Tax bracket

A tax bracket is a range of income that is taxed at a particular rate. Most systems are graduated, meaning income is divided into bands and each band is taxed at its own rate, so moving up a bracket does not change the rate applied to the income below it.

Knowing which bracket you are in helps you estimate what a raise is really worth. The band boundaries and rates differ from country to country, so it is worth checking the rules where you live.