[NittanyLion]

Individual deductions are $3650 for each person, standard deduction is $11,400 for a total of $26,000 in deductions and a taxable income of $14,000.

And by the way, the standard deduction for a couple filing jointly is $11,600 in 2011. That, plus an exemption of $2700 per child, equates to a taxable income of $21,000 - not your stated $14,000.

[NittanyLion]

plus an exemption of $2700 per child

Typo - $2700 should be $3700. My overall math is still accurate though.