Why a raise may not push you into a higher bracket in 2026: The IRS inflation adjustment trick that many taxpayers still overlook today

Economic Times - Oct 12, 2026

When you get a raise, it is easy to worry that a bigger paycheck will push you into a higher tax bracket and leave you with less money. Fortunately, that usually does not happen. The Internal Revenue Service (IRS) updates tax brackets and deductions every year to account for inflation. These annual adjustments help protect your income from a problem known as "bracket creep."

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