Plus, the new standard deductions put in place for 2025 by a mid-year update.

Each year, the IRS adjusts tax rate schedules and contribution limits for health savings accounts and retirement account contributions. Here’s what’s in store for 2026, as well as the updated standard deductions for 2025 that were increased as part of July’s One Big Beautiful Bill.

Standard deductions

The standard deduction is a flat rate that reduces taxable income. The amounts for 2025 and 2026 are as follows:

Standard deduction	2025	2026
Single taxpayer/Married filing separately	$15,750	$16,100
Married filing jointly	$31,500	$32,200
Head of household	$23,625	$24,150

Effective 2025 through 2028, individual seniors age 65+ may claim an additional deduction of $6,000. For married seniors filing jointly where both spouses qualify the additional deduction is $12,000.

2026 tax brackets

Income isn’t taxed at a single rate. Instead, different rates apply to each portion, or bracket. For example, a married couple filing jointly with an income of $140,000 will calculate their taxes using three brackets:

• 10% for the first $24,800
• 12% for earnings between $24,801 and $100,800
• 22% for earnings between $100,801 and $140,000

These are the 2026 federal tax brackets:

Marginal tax rates	Income	2026
Single taxpayer Married filing jointly Head of household	$640,601 or more $768,701 or more $640,601 or more	37%
Single taxpayer Married filing jointly Head of household	$256,226 to $640,600 $512,451 to $768,700 $256,201 to $640,600	35%
Single taxpayer Married filing jointly Head of household	$201,776 to $256,225 $403,551 to $512,450 $201,776 to $256,200	32%
Single taxpayer Married filing jointly Head of household	$105,701 to $201,775 $211,401 to $403,550 $105,701 to $201,775	24%
Single taxpayer Married filing jointly Head of household	$50,401 to $105,700 $100,801 to $211,400 $67,451 to $105, 700	22%
Single taxpayer Married filing jointly Head of household	$12,401 to $50,400 $24,801 to $100,800 $17,701 to $67450	12%
Single taxpayer Married filing jointly Head of household	$12,400 or less $24,800 or less $17,700 or less	10%

Health Savings Accounts (HSAs)

To be eligible for Health Savings Account contributions, you must be enrolled in an HSA-eligible health insurance plan. Plus, anyone over age 55 can save an additional $1,000 in their HSA.

HSA maximum contributions	2026	Change from last year
Individual	$4,400	+$100
Family	$8,750	+$200
Age 55+ catch-up contributions	An additional $1,000	No change

Retirement savings

Saving for retirement helps reduce taxable income now and secure your financial future. 2026 brings increases in the maximum contribution for all types of retirement accounts.

Retirement contributions	2026	Change from last year
401(k), 403(b), and 457 plans	$24,500	+$1,000
IRA	$7,500	+$500
IRA catch-up limit for those 50 and over	$1,100	+$100
Solo 401(k)	$24,500, plus an additional 25% of compensation as employer contribution	+$1,000
Roth IRA, under age 50 Roth IRA, 50 or older	$7,500 $8,600	+$500 +$600

 

Modified Adjusted Gross Income (MAGI) for Roth IRA eligibility	2026	Change from last year
Single taxpayer/Married filing separately Married filing jointly	Under $153,000 Under $242,000	+$3,000 +$6,000

 

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