Standard vs itemized decision

Step 1 is collecting your filing status and tax year so the calculator knows which standard deduction values to compare against. Standard deduction amounts differ by filing status and year, so the tool always anchors the comparison to the period you select. You also tell the tool whether you are eligible to take the standard deduction, which controls whether it is included in the final comparison.

Step 2 tallies your itemized deductions by category. You enter totals for state and local taxes, mortgage interest and points, charitable contributions, medical expenses, and any other itemized deductions you plan to claim. The calculator sums the inputs to create a single itemized total. It does not invent additional deductions or rules that were not part of your entry.

Step 3 compares the itemized total to the standard deduction amount for your tax year and status. If you are not eligible for the standard deduction, the comparison defaults to itemized. Otherwise, the calculator selects the higher deduction as the recommended method because it generally reduces taxable income the most. The output includes the difference between the two deductions so you can see how close the decision is.

Step 4 estimates the tax impact of the deduction difference once rates are applied. The tool does not calculate your full tax bill here, but it flags where the deduction choice is likely to matter. If you are close to the crossover point, the calculator prompts you to revisit missing categories or update totals so the recommendation reflects your real documentation.

Step 5 summarizes the decision with a plain-language explanation so you can document your choice. The tool pairs the recommendation with your itemized total and eligibility flag, making it easier to share with a preparer or keep in your records. If anything is incomplete, the confidence note points you back to the missing categories.