Insights
Tax Strategies
New tax-saving strategies
Ways to lower your 2026 tax bill
No tax on tips
Qualified tips can be deducted, up to $25,000 a year (it phases out at higher incomes). Keep tip records from your employer or POS reports.
No tax on overtime
The extra 'half' of overtime pay can be deducted — up to $12,500, or $25,000 for joint filers. Check that your W-2 shows it separately.
Extra deduction for seniors
Taxpayers 65 and older can take an additional $6,000 deduction each (it phases out at higher incomes), on top of the standard deduction.
Car loan interest
Interest on a loan for a new U.S.-assembled personal vehicle can be deducted, up to $10,000 a year. Save your loan statements.
Higher SALT cap
The cap on state and local tax deductions rose to $40,000 (about $40,400 for 2026), which can make itemizing worth it again for homeowners in any state — especially high-tax states.
Retirement contributions
401(k), IRA and SEP contributions lower taxable income. Self-employed? A SEP or Solo 401(k) can shelter far more than an IRA.
Health Savings Account
With a high-deductible health plan, HSA contributions are deductible, grow tax-free and come out tax-free for medical costs.
Small business deductions
Home office, business mileage, equipment and the 20% qualified business income deduction can reduce what self-employed owners pay.
Important knowledge
Key 2026 numbers
- Standard deduction — single
- $16,100
- Standard deduction — married filing jointly
- $32,200
- Standard deduction — head of household
- $24,150
- Top rate (37%) begins — single / joint
- $640,600 / $768,700
- Estate tax exclusion
- $15,000,000
- Maximum adoption credit
- $17,670
Source: IRS 2026 inflation adjustments. These apply to returns filed in 2027.
Tax calculator
Estimate your federal tax
- Taxable income
- $58,900
- Estimated federal income tax
- $7,670
- Your top tax bracket
- 22%
- Effective tax rate
- 10.2%
Estimated amount owed: $7,670
2026 federal estimate using the standard deduction. Excludes credits, Social Security/Medicare and Virginia or Maryland state tax. For a real number, book an appointment.
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