What You Need to Know About IRS Tax Changes for 2024

The Internal Revenue Service recently bumped the income thresholds for its tax brackets by 5.4% for 2024, its latest adjustment to account for elevated rates of inflation.

The move is unlikely to produce a material change on most Americans’ tax burdens, according to financial advisers. Rather, it is designed to keep earners in their current tax bracket if their additional income is only keeping up with higher living costs. The standard deduction for income tax filings in 2024 will also be 5.4% higher.

A number of other IRS thresholds have also been raised for next year, including contribution limits on tax-deferred ...