Here's how your tax bracket will change in 2018

  • President Donald Trump signed the Republican tax bill into law at the end of December.
  • 2018 tax brackets have been changed under the new law, and are in effect starting this year. 
  • There are still seven income tax brackets, but the ranges have been adjusted.
  • The personal exemption has been eliminated, and the standard deduction has been increased.

President Donald Trump signed the Republican tax bill into law at the end of December.

The new legislation makes sweeping changes to the tax code for businesses and, on average, American taxpayers.

The tax bill went into effect on January 1, and applies to income earned this year. However, the new tax brackets will not affect taxes paid on tax day 2018 — which falls on April 17 this year — as Americans file tax returns for income earned in 2017, under the previous income tax brackets and law. 

Here's how the new tax plan will change federal income tax brackets in 2018 compared with those in 2017.

First, for single filers:

2018 tax brackets for single filersSkye Gould/Business Insider

  • 10%: $0 to $9,525 of taxable income for an individual
  • 12%: $9,526 to $38,700
  • 22%: $38,701 to $82,500
  • 24%: $82,501 to $157,500
  • 32%: $157,501 to $200,000
  • 35%: $200,001 to $500,000
  • 37%: over $500,001

And second, for joint filers:

2018 tax brackets for married filersSkye Gould/Business Insider

  • 10%: $0 to $19,050 for married joint filers
  • 12%: $19,051 to $77,400
  • 22%: $77,401 to $165,000
  • 24%: $165,001 to $315,000
  • 32%: $315,001 to $400,000
  • 35%: $400,001 to $600,000
  • 37%: Over $600,000

There are still seven federal income tax brackets — but at slightly lower rates and adjusted income ranges.

About 70% of Americans claim the standard deduction when filing their taxes, and their paychecks will almost certainly increase — albeit slightly. 

RELATED: Here are some of the most common thoughts while filing taxes:

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10 things we've all said while filing our taxes
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10 things we've all said while filing our taxes

"It's only January, I have plenty of time!"
You're relaxed, you're casual, what even are taxes anyway? You don't care! It's so far away that filing taxes isn't even remotely on your radar, to be honest.

Photo credit: Getty

"The imminent act of filing is upon me and I literally have nothing ready..."
Tax season is now approaching and that creeping anxiety about getting everything done on time is starting to set in. It's essentially biting at your heels and you know you have to get moving.

Photo credit: Getty

No words. Just emotional paralysis.
You're screwed. You need to start doing your paperwork but you physically do not know where to even begin. It's time. It's happening.

Photo credit: Getty

"I HAVE A MILLION THINGS I NEED TO DO, WHY ARE THERE SO MANY PAPERS AND QUESTIONS, SOMEBODY HELP ME!"
That anxiety you felt creeping in earlier? Now it's full-fledged onset. This stage is often accompanied by screaming out loud, pulling hair, crying, etc.

Photo credit: Getty

"Wait, did I get all of my papers in? Did I check that one box correctly? Does it look like I'm trying to evade some of these taxes? What if I go to jail? Can I go to jail for that? WHO WILL FEED MY DOG WHEN I AM IN JAIL?!"

It's like handing in an exam in school and wishing you could grab it back and double check your answers one more time.

Who was that celebrity you heard about that went to jail for tax evasion? Because now you're convinced that's totally going to be you.

Spoiler alert: as long as you did everything to the best of your knowledge and ability, you probably won't go to jail. And even if you do, you'll find someone to walk your dog.

Photo credit: Getty

"I got this, I'm almost done, a few more papers and I'm in the clear. I just have to pound through the rest of it. Go me!"

"Go you" is right! Now you're on cruise control and you're on track to get everything done well and on time. You're unstoppable in the delight of the world that is tax filing.

Photo credit: Getty

"Thank god that's over with, now I can relax! What to do with all this stress-free free time!"
Finally, relief. Your papers are filed and sent out into the universe. It's off your back at last. Now on to more important things, like Netflix.

Photo credit: Getty

"When is my return coming? Is this going to be my life for the rest of my life? Yep, it is. So about that return..."
Now, you wait. You want that money. And the inevitable truth that your life will now be a neverending cycle of filing taxes and waiting for your return.

Photo credit: Getty

"SCORE my return was so much better than I expected! I'm buying a new dress. Or five. Probably five, why not?"
You're on a total life-high now. The possibilities of what you can spend your return on seem endless and even if you don't, having a nice bonus hunk of cash in your pocket feels pretty good. It made all of that stress completely worth it.

Photo credit: Getty

"Honestly filing wasn't even that bad this year. And now I don't have to think about it anymore. Well at least not for another year. But no use in worrying about that now!"
Alas, acceptance. You know you'll fall victim to the vicious cycle again when next year rolls around. But truthfully, you wouldn't have it any other way. Okay, you obviously would. But you'll never change your procrastinating ways!

Photo credit: Getty

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In 2017, the standard deduction for a single taxpayer was $6,350, plus one personal exemption of $4,050.

The new law combines those into one larger standard deduction for 2018: $12,000 for single filers and $24,000 for joint filers.

Elena Holodny contributed to an earlier version of this post.

SEE ALSO: 5 last-minute tax moves to make now before the GOP tax plan goes into effect 

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NOW WATCH: Here's what Trump's tax plan means for people at every income level from $20,000 to $269,000 a year

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