Personal Finance (Not Investing) • Tax bracket adjustments in "OBBBA"

One would have to also watch out for the start of the phase out of the extra senior deduction in 2026, which I think today is somewhere just above the start of the 22% bracket if MFJ. Is the $150,000 MAGI threshold for the extra senior deduction phase out indexed to inflation?

I'm pretty sure it's not indexed. An over 65 couple will be in the 12% bracket until a bit above $148K in 2026.

Year                      20252026SD, MFJ, both over 65                   34,70035,500Bonus deduction (BD)12,00012,000Total deduction46,70047,500Top of 12% bracket96,950100,800AGI at top of 12% bracket143,650148,300AGI for start of BD phase-out150,000150,00022% bracket below BD phase-out6,3501,700

Statistics: Posted by MtnBiker — Fri Oct 10, 2025 9:32 pm — Replies 36 — Views 4667