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With the standard deduction higher than ever before — $32,200 for married couples filing jointly and $16,100 for single filers — most Americans no longer itemize. But this does not mean that your opportunity to reduce taxable income disappears.
Many taxpayers believe that choosing the standard deduction eliminates any additional write-offs. That misconception costs money, according to IRS enrolled agent and founder Randall Brody. tax samaritan.
“The standard deduction only replaces itemized deductions like mortgage interest or state taxes. It does not eliminate adjustments that reduce income before taxable income is calculated,” he explained.
While the above adjustments are available to those who itemize and those who take the standard deduction, there are potential limitations for some taxpayers, such as those with higher incomes, the states said. John A. MadisonCPA Here are five deductions to consider.
1. Retirement contributions that will reduce AGI in 2026
According to Gene Bott, CPA and partner at Kevin O’Leary, retirement savings are one of the most powerful ways to reduce income, even if you take the standard deduction. tax hive.
This includes employer-funded IRAs, self-employed retirement plans, and 401(k) plans. The exception, the bot said, are Roth retirement accounts, which do not reduce your AGI.
Brody said it is common for taxpayers to delay retirement contributions until the end of the year, without realizing that they still have time to fund certain accounts and reduce prior-year taxable income. For high earners, it could mean the difference between staying in the tax bracket or moving into the next bracket.
2. HSA Contribution
If you have a high-deductible health plan, a health savings account (HSA) is one of the most efficient tax tools for reducing your AGI, Brody said. That deduction may qualify you for other deductions or tax credits.
Madison said HSAs “offer threefold tax benefits: contributions are deductible, growth is tax-deferred and qualified withdrawals are tax-free.”
The money also grows tax-free if you use the money for qualified health care expenses.
3. Student Loan Interest and Education Credit
Students filing the standard deduction can also deduct loan interest. According to the IRS, taxpayers can deduct “the lesser of $2,500 or the amount of interest you actually paid during the year.” However, it phases out at certain income levels.
Bott said taxpayers who attended school should be aware of the American Opportunity Tax Credit and the Lifetime Learning Credit. Credits can be even more powerful than deductions, Brody said, “because they reduce tax liability dollar for dollar.”
4. New in 2026 – Charitable cash deduction for non-itemizers
While charitable deductions generally require itemization, 2026 introduces a new deduction for charitable contributions made in cash for non-itemizers. “This deduction is limited to $1,000 for single taxpayers and $2,000 for joint taxpayers,” Madison said.
This creates an additional opportunity for taxpayers who previously did not receive any benefit from small annual gifts.
5. Self-employed taxpayers have additional adjustments
Business owners and freelancers have even more flexibility because they can deduct half of the self-employment tax, health insurance premiums paid for themselves and their family, and certain business-related adjustments that reduce overall taxable income even before the standard deduction is applied, Madison said.
The qualified business income deduction may also apply for eligible taxpayers.
The biggest mistake of standard deduction filers
The biggest mistake, Madison said, is to automatically assume there are no additional cuts. “Always review the deductions above to see if you qualify. The standard deduction simplifies filing, but it doesn’t eliminate opportunity.”