Knowing your ‘effective tax rate’ can provide some mental relief when it comes time to pay your taxes. Many people believe that their income tax is a higher percentage of their earned income than it actually is. Even though you may be in the 28% tax bracket, your effective tax rate may only be 15 – 18%.

To learn more, please see this article from Investopedia.

http://www.investopedia.com/terms/e/effectivetaxrate.asp