Older Americans could see additional tax savings thanks to a temporary “senior bonus deduction” created under tax legislation signed by President Donald Trump in 2025. The new deduction is designed to reduce taxable income for eligible taxpayers age 65 and older, whether they claim the standard deduction or itemize.

Eligible seniors can claim up to $6,000 as individuals or $12,000 for married couples if both spouses qualify. To receive the full deduction, taxpayers must be at least 65 by December 31, 2025. The benefit begins to phase out for individuals with a Modified Adjusted Gross Income (MAGI) above $75,000 and married couples filing jointly above $150,000, disappearing completely at $175,000 and $250,000, respectively.

The deduction is temporary and is scheduled to expire after the 2028 tax year unless Congress extends it. Supporters say it provides meaningful tax relief for retirees, while critics note that future lawmakers will decide whether to make it permanent. The IRS also requires eligible taxpayers to include the qualifying individual’s Social Security number and, if married, file a joint return to claim the deduction.

The White House has highlighted the broader tax package as a success, pointing to provisions such as No Tax on Tips, No Tax on Overtime, and additional tax relief for Social Security recipients. According to the administration, millions of taxpayers claimed these benefits during the first filing season, though the long-term impact of the legislation will continue to be debated as the temporary provisions approach their expiration dates.