Year-End Money Moves 2026 Financial Planning
HereS a breakdown of teh tax facts presented in the text, geared towards seniors:
1. Expanded standard Deduction for Seniors (2025-2028)
* Who it’s for: Individuals age 65 or older.
* what it is: An additional $6,000 deduction on top of the regular standard deduction.
* Example (2025):
* Standard Deduction (single): $15,750
* Senior Deduction: + $6,000
* Total Deduction: $21,750
* Income Limit: The deduction phases out if your Annual Gross Income (AGI) is:
* Over $75,000 for single filers.
* Over $250,000 for those filing jointly.
2. State and Local Tax (SALT) Deduction Changes (2025-2030)
* Current Situation: There’s a $10,000 cap on the amount of state and local taxes you can deduct.
* Future Change: Between 2025 and 2030, some taxpayers can deduct up to $40,000 in state and local taxes.
* Income Limit: This increased deduction phases out for:
* Single filers or those filing jointly wiht an income of $500,000 or more.
Important Note: The text clarifies a common misconception – Social Security benefits are not now tax-free.
Where to find more information: