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C

Effective Tax Rate

Total tax divided by total income — your overall, average tax rate.

Also called: effective rate

Effective rate is what you actually paid as a percentage of what you actually earned. It's lower than your marginal rate in any progressive tax system because the lower brackets paid less.

Every Calcly country tax page shows both numbers side-by-side. Use effective for budgeting; use marginal for deciding whether an additional dollar is worth chasing.