Larger standard deduction for those 65 and older

 Let’s face it when you’re on a fixed income, which you are when you’re in retirement, you need to take full advantage of every tax break you can. When you turn 65, the IRS offers you a gift in the form of a larger standard deduction. For example, a single 64-year-old taxpayer can claim a standard deduction of $12,550 on his or her 2021 tax return (it will be $12,950 for 2022 returns). But a single 65-year-old taxpayer will get a $14,250 standard deduction in 2021 ($14,700 in 2022). Couples in which one or both spouses are age 65 or older also get bigger standard deductions than younger taxpayers. If only one spouse is 65 or older, the extra amount for 2021 is $1,350 – $2,700 if both spouses are 65 or older ($1,400 and $2,800, respectively, for 2022). Be sure to take advantage of your age! Check with your tax person and don't miss out on this deduction. If you have questions call 320-679-5183 or go to yoursafemoneyshow.com.