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 ...

Amanda Bellucco-Chatham is an editor, writer, and fact-checker with years of experience researching personal finance topics. Specialties include general financial planning, career development, lending ...

Effective and marginal tax rates might not be familiar terms. However, they’re essential concepts to understand because they determine how much income you’ll have to fork over to the government every ...

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 ...