AGI Calculator





Formula

The formula to calculate Adjusted Gross Income (AGI) is:

\[ \text{AGI} = \text{Gross Income} - \text{Adjustments to Income} \]

Where:

Description

Adjusted Gross Income (AGI) is a measure of income calculated from your gross income and used to determine how much of your income is taxable. It includes income from wages, business income, rental income, and other sources, minus specific deductions known as adjustments to income.

Example Calculation

Let's assume the following:

Step 1: Calculate AGI:

\[ \text{AGI} = \$85,000 - \$5,000 = \$80,000 \]

Therefore, the Adjusted Gross Income (AGI) is $80,000.