Calculate, How much will you save or lose with ‘One Big Beautiful Bill’?
Estimate Your 2025 Federal Income Tax
Your Estimated Federal Tax
Final Income Tax
$0
Taxable Income
$0
Effective Tax Rate
0%
About The Calculator
This calculator provides a simplified estimation of your federal income tax based on the core principles of the proposed "Big Beautiful Bill." The objective is to offer a simple tool that reflects a vision for a streamlined tax code, featuring simplified tax brackets, a generous Qualified Business Income (QBI) deduction for pass-through entities, and a flat 15% tax on capital gains. It is designed for educational purposes to illustrate how such a system might affect different financial profiles.
Frequently Asked Questions
No, this is not an official government tool. It is an independent project designed for informational and educational purposes only to model the effects of a proposed tax system. Always consult a qualified tax professional for financial advice.
The calculator uses a simplified two-bracket system for ordinary income: 15% for income up to $75,000 (Single) or $150,000 (Married Filing Jointly), and 28% for income above those thresholds. Long-term capital gains are taxed at a flat 15%.
The QBI deduction is calculated as 20% of your net business income from a pass-through entity. For Specified Service Trades or Businesses (SSTBs), this deduction may be limited or phased out based on your total taxable income.
No, this calculator estimates your federal income tax only. State and local tax laws vary significantly. The state selection option is included for user context and future feature development but does not currently affect the calculation.
An SSTB is any trade or business in fields like health, law, accounting, consulting, athletics, financial services, or any business where the principal asset is the reputation or skill of its employees. These businesses have income limitations for the QBI deduction.
To align with the goal of simplification, this calculator focuses on the two most common filing statuses. Other statuses like "Head of Household" or "Married Filing Separately" have more complex rules that are beyond the scope of this simplified model.
The calculator applies a straightforward, non-refundable credit of $2,000 for each qualifying child you enter. This credit directly reduces your total tax liability, but not below zero.
Created by Team TheEducationistHub | Reviewed by Sadiq Saleem