Single Married

### Number ofDependents

 0

\$1000000
\$10,000
\$500,000
\$1,000,000
 50% of Americans earn your income or less 2% Share of Federal Taxes paid for by people with this income or less

Both Obama and Romney have big plans for your taxes but no one knows exactly when (or if) the winning candidate’s proposed tax plan will take effect. We also note that Romney's tax plan is somewhat incomplete, as he has not fully detailed which programs he plans to cut to fund his proposal. For purely indicative purposes, SmartAsset built a model to see what would happen if the plans went into effect right now:

OBAMA Current Tax
Structure
Romney

### Your Federal tax billunder each plan

\$3,605 \$3,605 \$3,605

### Candidate vs Current

Compared to the current tax structure, how much more or less you will save.

### Taxes (% of Income)

How much of a bite
under each plan.

### Candidate Tax Brackets

The brackets determine how much of your income is taxed at different levels. Each bracket only applies to the income made between the range specified. The highest bracket applicable to your income is also called your ‘marginal’ tax rate. The marginal rate tells you the tax rate applied for each extra dollar of income you make.
OBAMA Current Tax
Structure
Romney
\$0–\$17,400 10.0% 10.0% 8.0%
\$17,400–\$70,700 15.0% 15% 12.0%
\$70,700–\$142,700 25.0% 25.0% 20.0%
\$142,700–\$217,450 28.0% 28.0% 22.4%
\$217,450–\$250,000 33.0% 33.0% 26.4%
\$250,000–\$388,350 36.0% 33.0% 26.4%
Over \$388,350 39.6% 35.0% 28.0%

#### HOW THE TAX PLANS AFFECT THE BUDGET

President Obama’s plan proposes largely keeping the current tax structure, but with an increase to those making \$250,000 per year or more. Obama’s plan translates to a projected federal annual revenue increase of about \$860 billion over 10 years.

Governor Romney’s plan includes a 20% tax-cut across the board. The tax-cuts are stated to be revenue neutral, funded by the elimination of certain tax credits and preferences. The broad tax-cut, excluding the impact of tax credit / preference reform, is reported to decrease Federal revenue by approximately \$2.8 trillion over 10 years.