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LearnFAQTax Optimization

What is the standard deduction vs. itemizing, and which should I choose?

Answer

The standard deduction for 2025 is $15,000 for single filers and $30,000 for married filing jointly. Itemizing means listing qualifying deductions individually — mortgage interest, state and local taxes (SALT, capped at $10,000), charitable contributions, and significant medical expenses above 7.5% of AGI. You should itemize only if your total itemized deductions exceed the standard deduction. Since the Tax Cuts and Jobs Act (2017) roughly doubled the standard deduction, the majority of Americans — including many middle and upper-middle income households — no longer benefit from itemizing. If you own a home with a large mortgage in a high-tax state, run the numbers both ways.

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