Your marginal tax rate is the highest income tax rate you'll pay on your income. Because the U.S. has a progressive tax system, different tiers of your income are taxed at different rates. The ...

Marginal tax rate is the rate you pay on your last dollar of income, based on your tax bracket. Effective tax rate is the average rate you pay on all of your income. Understanding the difference is ...

The highest tax rate you'll pay on your income is called the marginal tax rate. The United States has a progressive tax system, which means that different tiers of income are taxed at varying rates.

Effective tax rate and marginal tax bracket might seem like complicated tax terms, but they're simply two different ways to express how much you pay in taxes. The main difference between marginal and ...