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One of the biggest tax decisions that a couple can make is whether to take the standard deduction or itemize. The standard deduction offers a straightforward way to reduce your taxable income. And in 2026, it’s more valuable than ever thanks to inflation adjustments and new provisions for older taxpayers. Understanding how it works, when to claim it and how it compares to itemizing is key to making the most of your return and keeping more of your hard-earned money.
A financial advisor can help determine whether itemizing or taking the standard deduction will result in the lowest tax bill.
How the Standard Deduction Works
The standard deduction is a fixed amount the IRS allows you to subtract from your taxable income. For married couples filing jointly, it reflects the higher living costs of two taxpayers while simplifying the filing process. Instead of tracking and documenting every eligible expense, you can take this deduction automatically.
Each year, the IRS updates the standard deduction to keep pace with inflation. That means the deduction amount for married couples filing jointly isn’t static. It usually increases slightly to offset rising costs of living. This adjustment helps ensure taxpayers don’t lose purchasing power over time, making it a consistently relevant part of year-to-year tax planning.
Taxpayers can choose between the standard deduction and itemizing deductions, but not both. Itemizing may make sense if your deductible expenses add up to more than the standard deduction. For many couples, though, the standard deduction offers both simplicity and significant tax savings without extra paperwork.
By lowering taxable income, the standard deduction can move some couples into a lower tax bracket or reduce the portion of income taxed at higher rates. This often makes it particularly valuable for middle-income households.
Because the standard deduction directly affects your taxable income and marginal tax bracket, estimating your potential tax liability may help you determine whether taking the standard deduction or itemizing could provide greater savings.
You can use SmartAsset’s Income Tax Calculator to project how different deduction choices may influence your overall tax outcome:
Income Tax Calculator
Calculate your federal, state and local taxes for the 2025 tax year.
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About This Calculator
Our income tax calculator calculates your federal, state and local taxes based on several key inputs: your household income, location, filing status and number of personal exemptions.
How Income Taxes Are Calculated
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First, we calculate your adjusted gross income (AGI) by taking your total household income and reducing it by certain items such as contributions to your 401(k).
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Next, from AGI we subtract exemptions and deductions (either itemized or standard) to get your taxable income. Exemptions can be claimed for each taxpayer.
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Based on your filing status, your taxable income is then applied to the tax brackets to calculate your federal income taxes owed for the year.
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Your location will determine whether you owe local and / or state taxes.
When Do We Update? - We check for any updates to the latest tax rates and regulations annually.
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Assumptions
Deductions
- "Other Pre-Tax Deductions" are not used to calculate state taxable income.
Credits
- The only federal credit automatically calculated is the Savers Credit, depending on your eligibility.
- We do not apply any refundable credits, like the Child Tax Credit or Earned Income Tax Credit (EITC).
- We do not apply state credits in our calculations.
Itemized Deductions
- If itemizing at the federal level, you may need to itemize at the state level too. Some states don't allow itemized deductions, which is accounted for in our calculations.
- When calculating the SALT deduction for itemized deductions, we use state and local taxes, and we assume your MAGI.
- We assume that there is no cap to itemized deductions, if a state allows them.
- We do not categorize itemized deductions (such as medical expenses or mortgage interest), which could be subject to specific caps per state.
Local Tax
- Depending on the state, we calculate local taxes at the city level or county level. We do not include local taxes on school districts, metro areas or combine county and city taxes.
- With the exception of NYC, Yonkers, and Portland/Multnomah County, we assume local taxes are a flat tax on either state taxable income or gross income.
Actual results may vary based on individual circumstances and changes in tax laws or IRS regulations. Estimates provided by this calculator do not guarantee income tax amounts or rates. Past performance is not indicative of future results.
SmartAsset.com does not provide legal, tax, accounting or financial advice (except for referring users to third-party advisers registered or chartered as fiduciaries ("Adviser(s)") with a regulatory body in the United States). Articles, opinions and tools are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual. Users should consult their accountant, tax advisor or legal professional to address their particular situation.
Married Filing Jointly Standard Deduction in 2026
For couples filing jointly in tax year 2026, the standard deduction has increased. This is due to both inflation adjustments and new tax legislation. Taking the standard deduction is an automatic reduction, with no itemizing required. For many married couples, it remains the more advantageous and simpler route.
| Situation | Base Standard Deduction (2026) 1 | Notes / Adjustments |
|---|---|---|
| Married filing jointly (both under 65, not blind) | $32,600 | This reflects the increase from $30,000 in 2025. |
| Married filing jointly + one or both age 65 or older / blind | $32,600 + up to $1,650 per spouse | The extra deduction for age or blindness stacks on top of the base amount. |
| Married filing separately | $16,100 per spouse | If one spouse itemizes, the other must also. |
| Head of household / single (for comparison) | $24,150 / $16,100 | These figures help contextualize the joint deduction amount. |
Additional Standard Deduction for Those That Are 65+
If you or your spouse turns 65 by December 31 of the tax year, the IRS allows an extra deduction. This amount is on top of the standard deduction and offers more tax relief to seniors facing the higher medical and living costs that accompany aging.
For tax year 2026, the additional standard deduction is $2,050 for single filers or heads of household who are 65 or older (or blind). For married couples filing jointly, the extra is $1,650 per spouse who qualifies (i.e. $3,300 if both are 65+). If a taxpayer is both 65 or older and blind, that $2,050 or $1,650 amount doubles (e.g., $4,100 or $3,300).
A key change for 2026 is the introduction of a bonus deduction under the One Big Beautiful Bill (OBBB). From 2025 through 2028, taxpayers age 65 and older may claim an additional $6,000 above the standard extra deduction. That means a married couple where both spouses qualify could get up to $12,000 in new bonus deductions.
Because the bonus deduction has phase-out rules and is new, it’s especially important for older taxpayers, especially those with investment income, retirement distributions or borderline MAGI, to consult a tax professional or financial advisor. They can help confirm your eligibility and ensure you maximize your deduction. This will better ensure you avoid any mistakes that could inadvertently reduce your tax benefits.
Standard Deduction Frequently Asked Questions (FAQs)
How does the standard deduction work for dependents?
For dependents, the standard deduction works a little differently than it does for other taxpayers. A dependent’s deduction is limited to the greater of $1,350 in 2026 or their earned income plus $450, up to the regular standard deduction for their filing status.
When should you claim the standard deduction?
You should claim the standard deduction when it gives you a larger tax benefit than itemizing and when your deductible expenses don’t exceed the IRS’s set deduction for your filing status. For many taxpayers, especially married couples filing jointly, the standard deduction simplifies the process by reducing taxable income without requiring receipts, records or calculations of eligible expenses. It’s often the best choice if you don’t own a home, have relatively low medical or charitable expenses or simply want to streamline your return.
How do you claim the standard deduction?
To claim the standard deduction, you simply select it on your tax return when filing with Form 1040. The IRS automatically provides the option, so you don’t need to submit receipts or supporting documents as you would with itemized deductions. As long as you meet eligibility requirements and don’t choose to itemize, the deduction is applied directly to reduce your taxable income. Most tax software and professional preparers will default to the standard deduction if it offers you the greater benefit.
Bottom Line
The standard deduction can have a big impact on how much tax a couple owes or saves. For 2026, updated deduction amounts, dependent rules and additional deductions for taxpayers age 65 or older make it an important part of tax planning. While many couples may benefit from claiming the standard deduction, itemizing can still be advantageous for households with higher deductible expenses.
Tax Planning Tips
- A financial advisor can help you develop a tax plan to manage your liability and support broader financial goals. Finding a financial advisor doesn’t have to be hard, either. SmartAsset’s free tool matches you with vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
- If you want to know how much your next tax refund or balance could be, SmartAsset’s tax return calculator can help you get an estimate.
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Article Sources
All articles are reviewed and updated by SmartAsset’s fact-checkers for accuracy. Visit our Editorial Policy for more details on our overall journalistic standards.
- “One, Big, Beautiful Bill Provisions – Individuals and Workers | Internal Revenue Service.” Home, https://www.irs.gov/newsroom/one-big-beautiful-bill-provisions-individuals-and-workers. Accessed Apr. 17, 2026.