IRS Tax Inflation Adjustments for 2026
I have included the following information in our December monthly newsletter. Other items covered in our newsletter include: 2025 BBB tax update, tax preparation reminders and organization tips, last minute tax planning, donations, 1099 processing, goals, and other news where I share details on my plans for this month.
You can come back to reference this as you prepare for tax season and plan for your 2026 taxes.
Standard deduction changes
$32,200 for married couples filing jointly - up by $700
$16,100 for single filers & married filing separately folks - up by $350.
$24,150 for heads of households - up by $525.
Marginal rates
37% for incomes over $640,600 ($768,700 for married filing jointly)
35% for incomes over $256,225 ($512,450 for married filing jointly)
32% for incomes over $201,775 ($403,550 for married filing jointly)
24% for incomes over $105,700 ($211,400 for married filing jointly)
22% for incomes over $50,400 ($100,800 for married filing jointly)
12% for incomes over $12,400 ($24,800 for married filing jointly)
10% for incomes of $12,400 or less ($24,800 for married filing jointly)
IRA contribution changes
$24,500 for individuals contributing to a 401(k), 403(b), 457, & TSP - up by $1,000
· For folks who contribute through their employers to an IRA and receive a company match, combined employee and employer contributions cannot exceed $72,000 - up by $2,000.
$7,500 for Traditional or Roth IRA and $8,600 for folks 50 or over.
Other common benefit changes
$4,400 for self-only or $8,750 for family coverage - up by $100 for self-only & $325 for family
$3,400 for FSA - up by $100
Standard mileage rate – not yet release but should be sometime in December.
Here is 2025’s rates:
70 cents for business miles - up by 3 cents
21 cents for medical miles
21 cents for moving miles for qualified active-duty members of the Armed Forces
14 cents for charitable service miles
https://www.irs.gov/newsroom/401k-limit-increases-to-24500-for-2026-ira-limit-increases-to-7500