Your 2026 deductions
Used for medical floor and marginal rate calculation
Capped at $40,400 (OBBBA). Phase-down above $505,000 AGI.
Deductible on up to $750,000 acquisition debt
Cash contributions limited to 60% of AGI
Only deductible above 7.5% of AGI ($9,000 floor)
Your 2026 result
| SALT deduction | $12,000 |
| Mortgage interest | $15,000 |
| Charitable contributions | $5,000 |
| Medical deduction | $0 |
| Other deductions | $0 |
| Total itemized | $32,000 |
$15,900 extra deduction × 24% marginal rate = $3,816 in federal tax
- SALT cap raised from $10,000 to $40,400
- Phase-down for AGI above $505,000 (single) at 30% of excess
- Phase-down floor: $10,000
- Cap indexed at 1% annually through 2029
Disclaimer
This tool provides estimates for educational purposes only and is not tax advice. Results use 2026 OBBBA provisions and simplified calculations. They do not account for AMT, state taxes, your full tax return, or future legislative changes. Consult a qualified tax professional before making tax decisions.
How this is calculated
The standard vs. itemized comparison follows IRS rules for 2026, incorporating OBBBA changes:
- Standard deduction for 2026: $16,100 (single), $32,200 (MFJ), $24,150 (HoH) — OBBBA adjusted.
- SALT deduction = min(state + local + property taxes, $40,400 cap). Phase-down applies above $505,000 AGI (single).
- Medical deduction = medical expenses − 7.5% × AGI. Only the amount above the floor is deductible.
- Mortgage interest deductible on up to $750,000 acquisition debt (IRC §163(h)(3)).
- Charitable contributions limited to 60% of AGI for cash (IRC §170(b)).
- Total itemized = SALT + mortgage + charity + medical + other. If total itemized > standard deduction, itemize.
- Bunching strategy: concentrate 2 years of charity into year 1 (itemize), take standard in year 2. Compare 2-year totals.
Worked example: Single filer, $120,000 AGI, $12,000 SALT, $15,000 mortgage interest, $5,000 charity. Total itemized = $32,000. Standard deduction = $16,100. Itemizing wins by $15,900. At 22% marginal rate, that saves ~$3,498 in federal tax. Bunching 2 years of charity ($10,000 in year 1): year 1 itemized = $37,000, year 2 standard = $16,100, total = $53,100 vs. spreading ($32,000 × 2 = $64,000 if itemizing both years, or $16,100 × 2 = $32,200 if not). Bunching helps when you are near the threshold.
Sources
- IRS Publication 17 — Your Federal Income Tax
- IRS Topic 501 — Itemized Deductions
- OBBBA (H.R. 1) — One Big Beautiful Bill Act
Reviewed against 2026 figures · Last updated June 11, 2026 · Written by Zhisuan
Data sources & legal references
- IRC §63(c) — Standard deduction amounts and definitions
- IRC §63(f) — Additional standard deduction for age 65+ and blindness
- IRC §164(b)(6) — SALT deduction limitation ($40,400 cap for 2026)
- IRC §163(h)(3) — Mortgage interest deduction ($750,000 acquisition debt limit)
- IRC §170(b) — Charitable contribution limits (60% of AGI for cash)
- IRC §213 — Medical expense deduction (7.5% AGI floor)
- IRS Publication 17 (2026) — Your Federal Income Tax
- IRS Topic 501 — Itemized Deductions
- OBBBA §1011 — Amended SALT cap and phase-out provisions
Tax law references are based on the Internal Revenue Code, OBBBA (H.R. 1, 119th Congress), and IRS publications. For questions about this content, contact the author.
What is How to Use the Standard vs Itemized Deduction Calculator?
When filing your federal income tax return, you face a fundamental choice: take the standard deduction (a fixed dollar amount based on your filing status) or itemize your individual deductions on Schedule A. You cannot do both — you must pick whichever gives you the larger deduction and lower tax bill. For 2026, the OBBBA-adjusted standard deductions are $16,100 for single filers, $32,200 for married filing jointly, and $24,150 for head of household. Additional amounts apply if you are 65 or older or blind. Itemized deductions include state and local taxes (SALT, now capped at $40,400 under the OBBBA), mortgage interest on up to $750,000 of acquisition debt, charitable contributions (up to 60% of AGI for cash), and medical expenses exceeding 7.5% of your AGI. About 90% of taxpayers take the standard deduction, but if you own a home with a mortgage in a high-tax state, itemizing may save you thousands. The OBBBA's SALT cap increase from $10,000 to $40,400 makes itemizing worthwhile for many more homeowners who previously could not exceed the standard deduction. This calculator compares both options side by side, shows the dollar impact of your choice, estimates the tax savings at your marginal rate, and models a deduction bunching strategy where you concentrate two years of charitable giving into one year to maximize your itemized deductions in alternating years.
How to Use
- Select your filing status
- Enter your adjusted gross income
- Input your state and local taxes (SALT)
- Add your mortgage interest, charitable contributions, and medical expenses
- See which deduction method saves you more and by how much
Why Use This Tool?
Tips & Best Practices
- The OBBBA raised the SALT cap from $10,000 to $40,400, making itemizing worthwhile for many more homeowners
- About 90% of taxpayers take the standard deduction — but if you own a home with a mortgage in a high-tax state, itemizing may save thousands
- Consider bunching charitable contributions: give two years of donations in one year to exceed the standard deduction, then take standard the next year
- Medical expenses are only deductible above 7.5% of your AGI — most healthy taxpayers get no medical deduction
- The SALT cap phase-down applies to taxpayers with MAGI above $505,000 (single)
Frequently Asked Questions
Should I take the standard deduction or itemize?
Take the standard deduction if your total itemized deductions are less than the standard deduction for your filing status. Itemize only if your total exceeds the standard deduction. About 90% of taxpayers take the standard deduction.
What is the 2026 standard deduction?
For 2026, the standard deduction is $16,100 for single filers, $32,200 for married filing jointly, and $24,150 for head of household. Additional amounts apply if you are 65+ or blind.
What changed with the SALT deduction in 2026?
Under the OBBBA, the SALT cap increased from $10,000 to $40,400 for 2026. However, the cap phases down for high-income taxpayers with MAGI above $505,000 (single) or $252,500 (MFS). The floor is $10,000.
What deductions can I itemize?
Common itemized deductions include: state and local taxes (SALT, capped at $40,400), mortgage interest on up to $750,000 of debt, charitable contributions (up to 60% of AGI for cash), and medical expenses exceeding 7.5% of AGI.
What is deduction bunching?
Deduction bunching means concentrating two years of charitable giving into one year to exceed the standard deduction threshold, then taking the standard deduction in the alternate year. This can save more tax than spreading donations evenly.
What does this calculator NOT cover?
This calculator does not model the alternative minimum tax (AMT), which disallows certain itemized deductions. It also does not account for casualty and theft losses (only deductible in federally declared disaster areas), the QBI deduction, additional standard deduction amounts for age 65+ or blindness, state-specific deductions, or the SALT cap for MFJ vs. MFS optimization. Consult a tax professional for your complete return.
Real-world Examples
Homeowner in a high-tax state
Single filer with $120,000 AGI, $12,000 SALT, $15,000 mortgage interest, $5,000 charitable contributions.
AGI: $120,000 | SALT: $12,000 | Mortgage: $15,000 | Charity: $5,000 | Filing: Single
Total itemized: $32,000 | Standard deduction: $16,100 Itemizing wins by $15,900 Tax savings at 22%: ~$3,498 Bunching 2yr charity: $53,100 total deductions over 2 years
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