Taxes
Standard vs Itemized Deduction Calculator
You take the larger of the standard deduction or your itemized total, never both. Since 2018 the standard deduction is high and the SALT deduction is capped at $10,000, so most people no longer itemize. Only the amount by which itemizing exceeds the standard deduction is worth anything.
Tested against worked examplesHow we verify
State income tax plus property tax. Deductible only up to $10,000.
Only the portion exceeding 7.5% of your income counts.
Itemize — it saves you: $432
Itemize — it saves you
$432
Tax saved over taking the standard deduction, at your marginal rate.
You paid $15,000 in state and local taxes but can deduct only $10,000 — the cap costs you the rest. In high-tax states this single limit is why many homeowners who used to itemize now take the standard deduction.
- Standard deduction
- $32,200
- Your itemized total
- $34,000
- Deduction you take
- $34,000
- SALT deductible
- $10,000
- SALT lost to the cap
- $5,000
Compare scenariosTry three values of one input
| Mortgage interest | |||
|---|---|---|---|
| Take the standard deduction | $32,200 | $432−$31,768 | $912−$31,288 |
| Your itemized total | $32,000 | $34,000+$2,000 | $36,000+$4,000 |
| Deduction you take | $32,200 | $34,000+$1,800 | $36,000+$3,800 |
| Short of itemizing by | $200 | — | — |
Every other input stays at the value you set above — currently $18,000 for mortgage interest. Differences are measured against the first column.
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How this calculator works
The itemized total sums mortgage interest, SALT capped at $10,000, charitable gifts, medical expenses above the 7.5%-of-AGI threshold you enter, and other deductions. You take the larger of that and the standard deduction. The benefit of itemizing is the excess over the standard deduction times your marginal rate — the actual tax saved.
Standard deductions are the 2026 figures. The mortgage interest limit ($750,000 of debt), the medical threshold, and phase-outs for very high incomes are not enforced here — enter amounts already net of those rules. A flat marginal rate is used; the true benefit can span brackets.
What this assumes
- You take whichever is larger, never both. The comparison is the whole decision.
- Deductible state and local taxes are capped, which is the main reason many homeowners no longer itemize.
- Charitable deduction limits and medical expense thresholds are not applied in full detail.
What changes this number
- Mortgage interest and property tax
- The usual reason to itemize, and the reason it stopped working for most filers after the standard deduction was raised.
- Bunching
- Concentrating two years of charitable giving into one can lift a single year above the threshold while the other takes the standard deduction.
- Filing status
- The standard deduction differs substantially, so the same expenses can favour itemizing for one filer and not another.
A worked example
Take the homeowner in a high-tax state scenario. These figures are produced by the calculator above, not written alongside it, so they always match what the tool returns.
What you enter
- Filing status
- Married filing jointly — $32,200
- Mortgage interest
- $18,000
- State and local taxes paid
- $15,000
- Charitable donations
- $6,000
What it returns
- Itemize — it saves you
- $432
- Standard deduction
- $32,200
- Your itemized total
- $34,000
- Deduction you take
- $34,000
- SALT deductible
- $10,000
You paid $15,000 in state and local taxes but can deduct only $10,000 — the cap costs you the rest. In high-tax states this single limit is why many homeowners who used to itemize now take the standard deduction.
Try an example
Frequently asked questions
Should I take the standard deduction or itemize?
Add up your itemized deductions — mortgage interest, up to $10,000 of state and local tax, charitable gifts, and large medical bills. If the total beats your standard deduction, itemize; otherwise take the standard. Since 2018's larger standard deduction and SALT cap, roughly nine in ten filers take the standard.
What is the SALT cap?
State and local taxes — income or sales tax plus property tax — are deductible only up to $10,000 combined ($5,000 if married filing separately). In high-tax states a homeowner can easily pay two or three times that, and the excess simply is not deductible. It is the change that ended itemizing for many.
What can I itemize?
Mortgage interest on up to $750,000 of loans, state and local taxes up to $10,000, charitable donations, medical expenses above 7.5% of adjusted gross income, and a few less common items. Notably not: most unreimbursed work expenses, which were removed in 2018.
What is deduction bunching?
Concentrating deductible expenses into alternating years so you clear the itemizing threshold in one year and take the standard deduction in the next. Giving two years of charitable donations at once — often through a donor-advised fund — is the common technique. It captures a benefit that steady annual giving would miss.
Does only the excess over the standard deduction save tax?
In effect, yes. Since you would get the standard deduction regardless, the real value of itemizing is only the amount by which your itemized total exceeds it, multiplied by your marginal rate. Itemizing $500 above the standard deduction saves very little — worth remembering before spending hours on receipts.
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Disclaimer: DayCents provides this calculator for educational purposes only. Results are estimates based on your inputs and the stated assumptions — they are not financial advice, a quote, or an offer of credit. Consult a qualified financial professional before making major money decisions.