What is the standard deduction for 2026?

For 2025 returns (filed in 2026), the standard deduction is $15,000 for single filers, $30,000 for married filing jointly, and $22,500 for heads of household — indexed annually for inflation. You take the larger of the standard deduction or your total itemized deductions; you cannot use both.

Is the SALT cap still $10,000?

The One Big Beautiful Bill Act (2025) raised the state and local tax deduction cap to $40,000 for 2025, up from the $10,000 limit that had applied since 2018, with a phase-down for very high incomes. The increase makes itemizing viable again for many filers in high-tax states — though Florida residents, with no state income tax, mostly deduct property tax under this cap.

What can I still itemize after the tax law changes?

The main itemized deductions are home mortgage interest, state and local taxes (up to the cap), charitable contributions, and medical expenses above 7.5% of adjusted gross income. Miscellaneous itemized deductions subject to the 2% floor — like unreimbursed employee expenses — remain suspended through 2025.

What is deduction bunching and does it work?

Bunching means concentrating two or more years of deductible expenses — usually charitable gifts and, where timing allows, property tax — into a single tax year so your itemized total clears the standard deduction that year, then taking the standard deduction in the off years. A donor-advised fund lets you bunch several years of giving into one deductible contribution while granting the money to charities over time.

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Individual Tax Preparation

Itemized vs. Standard Deduction for 2026: The Breakeven Math

The standard deduction is high enough that most filers never itemize — but the math tips for homeowners, high earners in high-tax states, and big donors. Here's the breakeven and the bunching strategy that recovers deductions you'd otherwise lose.

SMAART Tax Team

February 10, 2026

6 min read

|Reviewed by Anthony Gonzalez, Enrolled Agent