The IRS has just released the new inflation-adjusted income tax brackets and standard deduction amounts that will be in effect for tax year 2024.

The IRS makes inflation adjustments annually to tax brackets, the standard deduction, and some other tax breaks, CNN reported.

According to Robert McClelland, a senior fellow at the Tax Policy Center, in a blog post, “the inflation adjustment isn’t putting extra money in people’s pockets. It’s just keeping them from facing higher taxes if their inflation-adjusted incomes (also known as real incomes) rise by 7 percent.”

Here’s the deal: For individuals and married people filing separately, the new federal standard deduction next year will increase to $14,600, an increase from $13,850 this year. For married couples filing jointly, the standard deduction will rise to $29,200, up from $27,700 currently. And for those who file as head of household, the standard deduction will be $21,900, a boost from $20,800.

Federal income brackets show how much you’ll owe on each portion of your “taxable income.” This is calculated by subtracting the greater of the standard or itemized deductions from your adjusted gross income, CNBC reported.

Most filers claim the standard deduction. Others will itemize their deductions because, taken together, they add up to more than the standard deduction.

So, if you are a single filer and your mortgage interest, charitable contributions, and allowable portion of your state and local income taxes come to more than $14,600 in 2024, you likely would itemize your deductions to save more on your taxes.

Here are the new income tax brackets:

The U.S. federal income tax code currently has seven tax rates – 10 percent, 12 percent, 22 percent, 24 percent, 32 percent, 35 percent, and 37 percent.

Each of those rates applies to a range of taxable income, also known as a tax bracket.

• 10 percent: Income up to $11,600 ($23,200 for married couples filing jointly)

•  12 percent: Income over $11,600 ($23,200 for joint filers)

• 22 percent: Income over $47,150 ($94,300 for joint filers)

• 24 percent: Income over $100,525 ($201,050 for joint filers)

• 32 percent: Income over $191,950 ($383,900 for joint filers)

• 35 percent: Income over $243,725 ($487,450 for joint filers)

• 37 percent: Income over $609,350 ($731,200 for joint filers).

IRS has released tax brackets, inflation adjustments for 2024: pic.twitter.com/zYs4EMidbF

— unusual_whales (@unusual_whales) November 10, 2023

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