How Does the One Big Beautiful Bill Act Affect Me As a Standard Deduction Filer
The One Big Beautiful Bill Act (OBBB), enacted in 2025, changes the standard deduction in a couple of key ways:
How it changes the standard deduction
Permanent increase to the base standard deduction
Starting in tax year 2025, OBBB permanently raises the base standard deduction amounts.
The new amounts are:
Single & Married Filing Separately: $15,750
Head of Household: $23,625
Married Filing Jointly: $31,500
“Senior bonus” deduction (for age 65+)
OBBB introduces an additional deduction of $6,000 for taxpayers who are 65 or older, effective from 2025 through 2028, in addition to the regular standard deduction. This extra deduction phases out for taxpayers with modified adjusted gross income above certain thresholds (for singles, above $75,000; for joint filers, above $150,000).
Note: this extra deduction is in addition to the standard deduction and is available whether or not you itemize.
What this means in practice
Under OBBB, the standard deduction becomes more generous than under prior law (pre‑OBBB)
for most non-itemizers.
For taxpayers 65+ who meet the income limits, their total deduction (standard + bonus)
will be larger than before. The increases are indexed for inflation going forward.
Personal exemptions are permanently eliminated under OBBB (so that deduction is no longer
available).