What makes up the standard deduction

Secondly, you may want to know what is the standard deduction amounts are. They are:. File your taxes and get every credit and deduction you deserve. Our tax pros can help you file in person or virtually, or you can file on your own online. Unlike the standard deduction, the dollar amount of itemized deductions differs from taxpayer to taxpayer. While standard deductions are —as the name implies — a standard or fixed amount, itemized deductions are calculated by adding up all applicable deductions, then subtracting that number from your taxable income.

In some situations, it makes sense to itemize vs. Itemizing your tax deductions makes sense if you:. The Best T. Rowe Price Funds for k Retirement Savers. Kiplinger's Investing Outlook. A dozen T. Rowe Price mutual funds enjoy a place among the nation's most popular k retirement products.

Find out which ones are worth your invest…. November 4, But the days of selling and immediately repurchasing virtual currencie…. November 12, If your income isn't too high, contributing to a retirement account could help you lower your tax bill now. Prior to the tax year, the standard deductions were about half as much.

Go beyond taxes to build a comprehensive financial plan. Find a local financial advisor today. Regardless of where you stand on the financial front, there are a wide range of expenses that you may be able to deduct from your taxes. Many costs and contributions are deductible, including charitable gifts, mortgage interest , student loan interest, some business-related costs and medical expenses.

Deducting these individual expenses on your tax return is known as itemizing deductions. Not everyone will itemize deductions, however. If you or your spouse were age 65 or older or blind at the end of the year, be sure to claim an additional standard deduction by checking the appropriate boxes for age or blindness on Form , U.

Tax Return for Seniors. Increased Standard Deduction — If you had a net qualified disaster loss and you elect to increase your standard deduction by the amount of your net qualified disaster loss, use Schedule A Form to figure your standard deduction. However, certain individuals who were nonresident aliens or dual status aliens during the year may take the standard deduction in the following cases:.