# Adjusted Gross Income (AGI) Calculator

URL: https://speedycalculator.com/calculators/finance/agi/
Last updated: 2026-10-25

> The AGI calculator adds up your income – wages, business income, interest and dividends, capital gains, retirement distributions and other income – and subtracts above-the-line adjustments to give your adjusted gross income, the key number on Form 1040.

## Inputs

- Salary, wages and tips
- Business / self-employment income
- Interest, dividends and royalties
- Capital gains and losses
- Pension, annuity and IRA distributions
- Other income (unemployment, alimony before 2019, gambling)
- Deductible IRA contributions
- Student loan interest (max $2,500)
- Educator expenses (max $300)
- HSA contributions
- Self-employed health insurance
- Deductible part of self-employment tax

## Results

- Gross income
- Total adjustments to income
- Adjusted gross income (AGI)

## Formula

```
Gross income = wages + business income + interest + dividends + capital gains + retirement income + other income
AGI = gross income − adjustments (IRA, HSA, student loan interest, half of self-employment tax, educator expenses, SE health insurance)
```

## Explanation

AGI determines your eligibility for many credits and deductions – from the child tax credit to IRA deductions and medical expense deductions. Lowering AGI with pre-tax contributions can save more than just income tax.

### How to use the Adjusted Gross Income

- **Salary, wages and tips**
- **Business / self-employment income**
- **Interest, dividends and royalties**
- **Capital gains and losses**
- **Pension, annuity and IRA distributions**
- **Other income (unemployment, alimony before 2019, gambling)**
- **Deductible IRA contributions**
- **Student loan interest (max $2,500)**
- **Educator expenses (max $300)**
- **HSA contributions**
- **Self-employed health insurance**
- **Deductible part of self-employment tax**

Results update as you type, and every field accepts the units shown in its menu.

### How it works

Enter each type of income and each adjustment to income for the year.

### Tips

- Tax figures here are estimates for planning – your actual tax depends on credits, deductions and local rules.
- Check the tax year and filing status before you rely on a result.
- Use gross (before-tax) figures unless a field asks for take-home pay.
- When in doubt, confirm with the tax authority's own calculator or a tax professional.

### Common mistakes to avoid

- Confusing marginal and effective tax rates.
- Adding sales tax to a price that already includes it.
- Forgetting payroll taxes (Social Security and Medicare) on wages.

### Inputs explained

FieldWhat to enterSalary, wages and tipsAmount in your currencyBusiness / self-employment incomeAmount in your currencyInterest, dividends and royaltiesAmount in your currencyCapital gains and lossesAmount in your currencyPension, annuity and IRA distributionsAmount in your currencyOther income (unemployment, alimony before 2019, gambling)Amount in your currencyDeductible IRA contributionsAmount in your currencyStudent loan interest (max $2,500)Amount in your currencyEducator expenses (max $300)Amount in your currencyHSA contributionsAmount in your currencySelf-employed health insuranceAmount in your currencyDeductible part of self-employment taxAmount in your currency

### What each result means

- **Gross income** = [Salary, wages and tips] + [Business ÷ self-employment income] + [Interest, dividends and royalties] + max([Capital gains and losses], -3000) + [Pension, annuity and IRA distributions] + [Other income (unemployment, alimony before 2019, gambling)]
- **Total adjustments to income** = [Deductible IRA contributions] + min([Student loan interest (max $2,500)], 2500) + min([Educator expenses (max $300)], 300) + [HSA contributions] + [Self-employed health insurance] + [Deductible part of self-employment tax]
- **Adjusted gross income (AGI)** = [Gross income] - [Total adjustments to income]

### Example values

How the main result changes when **Salary, wages and tips** changes and everything else stays at the example values above:

Salary, wages and tipsAdjusted gross income (AGI)36,00040,23554,00058,23572,00076,23590,00094,235108,000112,235144,000148,235

## Worked example

Inputs — Salary, wages and tips: $72,000; Business / self-employment income: $8,000; Interest, dividends and royalties: $1,500; Capital gains and losses: $2,500; Pension, annuity and IRA distributions: $0; Other income (unemployment, alimony before 2019, gambling): $0; Deductible IRA contributions: $4,000; Student loan interest (max $2,500): $1,200; Educator expenses (max $300): $0; HSA contributions: $2,000; Self-employed health insurance: $0; Deductible part of self-employment tax: $565.

Results — Gross income = $84,000.00; Total adjustments to income = $7,765.00; **Adjusted gross income (AGI) = $76,235.00**.

## FAQ

**What is AGI?**
Gross income minus above-the-line adjustments – line 11 of Form 1040.

**Is AGI the same as taxable income?**
No – taxable income is AGI minus the standard or itemized deduction.

**How can I lower my AGI?**
Contribute to a traditional 401(k), IRA or HSA.

**What formula does the Adjusted Gross Income use?**
Gross income = wages + business income + interest + dividends + capital gains + retirement income + other income.


## Sources

- [IRS – Definition of adjusted gross income](https://www.irs.gov/e-file-providers/definition-of-adjusted-gross-income)