Americans paid an average of 14.5% in income tax in 2022, based on IRS data. The top 1% of U.S. earners paid an average income tax rate of 26.1%. The bottom 50% paid an average of 3.7% in income tax.
This does not include payroll taxes, which make up more of the total taxes paid by lower-income groups. In the U.S. progressive tax system, income tax rates go up as income levels rise. In 2022, the federal government collected 153.8 million tax receipts, generating $2.1 trillion in income tax revenue.
The top 1% of earners paid a total of $863.3 billion in taxes, averaging $561,523 per taxpayer. Here are the average tax rates paid in 2022 across different income groups:
Top 1%: The top 1% of earners, about 1.5 million taxpayers making at least $663,164 in 2022, had an average income tax rate of 26.1%.
Income taxes by U.S. wealth levels
Top 1-5%: Earners in this bracket paid an average of 18.8% in income tax. The top 5% of U.S. earners paid $1.3 trillion in income taxes, making up 61% of the federal total. Top 10-25%: Those earning between $99,857 and $178,611 paid an average rate of 10.7%.
The top 25% of earners paid 87.2% of all income taxes collected. Bottom 50%: These earners paid an average of $822 in income tax, at a much lower average rate of 3.7%. Their contributions made up 3% of the total federal income tax revenue in 2022.
These numbers show how income tax payments are spread out across different wealth levels in the United States. Looking at data on income taxes around the world can give a more global view on personal income taxes.