Senior Tax Credits

Federal: Extra Standard Deduction

If you\'re 65+, you get an additional $1,950 (single) or $1,550 (married, per spouse) added to the standard deduction. 2025 numbers:

• Single 65+: $16,550 (up from $14,600 under 65).
• Married filing jointly, both 65+: $32,300 (up from $29,200).
• Blind? Add another $1,950 (or $1,550 if married).

Federal: Credit for the Elderly or Disabled

Income-based federal credit, $3,750 to $7,500. Mostly for retirees on Social Security with little other income. Check IRS Schedule R.

Federal: Medical Expense Deduction

If you ITEMIZE — medical expenses over 7.5% of income are deductible. Includes:

• Medicare Part B/D premiums.
• Medicare Advantage premiums.
• Long-term care insurance premiums (capped by age — $5,880/year at 71+).
• Dental, vision, hearing aids.
• Travel to medical appointments — 21¢/mile in 2025.
• Home modifications for medical reasons (grab bars, ramps).

Federal: QCD (Qualified Charitable Distribution)

If 70.5+, you can send up to $105,000 from your IRA directly to charity. Counts toward Required Minimum Distribution but is TAX-FREE — better than donating cash and itemizing.

State: Property tax breaks for seniors

Almost every state offers SOMETHING for seniors:

• Homestead exemption — extra reduction in property value used for tax. (FL, TX, MI, OH have generous ones.)
• Senior property tax freeze — your property tax stops increasing once you reach 65 or 70. (IL, NY, NJ, MO, etc.)
• School tax relief / STAR (NY) — exemption on school taxes for seniors.
• Property tax circuit breaker — if property tax exceeds X% of income, state pays the difference. (MN, MA, others.)
• Property tax deferral — defer paying until home is sold (OR, ID, CA).

Search "[your state] property tax senior" or call your county assessor.

State: Income tax breaks for retirees

• 9 states have NO state income tax (FL, TX, NV, WA, WY, SD, AK, NH, TN). Big savings to retire there.
• Many states EXEMPT Social Security — IL, MS, PA fully. Most others partially.
• Some states exempt pensions and military retirement.
• Search "[your state] tax retirement income".