Thank you for your question my friend
If you only have a form W2 income and some interest besides your withdraw of your IRA the calculation should be easy. It gets complicated if you have business income and expenses or other type of income and deductions.
To make it simple lets say you are single and over 59 1/2 years, just have a form W2, IRA, and interest and no itemized deductions or other types of deductions. You add all your income, which will be your gross wage income plus your interest and IRA. Then you deduct the standard deductions (assuming you are Single) and the result will be your taxable income. The taxable income will determine your tax liability according to the IRS tax tables that you can find in Publication 17 page 121 (https://www.irs.gov/pub/irs-pdf/p17.pdf ). For 2023 tax tables see https://www.irs.gov/newsroom/irs-provides-tax-inflation-adjustments-for-tax-year-2023.
You can find the Standard deduction for 2023 at https://turbotax.intuit.com/tax-tips/tax-deductions-and-credits/tax-deduction-wisdom-should-you-item....
Example: Wages 50,000
Interest 200
IRA Withdraw 25 000
Total Income 75,200
Standard Ded (13,850)
Taxable Income 61,350
If you are under 59 1/2 you have to consider an additional Early Withdraw Penalty tax of 10% of the IRA withdraw, which will be $2,500 for this example.
The other simple way to estimate your tax liability is if you use the tax calculator that you can find it at:
TURBOTAX ESTIMATOR/CALCULATOR
https://turbotax.intuit.com/tax-tools/calculators/taxcaster/
I hope that will give you a guide to calculate your own tax liability.
Thank you so much for your question
