Once you turn 50, and especially after age 65, you may qualify for extra tax benefits. People 65 and older get a higher standard deduction and have higher income thresholds before they have to file a tax return. Workers over 50 can also reduce their tax bill or defer taxes using retirement and health savings accounts.
Here are 10 tax breaks for people over 50:
— Bigger standard deduction
— Higher tax-filing threshold
— Property tax breaks
— Credit for the elderly and disabled
— Additional IRA deduction
— 401(k) catch-up contributions
— No more early withdrawal penalty
— Qualified charitable distributions
— Higher HSA contribution limit
— Free tax help
Bigger Standard Deduction for People 65 and Older
If you don’t itemize your tax deductions, you can claim a larger standard deduction if you or your spouse are 65 or older. For the 2025 tax year, those 65 and older receive $2,000 more than people under 65 who file as individuals. Married couples can increase their standard deduction by $1,600 if one member of the couple is 65 or older and $3,200 if they’re both at least 65. If you or your spouse is blind, you may also qualify for a higher standard deduction.
These amounts will increase slightly for tax year 2026. Unmarried taxpayers age 65 or older will be entitled to an additional $2,050 in the standard deduction, while each spouse in a married couple who is at least 65 can claim an extra $1,650.
[READ: How to Maximize Social Security With Spousal Benefits.]
New for the 2025 filing season is an additional $6,000 deduction for those 65 and older. This extra deduction can be taken on top of the standard deduction amounts above, allowing married couples filing jointly to claim a total of $12,000. The deduction is not available to married couples who file separately.
Eligibility for the bonus deduction phases out for single taxpayers with adjusted gross incomes over $75,000 and married couples with incomes over $150,000. The One Big Beautiful Bill Act created this enhanced deduction, which is only available for tax years 2025-2028.
Higher Tax-Filing Threshold
Seniors have a higher income than younger taxpayers before they are required to submit a tax return. People age 65 and older can earn a gross income of up to $17,750 before they are required to file a 2025 tax return — $2,000 more than younger workers. The tax filing threshold for couples age 65 and older is $34,700, or $33,100 if only one spouse is at least 65, compared to $31,500 for younger couples.
However, people below the filing threshold may still want to submit a tax return to qualify for tax credits or receive a refund for additional income tax that was withheld.
Property Tax Breaks
Property tax rules vary considerably by state and local jurisdiction. In some places, people above a certain age who earn below a specific income level can qualify for property or school tax deferrals or exemptions.
For example, in Texas, homeowners age 65 and older are eligible for a $60,000 homestead exemption for school district taxes in addition to the exemption for all homeowners. Local jurisdictions may provide other exemptions for seniors, so look closely at your area’s qualifications for property tax breaks. You may need to fill out extra tax forms or an application before claiming a property tax exemption.
[Read: When You Need to Pay Taxes on Social Security]
Credit for the Elderly and Disabled
If you or your spouse are 65 or older and have a low income, you could be eligible to claim a tax credit.
To claim the credit, you must have an adjusted gross income below $17,500, or $25,000 if both spouses are 65 or older. Any nontaxable Social Security and pension income must be below $5,000, or $7,500 for couples. If only one spouse qualifies for the credit, the adjusted gross income cutoff is $20,000. Younger people who are permanently disabled may also qualify for this credit, which ranges from $3,750 to $7,500.
Additional IRA Deduction
Older workers can defer paying income tax on more money than younger people by contributing to an individual retirement account. Workers 50 and older can save an additional $1,100 in an IRA for a total of $8,600 in 2026.
401(k) Catch-Up Contributions
Older workers with a 401(k) plan or similar workplace retirement account may be eligible to make catch-up contributions. In 2026, employees 50 and older can defer paying income tax on $8,000 more than younger workers if they contribute that amount to a 401(k) plan, for a total of $32,500. There is also a “super catch-up” option for those ages 60, 61, 62 and 63. For the 2026 tax year, these workers can contribute up to $11,250 more than the standard contribution amount.
[Read: How to Start Investing and Saving for Retirement With Little Money]
No More Early Withdrawal Penalty
Younger workers who raid their retirement accounts are hit with a 10% early withdrawal penalty unless the money is used for a few specific purposes.
However, once you turn 59 1/2, you can withdraw money from an IRA for any reason without incurring the 10% tax. And if you leave your job at age 55 or later, you can begin penalty-free 401(k) distributions from the account associated with the job you most recently left. Public safety officers who have completed at least 25 years of service with the employer sponsoring the plan can take penalty-free withdrawals at age 50.
Income tax will be due on withdrawals from traditional retirement accounts at any age.
Qualified Charitable Distributions
Retirees are typically required to withdraw money from traditional retirement accounts and pay the resulting income tax bill. However, if you don’t need the money, you can avoid income tax on IRA withdrawals by making a qualified charitable distribution.
Retirees age 70 1/2 and older who transfer any amount up to $111,000 directly from their IRA to a qualified charity will not owe income tax on the transaction for 2026.
You don’t need to make a huge donation to benefit from this tax break. An IRA charitable contribution of $5,000 could reduce your income tax bill by $1,200 if you pay a 24% tax rate, and a $1,000 donation could save you $240 in taxes.
Higher HSA Contribution Limit
Workers with high-deductible health plans can claim a tax deduction on contributions to a health savings account. Distributions from these accounts are tax-free when used to pay for qualifying medical expenses.
Individuals who are 55 or older by the end of the tax year are eligible to contribute up to $5,400 to a health savings account in 2026. That’s $1,000 more than their younger counterparts. Once you enroll in Medicare, you can no longer contribute to an HSA.
Free Tax Help
Older people can get help filing their taxes without paying an excessive hourly fee. The Tax Counseling for the Elderly program provides free tax assistance to those age 60 or older. IRS-certified volunteers assist older taxpayers with basic tax return preparation and electronic filing between Jan. 1 and April 15 each year. The TCE program provides guidance on tax issues frequently encountered by seniors, including questions about pensions and retirement benefits.
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10 Tax Breaks for People Over 50 originally appeared on usnews.com
Update 02/12/26: This story was published at an earlier date and has been updated with new information.
