Glossary term
Adjusted Gross Income (AGI)
Gross income reduced by specific above-the-line adjustments such as IRA deductions, student-loan interest, and self-employment tax.
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2
Jurisdictions
us
Definition
AGI is a key intermediate figure on Form 1040 that drives eligibility for many deductions, credits, and phaseouts. It appears on line 11 of the 2024 Form 1040 and is used in computing the standard deduction, itemized-deduction phaseouts, retirement-contribution limits, and many income-based credits.
Examples
- A W-2 employee with $80,000 salary and a $6,000 IRA deduction has AGI of $74,000.
- AGI is used to compute the 7.5 percent floor for medical-expense itemized deductions.
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Translations
Citations
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This entry cites
- TermTaxable Income
- TermGross Income
Primary sources
- IRS: AGI definitionVerified 2026-05-20
Important disclaimer
This library is for general tax education only. Always verify filing obligations, due dates, and tax consequences against the cited primary source or with a qualified tax professional.