Standard Deduction

The standard deduction is a fixed dollar amount that reduces your taxable income, which lowers the amount of federal income tax you owe.

It’s available to most taxpayers and varies based on filing status, age, and blindness (disability) status.

💵 2025 Standard Deduction Amounts

➕ Additional Standard Deduction Amounts

Taxpayers who are age 65 or older and/or blind may claim additional amounts.

🧓 New Senior Deduction (OBBBA, 2025–2028)

📌 Overview

A new senior bonus deduction is available for qualifying taxpayers age 65 or older.

• Amount: $6,000 per eligible individual
• Eligibility: Must be 65 or older by December 31 of the tax year
• Phaseout Begins At (MAGI):
  • $75,000 – Single
  • $150,000 – Married Filing Jointly
• Availability: Can be claimed in addition to the regular standard deduction and age/blindness deductions
• Effective Years: 2025–2028

🧮 Example

A married couple, both age 65, not blind, filing Married Filing Jointly in 2025:

• Standard deduction: $31,500
• Age deduction: $3,200 × 2 = $6,400
• Senior bonus deduction: $6,000 × 2 = $12,000

✅ Total deduction: $49,900

🚫 When You Cannot Claim the Standard Deduction

You cannot claim the standard deduction if:

❌ You are Married Filing Separately and your spouse itemizes
❌ You are a nonresident alien (with limited exceptions)
❌ You file a return for less than 12 months due to an accounting period change
❌ You are filing as an estate, trust, or partnership

⚖️ Standard Deduction vs. Itemizing

✅ Standard Deduction

• Easier to claim
• No need to track expenses

🧾 Itemized Deductions

• May be better if total deductible expenses exceed the standard deduction
• Common itemized expenses include:
  • Mortgage interest
  • State and local taxes (SALT)
  • Medical expenses

💡 Tip: Run the numbers every year—your best option can change.