Fiscal Cliff And Your Taxes : What Will You Pay?

President Barack Obama speaks to reporters in the Brady Press Briefing Room at the White House in Washington after meeting with Congressional leaders regarding the fiscal cliff, Friday, Dec. 28, 2012. (AP Photo/Charles Dharapak)


By Erin Rooney

CEDAR RAPIDS, Iowa - As Congress and the President are in the final days of trying to reach a deal before 2013 tax policy automatically goes into place, plenty of politicians on all ends of the spectrum are talking about what the "Fiscal Cliff" would mean for taxpayers.

We also wanted to find out what people and families of differing income levels would pay if no agreement is reached by January 1.

A "Fiscal Cliff Calculator" on the financial website offers people the opportunity to see the higher federal income tax rates

As a note: the statistics and numbers below assume a "standard deduction" and, for many people, there are other factors that will lower a worker's federal tax liability, such as health insurance premiums or savings accounts that hold no federal income tax liability. The figures below are intended to show what a person of a specific income would pay, assuming no deductions that are not federally taxed.

Income/Currently Liability (Rate)/2013 Liability (Rate). For example, the results show that a "single filer" with a $40,000 income would pay $1,245 more in federal income taxes as his or her rate increases from 14.4% to 17.5%.

"Single Filers/1 Total Dependent"

$20,000/$1,910 (9.6%)/$2,755 (13.8%)

$30,000/$3,830 (12.8%)/$4,875 (16.3%)

$40,000/$5,750 (14.4%)/$6,995 (17.5%)

$50,000/$8,065 (16.1%)/$9,629 (19.3%)

$80,000/$16,825 (21.0%)/$19,889 (24.9%)

"Married Filing Jointly With No Children/2 Total Dependents"

$40,000/$5,173 (12.9%)/$6,418 (16.0%)

$50,000/$7,103 (14.2%)/$8,551 (17.1%)

$80,000/$15,863 (19.8%)/$18,811 (23.5%)

$125,000/$29,239 (23.4%)/$34,211 (27.3%)

$200,000/$50,422 (25.2%)/$57,644 (28.8%)

"Married Filing Jointly With Two Children/4 Total Dependents"

$40,000/$4,018 (10.0%)/$5,263 (13.2%)

$50,000/$5,938 (11.9%)/$7,383 (14.7%)

$80,000/$13,938 (17.4%)/$16,655 (20.8%)

$125,000/$27,083 (21.7%)/$31,824 (25.5%)

$200,000/$48,083 (24.0%)/$55,074 (27.5%)

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