Federal Tax Rate Chart for 2011, 2012

The prime factor for figuring out your Federal tax rate is your income. For example, if you earn less than $8,500 every year, you will be taxed at 10%, and may be able to claim some extra tax credits.

If your income is above $379,150 you will be taxed at 35%. Those two are individual rates mind you, and the rate changes when filing jointly.

Projected Tax Rates Chart

Here is a list of the 2011 tax rates for married and individual tax filers:

• 10% (Filing Jointly) Not over $17,000 (Filing Individually) Not over $8,500
• 15% (FJ) $17,001 - $69,000 (FI) $8,501 - $34,500
• 25% (FJ) $69,001 - $139,350 (FI) $34,501 - $83,600
• 28% (FJ) $139,350 - $212,300 (FI) $83,601 - $174,400
• 33% (FJ) $212,301 - $379,150 (FI) $174,400 - $379,150
• 35% (FJ) Over $379,150 (FI) Over $379,150

There are a few changes compared to 2008 which may save you a good chunk of money as you might qualify for a lower tax bracket in the 2009 chart. The greatest cause for this change is, of course the new policies of President Obama compared to President Bush.

The 2012 proposed tax list only has slight adjustments:

• 10% (Filing Jointly) Not over $17,200 (Filing Individually) Not over $8,600
• 15% (FJ) $17,200 - $69,800 (FI) $8,600 - $34,900
• 25% (FJ) $69,801 - $140,850 (FI) $34,901 - $84,500
• 28% (FJ) $140,851 - $237,700 (FI) $84,501 - $195,150
• 33% (FJ) $237,701 - $383,350 (FI) $195,151 - $383,350
• 35% (FJ) Over $383,350 (FI) Over $383,350

The recession has enabled inflation rates to stay low, which lets tax rates remain pretty stable. But even with a steady tax rate, preparing taxes isn’t any easier.

One great way to file taxes is by going to TurboTax online. Besides helping you prepare your taxes, their site also has a lot of free and helpful information on our tax system.