video1.0<iframe src="https://www.loom.com/embed/77d247024cb940ee8ebea8b6d90d5519" frameborder="0" width="1920" height="1440" webkitallowfullscreen mozallowfullscreen allowfullscreen></iframe>14401920Loomhttps://www.loom.com14401920https://cdn.loom.com/sessions/thumbnails/77d247024cb940ee8ebea8b6d90d5519-00001.gif85.32In this video, I explain the difference between effective and marginal tax rates using an example of an individual with a taxable income of $120,000. I discuss how the effective tax rate is calculated based on the ratio of taxes paid to taxable income, which in this case is 17.73%. I also explain how the marginal tax rate is determined based on the individual's income falling within specific tax brackets. No action is requested from the viewers, but this information is important for understanding how taxes are calculated.