How the calculator works
- Standard deduction: the amount for your filing status, plus the extra amount for each person 65 or older or blind. From 2026, people who take it can also deduct up to $1,000 of cash gifts to charity ($2,000 joint).
- Itemized deductions: each line on Schedule A after its limit: medical costs above 7.5% of AGI, state and local taxes up to the cap, mortgage interest on up to $750,000 of loan, and gifts to charity above 0.5% of AGI.
- The 37% bracket limit: for the highest incomes, itemized deductions are cut so that each dollar saves at most 35 cents.
- Tax: the federal income tax each choice leaves, so you can see what itemizing saves.
The standard deduction
| Filing status, 2026 | Standard deduction | Extra at 65+ or blind, each |
|---|---|---|
| Single | $16,100 | $2,050 |
| Married filing jointly | $32,200 | $1,650 |
| Married filing separately | $16,100 | $1,650 |
| Head of household | $24,150 | $2,050 |
What you can itemize in 2026
| Deduction | What counts | Limit |
|---|---|---|
| Medical and dental | Costs not paid by insurance, an HSA or pre-tax | Only above 7.5% of AGI |
| State and local taxes | State income tax (or sales tax), property tax | $40,400 ($20,200 separately), less above $505,000 of income |
| Mortgage interest | Interest and points on your home and a second home | Loans up to $750,000 ($1 million if taken out before December 16, 2017) |
| Mortgage insurance | PMI, and FHA and VA premiums | Phased out between $100,000 and $109,000 of AGI |
| Gifts to charity | Cash and items given to qualifying charities | Only above 0.5% of AGI; cash up to 60% of AGI |
| Other | Gambling losses up to winnings, some disaster losses | Gambling losses count at 90% from 2026 |
Examples
A single homeowner earning $100,000 pays $12,000 of mortgage interest, $4,000 of property tax and $5,000 of state income tax, and gives $2,000 to charity. Itemized, that’s $22,500 (the first $500 of gifts doesn’t count). The standard deduction plus the $1,000 charity deduction is $17,100, so itemizing gives $5,400 more and saves about $1,188 of federal tax.
A married couple earning $150,000 in California pays $15,000 of mortgage interest and $6,000 of property tax, and gives $3,000 to charity. Itemized, that’s about $28,600, less than the $32,200 standard deduction plus $2,000 for their gifts. They’re better off with the standard deduction.
Bunching
If you’re close to itemizing, bunching can help. A married couple earning $150,000, with $20,000 of state and local taxes, $8,000 of mortgage interest and $8,000 of gifts a year, itemizes $35,250 each year. Giving $16,000 every other year instead, they itemize $43,250 one year and take the $32,200 standard deduction the next: $4,950 more in deductions over two years, saving about $1,089.
A donor-advised fund lets you give two years’ worth at once, take the deduction that year, and send the money to charities over time.
What this calculator doesn’t include
Mortgages taken out before December 16, 2017 (with the $1 million limit), the separate limits for gifts of shares and property (30% of AGI), the alternative minimum tax and tax credits. Your state may have its own standard deduction and itemizing rules.
Learn more
See year-end tax moves for donations and other deductions before December 31, and how tax brackets work to see what a deduction is worth at your rate.