What changed for 2026

The seven rates did not change, but every bracket moved up. For a single filer the 12% bracket now runs to $50,400 of taxable income, the 22% bracket to $105,700, and the 24% bracket to $201,775. Married filing jointly, those lines are $100,800, $211,400, and $403,550.

The standard deduction is $16,100 for single filers, $32,200 for married couples filing jointly, and $24,150 for head of household. At 65 or older you add $2,050 (single or head of household) or $1,650 per spouse (married).

Separately, anyone 65 or older gets a $6,000 deduction through 2028, whether or not they itemize. It shrinks by 6% of MAGI over $75,000 ($150,000 joint).

• 401(k), 403(b), and 457 deferrals: $24,500. Catch-up at 50 and over: $8,000, or $11,250 at ages 60 to 63.
• Total 401(k) additions from you and your employer: $72,000, plus catch-up.
• IRA: $7,500, plus $1,100 at 50 and over. The deadline for 2026 contributions is April 15, 2027.
• HSA: $4,400 self-only, $8,750 family, plus $1,000 at 55 and over.

One new rule for catch-up contributions. If you had more than $150,000 of FICA wages from your employer last year, your 401(k) catch-up must be Roth. If you are 50 or older, check your election.

• SALT cap: $40,400 ($20,200 married filing separately). It phases down by 30% of MAGI over $505,000, but never below $10,000.
• Charitable gifts without itemizing: up to $1,000 of cash ($2,000 joint) to public charities. Donor-advised funds and private foundations do not count.
• Charitable gifts with itemizing: the first 0.5% of AGI does not count, and filers in the 37% bracket get at most 35 cents of deduction per dollar.
• Mortgage interest: the $750,000 acquisition debt limit is permanent, and mortgage insurance premiums count as interest again.

The estate and gift exemption is $15,000,000 per person ($30,000,000 per couple with portability) and is indexed for inflation starting in 2027. The top rate stays at 40%. The annual gift exclusion is $19,000 per recipient, $38,000 from a couple.

The enhanced ACA premium tax credits expired after 2025. For 2026 the credit exists only up to 400% of the federal poverty level, and that line is a cliff. It sits at $62,600 of MAGI for one person and $84,600 for a couple; a dollar over and the whole credit is gone. Below it, your expected contribution runs from about 2.10% of income at 133% of FPL to 9.96% at 300% to 400%. If you live on Roth conversions and capital gains, size them with this line in mind.