Federal Income Tax Calculator 2024

Federal Income Tax Calculator 2024 in Excel, OpenOffice Calc, and Google Sheets to calculate your tax liability or tax refund.

Just enter your applicable amount and this template will calculate the Federal Income Tax liability for you. Moreover, it consists of maximum deductions and credits to lower your tax liability or even get a tax refund.

This template can be useful to individuals and couples who are willing to calculate federal income tax on their own. Furthermore, Tax Agents and Tax consultants can use this template for the initial evaluation of federal income tax 2024 for their clients.

Download Federal Income Tax Calculator 2024

We have created a Federal Income Tax Calculator 2024 with predefined formulas and functions. This template helps calculate income tax liability or tax refund for the tax year 2024.

Download by clicking below on the desired format:

Microsoft Excel OpenOffice Calc Google Sheet

Additionally, you can also download other useful templates like Payroll Template With Attendance, Timesheet Template, Paycheck Calculator, Job Application Tracker, Business Mileage Log Template, and IRS Compliant Mileage Log Template.

Furthermore, feel free to contact us for the customization of this template as per your requirements. We also design new templates based on your needs. You can hire us for our services on Fiverr or directly contact us at info@msofficegeek.com.

Components of Federal Income Tax Calculator 2024

Federal Income Tax Calculator 2024 consists of the following 8 sections. Fill in the details as per the guidelines to evaluate your federal income tax for the year 2024.

General Information

This section consists of your filing status and information about dependents.

Select your filing status from the dropdown list.  There are 5 different filing status file statuses. Based on your filing status your income thresholds and tax rates are determined.

Moreover, filing status also determines the amount of standard deductions, personal exemptions, deductions, and tax credits. It should be kept in mind that your filing status is to be selected based on your marital status on the last day of the financial year.

Single

Select Filing status as single if you are unmarried, divorced, or legally separated as of the end of the year.

Married Filing Separately

This option is for those filers who are married and choose to file their income tax separately.

Married Filing Jointly

Select this option if you are married and choose to file jointly. In case the spouse dies during the tax year, still you can choose to file a joint tax return only for that year.

Head of Household

This is the status of unmarried people who pay more than half of the expense of maintaining a home. The residence has to be the primary residence of the tax filer and at least one eligible dependent.

If you’re married but haven’t lived with your spouse for the last six months of the year, you can pick this status. But in this case, you must contribute more than half of the cost of maintaining your house and have at least one dependent kid.

Qualified Widow or Widower

If you and your spouse filed a joint tax return in the year before their death, you are generally eligible for this status for two years following their death. You must also have at least one dependent kid or stepchild for whom you are the primary provider.

Insert the number of dependents in each category along with their ages.

In 2024, you may be eligible for a $2,000 tax credit for each child up to 17, and a tax credit of up to $500 is available for other eligible dependents.

Income from Wages, Salary, and Tips

Add up all of your wages, salaries, tips, etc. Insert only the amount for the principal taxpayer in this section.

In case you are filing jointly with your spouse then insert their amount on the right side. It should also include any tips that you haven’t disclosed to your employer, such as assigned tips that are shown in box 8 of your W-2 form(s).

If your amount in Line 5 of Form W-2 is different then use the next section. While calculating the template will use the amount whichever is higher.

If you’re unclear about the amount or don’t have access to your W-2 form, enter $0 here

Income From Other Sources

Insert only those amounts that apply to you. This section consists of the following heads:

Taxable Interest
Tax-Exempt Interest
Dividends (Includes any qualified dividends)
Qualified Dividends (Included in Dividends above)
Taxable Refunds of State and Local Income Taxes
Alimony Received
Business Income or Loss as per Schedule C and E subject to self-employment Taxes
Spouse’s Business Income or Loss as per Schedule C and E subject to self-employment Taxes
Short Term Capital Gain or Loss
Long Term Capital Gain or Loss
Other Gain or Losses
Taxable IRA Distributions
Taxable pensions and annuity distributions
Income from Rentals, royalties, S Corporations, and Schedule E (Not included and subject to NIIT)
Income from Rentals, royalties, S Corporations, and Schedule E (Not included and not subject to NIIT)
Farm Income or Losses (Schedule F)
Total Unemployment compensation
Social Security Benefits
Taxable Social Security Benefits(85%)

Note: Fill information in the Spouse’s Business Income only if the filing status is Married Filing Jointly.

Moreover, 85% of the total Social Security Benefits are taxable. Thus, insert the full amount in the cell and it will automatically calculate the 85% amount in the next cell.

Gross Income = Income from Wages, Salaries, tips, etc + Income from Other Sources

Adjustments to Gross Income To Derive Adjusted Gross Income (AGI)

IRS allows some deductions in the form of adjustments to lower your taxable income. The amount left after these adjustments is called Adjusted Gross Income (AGI).

If you are filing jointly kindly insert the sum of both your and your spouse’s amounts.

These Adjustments include the following:

Educator Expenses
Business Expenses (Form 2106)
Health Savings Account (HSA) Deduction (Form 8889)
50% of Self-Employment Tax (Schedule SE)
Self-employed SEP, SIMPLE and qualified plans
Self-employed Health Insurance Deduction
Early Withdrawal Penalty from Certificate of Deposit or a Time-Deposit account before maturity
Alimony Paid
IRA Deductions
Student Loan Interest Deduction

You can deduct up to $300 in expenditures if you were a “qualified educator” in 2024. If you are married and both of you are ‘eligible educators,’ the cap is $600 ($300 each) if you file jointly.

From kindergarten through 12th grade teachers, instructors, counselors, administrators, or assistants who have worked at least 900 hours in a school during the school year are eligible.

You can find taxable interest either on Form 1099-INT or Form 1099-OID. Dividends can be found on Form 1099-DIV.

Insert only those amounts that apply to you.

Adjusted Gross Income = Gross Income – Adjustments

Deductions

IRS also allows many deductions from your AGI that help to reduce your taxable income. There are two types of deductions:

Standard Deductions as well as Itemized Deductions.

Standard Deduction

The standard deduction for the year 2021 according to filing status is as below:

Married Filing Joint – $29,200
Qualified Widow(er) – $29,200
Single – $14,600
Heads of Household – $21,900
Married Filing Separately – $14,600

You are eligible for an additional $1,650 per person if you and/or your spouse are above 65. Moreover, an additional $1650 for you or your spouse if any or both are blind.

Just select “Yes” in the column and it will automatically add to the standard deduction calculations.

Itemized Deductions

Itemized Deductions include the following:

Medical and Dental Expenses and medical insurance premiums exceeding the 7.5% of AGI
State and Local Income Taxes
State and Local Sales Taxes
Real Estate Property Taxes
Personal Property Taxes (eg. registration fees of a motor vehicle)
Home mortgage Interests
Interest paid on Investments (eg. margin interest)
Gifts to charities and Churches
Donations in Cash to Charities and Churches
Losses due to casualty or theft
Non-reimbursed Employee expenses by your employer
Fees paid for Tax Preparation
Gambling Losses to the extent of gambling winnings

Enter all of your eligible medical and dental costs for the calendar year. It can include health insurance premiums that you paid for yourself (rather than via an employer-sponsored plan) and did not deduct elsewhere.

Only the portion of your adjusted gross income (AGI) that exceeds 10% of your AGI is deducted (if you are 65 or older it is 7.5 percent of your AGI).

You can choose between standard and itemized deductions. Insert the amount for both and the template will choose whichever is higher.

Taxable Income Calculations

This section calculates the taxable income. It consists of the following heads:

Adjusted Gross Income (AGI)
Standard Deduction / Itemized Deduction
Qualified Business Income Deduction (Form 8995)

Taxable Income = AGI – Standard/Itemized Deductions – Qualified Business Income Deduction

Furthermore, please note that the template displays standard or itemized deductions whichever is higher.

Tax Calculation

This section calculates the tax liability before deducting the applicable tax credits.

In this section, insert the following amounts:

Tax Rate
Minimum Tax Amount
Tax Bracket Lower Limit
Excess Advance Premium Tax Credit Repayment (Form 8962)
Total Alternative Minimum Tax (AMT)

Kindly click on the link below to know your tax rate, Minimum Tax Amount, and Tax Bracket Lower limit.

Federal Income Tax Brackets 2024

This will display the amount of tax liability before tax credits.

Tax Credits

This is the final step for calculating your tax liability. IRS allows multiple tax credits that help you reduce your tax liability or even help you get a tax refund.

Usually, the following Tax Credits apply to filers:

Foreign Tax Credit (Form 1116)
Credit for Child and Dependent Care Expenses (Form 2441)
Education Credits (Form 8863 line 23)
Retirement Savings Contribution Credit (Form 8880)
Dependent Tax Credits
Residential Energy Credits (Form 5695)
American Opportunity Credit non-refundable
Adoption Credit
Earned Income Tax Credit

Insert the tax credits that apply to you. Click on the link below to find the amount of each credit applicable to you:

Credits and Deductions

Lastly, the template displays the Estimated Tax Liability for the Year 2024.

Tax Liability = Tax Before Credits – Tax Credits

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Disclaimer: This article is for information and educational purposes. Information provided here shall not be treated as tax advice. Kindly consult a tax expert before filing your tax return.