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Retirement may simplify your work schedule, but it doesn't necessarily simplify your taxes. Age, income, charitable giving, and even part-time work can unlock deductions and credits that are surprisingly easy to overlook. If you're reviewing your retirement plan, checking these tax breaks could be just as important as reviewing your withdrawals and investment income.
Missing even one could leave hundreds — or potentially thousands — of dollars on the table.
Some breaks are designed specifically for older taxpayers, while others become especially useful once retirement changes where your income comes from. Here are six worth checking before you file.
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Many successful investors eventually reach the same moment. The saving is done, the portfolio is built, and the question quietly changes from how much can I grow this to how much can I take out? Get that second question wrong and decades of good investing can come apart in a handful of years.
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The extra standard deduction after age 65
Turning 65 can increase your standard deduction automatically when you properly indicate your age on your tax return. For 2026, the additional amount is $2,050 for an unmarried taxpayer who isn't a surviving spouse and $1,650 per qualifying person for married taxpayers and qualifying surviving spouses.
That's on top of the regular 2026 standard deduction of $16,100 for single filers and $32,200 for married couples filing jointly. The exact tax savings depend on your tax bracket — for example, an extra $2,050 deduction could reduce federal income tax by about $246 for someone in the 12% bracket.
The new $6,000 senior deduction
There's now another tax break for people 65 and older, and it's separate from the age-based standard deduction. From 2025 through 2028, eligible taxpayers can claim an additional $6,000 per person, or up to $12,000 for a married couple when both spouses qualify.
The deduction begins phasing out when modified adjusted gross income exceeds $75,000 for most individual filers or $150,000 for joint filers. You can claim it whether you itemize or take the standard deduction, making it potentially worth $720 per person to someone in the 12% federal bracket who qualifies for the full amount.
The Credit for the Elderly or the Disabled
Lower-income retirees may qualify for the federal Credit for the Elderly or the Disabled. You generally must be at least 65, or be younger and retired on permanent and total disability with qualifying taxable disability income. Strict income limits and other eligibility requirements apply.
The credit calculation starts with an initial amount of $3,750 to $7,500, depending on filing status and eligibility, then reduces that amount based on certain income before multiplying the remainder by 15%. The maximum possible credit is therefore $1,125, although the credit is nonrefundable and cannot exceed eligible federal income tax liability. Because nontaxable Social Security benefits and certain pension income can reduce or eliminate the credit, eligibility is narrower than the name suggests.
Released: The Definitive Guide to Retirement Income (Sponsor)
Most people spend their entire working lives focusing on one thing: growing a pile of money. Then they retire and discover the skill they actually need is close to the opposite. Turning that pile into steady income, year after year, through good markets and bad, without ever running out. It may be the least discussed and most consequential transition in personal finance, and plenty of otherwise careful investors walk into it with no real plan.
That is exactly what The Definitive Guide to Retirement Income helps answer.1 <p class="">Investing in securities involves a risk of loss. Past performance is never a guarantee of future returns. Investing in foreign stock markets involves additional risks, such as the risk of currency fluctuations. Guides are provided by Fisher Investments. The publisher may be compensated when readers request a guide.</p> It is a free guide from Fisher Investments covering what your retirement will really cost, where the cash flow should come from, and how much you can safely withdraw each year. Learn More Here ›
Qualified charitable distributions from an IRA
If you're at least 70½ and regularly donate to charity, a qualified charitable distribution, or QCD, can be particularly valuable. A QCD sends money directly from an eligible IRA to a qualifying charity, allowing the otherwise taxable distribution to stay out of your income. It can also count toward your required minimum distribution once RMDs apply.
For 2026, the inflation-adjusted QCD limit rises to $111,000. You don't also get a charitable deduction for the excluded amount, but keeping the distribution out of adjusted gross income can be valuable for retirees who already planned to give.
Tax credits for retirees who still work
Retirement doesn't necessarily mean you've stopped earning wages or contributing to a retirement account. For 2026, the Saver's Credit may be available if your income is no more than $40,250 for most single filers, $60,375 for heads of household, or $80,500 for married couples filing jointly. Depending on income and eligible contributions, the credit can be worth up to $1,000 per person.
Some working retirees may also qualify for the Earned Income Tax Credit (EITC). For 2026, the maximum EITC ranges from $664 with no qualifying children to $8,231 with three or more, but there's an important age catch: taxpayers without a qualifying child generally must be at least 25 but under 65. Older taxpayers with a qualifying child may still qualify if they meet the other rules.
The new charitable deduction for non-itemizers
Beginning with the 2026 tax year, charitable giving can produce a federal deduction even if you don't itemize. Non-itemizers may deduct up to $1,000 in qualifying cash contributions, or $2,000 for married couples filing jointly.
That's especially relevant for retirees who take the standard deduction and previously received no federal income-tax deduction for smaller charitable gifts. The contribution generally must go to a qualified organization, and good records still matter, so keep receipts and confirm the charity's eligibility.
Bottom line
Which of these tax breaks applies to your situation? The extra deductions for older taxpayers alone can lower taxable income substantially, while credits, QCDs, and charitable deductions may provide additional savings depending on your income and filing circumstances.
Before filing, review each rule rather than assuming your tax software caught everything. The IRS offers Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly assistance, and also points taxpayers to AARP Foundation Tax-Aide. A little extra review could help you keep more of your money without changing your broader retirement strategy.
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