After-Tax Cost of Debt Calculator
Calculate the after-tax cost of debt including tax shield savings, effective interest rates, and lifetime interest analysis for corporate and personal debt.
AGI Calculator
Calculate your Adjusted Gross Income (AGI) with common income sources and above-the-line deductions using a 2026 planning worksheet.
Income Sources
Above-the-Line Deductions
Adjusted Gross Income (AGI)⧉
$62,800.00
Your total income minus above-the-line deductions
Gross Income⧉
$76,700.00
Total of all income sources before adjustments
Total Adjustments⧉
$13,900.00
Sum of all above-the-line deductions
SE Tax (if applicable)⧉
$0.00
Self-employment tax (15.3% of 92.35% of SE income)
SE Tax Deduction⧉
$0.00
Deductible half of self-employment tax
Income Reduction⧉
18.1%
Percentage of gross income offset by adjustments
Income vs AGI
AGI: $62,800.00
| Income Source | Amount | % of Total |
|---|---|---|
| Wages & Salary | $75,000.00 | 97.8% |
| Interest Income | $500.00 | 0.7% |
| Dividend Income | $1,200.00 | 1.6% |
| Adjustment | Amount |
|---|---|
| IRA Deduction | $7,000.00 |
| Student Loan Interest | $2,500.00 |
| HSA Deduction | $4,400.00 |
Planning notes, formulas, and examples
About the AGI Calculator
Adjusted Gross Income (AGI) is your gross income minus specific above-the-line deductions. It is one of the main figures used to determine eligibility for tax credits, deductions, and other tax benefits.
AGI affects items such as Roth IRA eligibility, education credits, and certain deduction phaseouts. Because the number is used across multiple parts of the return, even small changes in income or adjustments can matter.
This calculator includes wages, self-employment income, interest, dividends, capital gains, and common adjustments such as IRA contributions, student loan interest, HSA deductions, and educator expenses.
When This Page Helps
Use this calculator to see how each income source and adjustment changes your AGI before you file. It helps you test deduction strategies, check eligibility thresholds, and understand the impact of self-employment or investment income on your tax position.
How to Use the Inputs
- Enter your wages and salary income from W-2 forms
- Add any self-employment or freelance income
- Input interest, dividend, and capital gains income
- Enter your above-the-line deductions (IRA, HSA, student loan interest)
- Add educator expenses if you are an eligible teacher
- Review your calculated AGI and income breakdown
- Use presets to compare different income scenarios
Formula used
AGI = Gross Income − Above-the-Line Deductions
Where:
- Gross Income = Wages + Self-Employment + Interest + Dividends + Capital Gains + Other
- Above-the-Line Deductions = IRA + Student Loan Interest (subject to current IRS limits) + HSA + Educator (subject to current IRS limits) + SE Tax Deduction + Alimony
- SE Tax Deduction = (Self-Employment Income × 0.9235 × 0.153) / 2Example Calculation
Result: $61,100 AGI
With $75,000 in wages, a $7,000 IRA deduction, $2,500 student loan interest deduction, and $4,400 HSA deduction, the total adjustments are $13,900, resulting in an AGI of $61,100.
Tips & Best Practices
- Maximize above-the-line deductions to lower your AGI below key thresholds
- HSA contributions are a triple tax benefit — deductible, grow tax-free, and withdraw tax-free for medical
- Self-employed individuals can deduct half of their SE tax as an above-the-line deduction
- Student loan interest deduction phases out at higher income levels — check current limits
- Consider a Traditional IRA over Roth if lowering AGI gives you access to other tax benefits
AGI Formula
AGI starts with gross income and subtracts only the adjustments allowed above the line.
Common Adjustments
Retirement contributions, student loan interest, HSA contributions, educator expenses, and self-employment tax deductions are the usual inputs that move AGI. This page is best used as a planning worksheet for common adjustments, not as a complete replacement for Schedule 1.
Check the Result
Compare the final figure against your expected filing scenario so you can catch missing income or duplicated deductions before using it.
Sources & Methodology
Last updated:
Methodology
This worksheet adds wages, self-employment income, interest, dividends, capital gains, and other entered income, then subtracts the above-the-line adjustments entered on the page. It automatically computes the deduction for one-half of self-employment tax using the standard 92.35% base and 15.3% combined Social Security and Medicare rate, and it caps only the student-loan interest and educator-expense inputs at the current general IRS limits used by the page.
It is not a full Form 1040 or Schedule 1 engine. IRA deductibility phaseouts, HSA eligibility rules, alimony-date rules, foreign earned income exclusions, and every MAGI-based adjustment are outside the scope of this page. Enter only the deductions you are actually eligible to claim.
Sources
- Instructions for Form 1040 and Form 1040-SR (Internal Revenue Service) — AGI line and Schedule 1 adjustment categories.
- Retirement topics - Contributions (Internal Revenue Service) — 2026 IRA contribution limits.
- Publication 969, Health Savings Accounts and Other Tax-Favored Health Plans (Internal Revenue Service) — 2026 HSA contribution limits.
- Topic no. 458, Educator expense deduction (Internal Revenue Service)
Frequently Asked Questions
Gross income is your total income from all sources. AGI is gross income minus above-the-line deductions. AGI is always less than or equal to gross income.
AGI determines eligibility for many tax credits and deductions including education credits, Roth IRA contributions, and various phaseouts. A small change in AGI can affect more than one tax provision at the same time.
These are deductions subtracted from gross income to arrive at AGI. They can be claimed even if you take the standard deduction, unlike itemized deductions.
AGI appears on Form 1040, Line 11. Your prior year AGI is often needed to e-file your return as an identity verification measure.
Contribute to a Traditional IRA or HSA, claim eligible student loan interest and educator expenses, and time income or deductions across tax years when that is allowed.
Modified AGI (MAGI) starts with AGI and adds back certain deductions like student loan interest and IRA contributions. Different tax provisions use different MAGI calculations.
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