The Tax estimate (optional) card on the Income page estimates your household's yearly federal and state income tax from the income you already entered. You answer a few questions, and it shows the tax, your effective rate and how it got there.
Before you start
- The tax estimate is only turned on for some accounts. If you don't see the card, it isn't on for yours.
- It is never shown to children. You need access to the Income page, and permission to edit income to save your answers.
- Add your income sources first. The estimate reads them from the Income page.
Steps
- Go to Income (opens in a new tab) and find the Tax estimate (optional) card.
- Answer How do you file?: Single, Married, filing together, or Head of household. Married filing separately isn't supported.
- Choose Which state?. If your state has an income tax, enter Your state tax rate. A state with one rate for everyone fills it in for you.
- Enter Children under 17 (number) and Other dependents (number).
- Answer Standard or itemized deduction?. If you itemize, enter Your itemized total for the year. Not sure uses the standard deduction.
- Enter Pre-tax savings not through your paycheck (this year): money you put into a traditional IRA or a health savings account (HSA) yourself, not through a paycheck.
- Enter Other taxable income not on your Income page (this year), such as bank interest. It can be negative. Check the Already counted from your Income page list under it first, and don't add anything listed there.
- Select Save and estimate.
The first time, filing status and the number of dependents are filled in from your family members. Those fields say From your family. Change them if they aren't right. Saved answers are never replaced.
How it works
- Already counted from your Income page lists each income source with its yearly amount and how it is taxed: "Taxed as pay", "Taxed as self-employment income", "Taxed as income (no payroll tax)", "Partly taxable (Social Security)" or "Not taxed". Child support, SSI, veterans benefits and a Roth IRA/401k distribution are not taxed.
- The results show Federal income tax, State income tax and the Effective rate, "of your income after pre-tax deductions". With self-employment profit, a Self-employment tax tile shows the Social Security and Medicare on it.
- Effective rate is your federal and state income tax divided by your income after pre-tax deductions. Income that isn't taxed is left out.
- Social Security is only partly taxed. Up to 85% counts, depending on your other income. How we got this shows the taxable part. State tax leaves Social Security out.
- 65 or older. The standard deduction adds an extra amount for each person 65 or older. In tax years 2025 to 2028, a Senior deduction of up to $6,000 each also applies, less 6% of income over $75,000 ($150,000 married). The app uses each person's birthday from your family.
- How we got this lists every step with its amount. Not included in this estimate lists what it leaves out, such as the alternative minimum tax and lower rates on capital gains.
- Use today's rate for my retirement plan copies the effective rate into your retirement plan. Retirement income is often taxed less, so your plan keeps its own rate unless you choose this. Use my own rate instead switches back. You can also pick Today's tax estimate in the plan's tax settings.
- Use for self-employed income (1099) sets the estimated tax rate on your 1099 and self-employment income sources. You confirm first.
- Edit tax facts changes your answers. Remove tax facts deletes them and the estimate.
Good to know
- This is an estimate, not tax advice.
- State tax uses one effective rate, not state brackets.
- A self-employment loss counts as $0, so it does not lower tax on other income.
FAQ
Why don't I see the tax estimate? The tax estimate is only turned on for some accounts. It is also never shown to children, and you need access to the Income page.
What goes in Other taxable income not on your Income page? Taxable income that isn't an income source on your Income page, like bank interest or a one-time payment. Anything in the Already counted from your Income page list is counted already, so don't add it again.
Does the estimate change my retirement plan's tax rate? Only if you choose Use today's rate for my retirement plan. Your plan keeps its own rate until then, and you can switch back with Use my own rate instead.
Is this tax advice? No. It is an estimate from what you entered. A tax professional can look at your whole situation.
FAQ
Why don't I see the tax estimate?
The tax estimate is only turned on for some accounts. It is also never shown to children, and you need access to the Income page.
What goes in Other taxable income not on your Income page?
Taxable income that isn't an income source on your Income page, like bank interest or a one-time payment. Anything in the Already counted from your Income page list is counted already, so don't add it again.
Does the estimate change my retirement plan's tax rate?
Only if you choose Use today's rate for my retirement plan. Your plan keeps its own rate until then, and you can switch back with Use my own rate instead.
Is this tax advice?
No. It is an estimate from what you entered. A tax professional can look at your whole situation.