Itemized vs. Standard Deduction Calculator

How to calculate Itemized vs Standard Deduction calculator?

Compare the total of your eligible itemized deductions with the standard deduction for your filing status to determine which yields a larger deduction.

Key formula: recommended_deduction = max(total_itemized_deductions, standard_deduction)

Using the Itemized vs Standard Deduction calculator calculator: an example

Example values for a single filer are used below.

Step-by-step calculation:

1. Sum itemized deductions: SALT $5,000 + mortgage interest $8,000 + charitable $2,000 + other $1,000 = $16,000.
2. Standard deduction for Single filer = $13,850.
3. Compare values and choose the larger: recommended deduction = $16,000 (itemized).
4. Estimate tax savings: difference $2,150 × marginal tax rate 22% ≈ $473.

Frequently Asked Questions

What qualifies as an itemized deduction?

Common itemized deductions include unreimbursed medical expenses, state and local taxes, mortgage interest, and charitable contributions, subject to tax rules and limits.

When should I choose the standard deduction?

Choose the standard deduction when it is larger than your total itemized deductions or when itemizing is not worth the additional record-keeping.

Does filing status affect the standard deduction?

Yes. Standard deduction amounts vary by filing status, so ensure your filing status is correct when comparing deductions.

Can I claim both standard and itemized deductions?

No. You must choose either the standard deduction or itemize deductions for a given tax year; you cannot claim both.