Tax season just got more senior-friendly, with new breaks designed to lower bills and boost retirement savings
By 
Akshay Puri
Millions of American retirees are eligible for a major tax windfall this year thanks to new federal laws and expanded IRS deductions.
As the 2026 filing season begins, taxpayers aged 65 and older can leverage a ‘triple-play’ of benefits to shield more of their retirement income from the Internal Revenue Service. These updates include an enhanced standard deduction, a unique $6,000 senior income credit, and a ‘super catch-up’ window for those still in the workforce.
The Internal Revenue Service (IRS) has confirmed that for the 2025 tax year, the standard deduction has climbed to $15,750 for single filers and $31,500 for married couples. However, for those born before 2 January 1961, the savings go significantly deeper.
There are three major tactics older taxpayers should understand this year. Here is what to know.
1. The Standard Deduction for 2025
Every taxpayer chooses between itemising deductions or taking the standard deduction, which is a fixed amount that reduces taxable income. For tax year 2025, the Internal Revenue Service sets the standard deduction at:
- $15,750 for single filers or married individuals filing separately
- $31,500 for married couples filing jointly or qualifying surviving spouses
- $23,625 for head of household
For many retirees, the standard deduction is simpler and often more beneficial than itemising.
2. The Extra Standard Deduction for Americans 65 and Older
If you are 65 or older, or legally blind, you may qualify for an additional deduction on top of the standard amount. For 2025, the extra amounts are:
- $2,000 for single filers or heads of household
- $1,600 per qualifying person for married couples or qualifying surviving spouses
That means:
- A single taxpayer aged 65 or older could claim a total standard deduction of $17,750 ($15,750 plus $2,000).
- A married couple where both spouses are 65 or older could claim $34,700 ($31,500 plus $1,600 each).