income tax rate from the 1040 federal income tax return THE TAXABLE INCOME from page 2 line 43 starts at 10% and goes to the maximum tax bracket amount of 35 %.Go to the IRS gov website and use the search box for 1040ES go to page 8The 2009 federal tax rate schedules can be found in the 2009 Form 1040ES instructions, in the Related Link below.
Whatever tax bracket your salary fits into.
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 current tax bracket, and your marginal tax rate for the 2010 tax year. Please note that this calculator uses the 2010 preliminary tax tables subject to change by the IRS.
Depending on your tax bracket, 1.6 percent to 7.8 percent.
Average is the total amount of tax divided by the total amount of income...it therefore includes all deductions and tax brackets, usually lower % ones, getting to the total as part of it...average. The marginal, is on the NEXT $ of income. So it basically is going to be closer (or exactly) the highest tax rate you pay, being applicable to the last bracket your in, and generally having already used up all dedcutions available, and in fact, maybe losing some because some dedcutions drop off above certain incomes. Clear as mud? Marginal rate...the amount of tax pid on the NEXT $ of income...average rate includes the lower brackets and he tax, or no tax, on the first amounts of income.
Short-term disability benefits are typically subject to federal income tax if the premiums were paid with pre-tax dollars. If the premiums were paid with after-tax dollars, the benefits are usually tax-free. The specific tax rate on these benefits will depend on the recipient's overall income and tax bracket. It's advisable to consult a tax professional for personalized guidance.