For the 2025 tax year, the "senior bonus" is a new federal tax deduction for those 65 or older by December 31, 2025, offering up to an extra $6,000 deduction (or $12,000 for joint filers), available if your income is below phase-out limits ($75k single, $150k joint MAGI), and claimed on Form 1040/1040-SR as part of the new "One Big Beautiful Bill" (OBBB). Eligibility also requires including your SSN and filing jointly if married, not separately.
Who qualifies for the new $6,000 senior deduction. Seniors must have a modified adjusted gross income under certain thresholds to qualify for the full deduction — up to $75,000 if single or $150,000 if married and filing taxes jointly.
Who qualifies for the $6,000 senior deduction? People who turned 65 by Dec. 31, 2025, are eligible for the new deduction, according to the IRS. The deduction provides $6,000 for each qualifying individual, or $12,000 for married couples who both qualify.
Senior 'bonus' deduction
Eligibility for this tax break depends on income. Taxpayers with up to $75,000 in modified adjusted gross income — or up to $150,000 if married and filing jointly — may receive the full deduction. For incomes above those thresholds, the deduction gradually phases out.
The last disbursement was made in February 2025. You must be aged 20 and below, or 55 and above, in the disbursement year. Lower-income senior Singapore citizens will receive cash payments of $600 to $900 through the AP Seniors' Bonus.
For 2025, the extra deduction is: $6,000 per qualifying senior. Applies to each spouse if both are 65 or older. That means a married couple where both spouses are over 65 could receive an additional $12,000 by claiming this new deduction.
A new, temporary 'senior bonus' will enable many taxpayers age 65 and older to deduct up to $6,000 in income from their federal returns. You must file a new Schedule 1-A. The new enhanced deduction for seniors will cover taxpayers who itemize and those who claim the standard deduction, if they qualify.
The full bonus is available until modified adjusted gross income (MAGI) reaches $75,000 (single) or $150,000 (joint). Above those thresholds, the deduction phases out at about 6% of MAGI over the limit, disappearing entirely around $175,000 single / $250,000 joint.
Cost-of-Living Adjustment (COLA) Information for 2026
The 2.8 percent cost-of-living adjustment (COLA) will begin with benefits payable to nearly 71 million Social Security beneficiaries in January 2026. Increased payments to nearly 7.5 million SSI recipients will begin on December 31, 2025.
Yes, Medicare premiums (Parts A, B, C, and D) can be tax-deductible as medical expenses if you itemize deductions on Schedule A and your total qualified medical costs exceed 7.5% of your Adjusted Gross Income (AGI), but self-employed individuals have a special rule allowing them to deduct premiums above the line, directly reducing AGI.
If you are retired and receiving social security benefits, you will get the payment automatically. If you are retired, not receiving benefits, and did not file taxes in 2018 or 2019, you will need to submit your payment info to the IRS. You can do that on their website.
Yes, Social Security recipients received a Cost-of-Living Adjustment (COLA) for 2025, but the bigger news is that they are getting a larger 2.8% COLA for 2026, announced in October 2025, which began with January 2026 payments, increasing average benefits by about $56 per month. The 2025 COLA was a smaller 2.5% increase, while the 2026 adjustment reflects moderating inflation, leading to higher payments starting in the new year.
The extra $144 added to Social Security usually comes from the Medicare Part B Giveback benefit, offered by some Medicare Advantage (Part C) plans, which pays back some or all your Part B premium, showing up as extra money in your check if it's deducted from your Social Security. To qualify, you need Original Medicare (Parts A & B), pay your own Part B premium, live in a plan's service area, and enroll in a specific Medicare Advantage plan that offers this "rebate," with the amount varying by plan and location.
The new tax deduction for seniors 65 and older allows you to reduce your taxable income by up to $6,000. Taking the new senior deduction can mean less tax or potentially an even bigger tax refund when you file your return.
The new senior deduction allows seniors to deduct from taxable income, up to $6,000 individually or $12,000 if married filing jointly. To qualify, filers must provide their Social Security number on their tax return and be at least 65 years old.
Qualification for the $1,400 stimulus check (the third Economic Impact Payment) in 2021 depended on your 2021 Adjusted Gross Income (AGI) and filing status, with full amounts for single filers earning up to $75,000 (phasing out at $80,000) and joint filers up to $150,000 (phasing out at $160,000), plus $1,400 per dependent; you needed a valid Social Security Number and had to claim it as the Recovery Rebate Credit on your 2021 tax return if you missed the payment, with deadlines typically in April 2025.
The "senior bonus" for 2025 refers to a new, temporary federal tax deduction of up to $6,000 per person (or $12,000 for married couples filing jointly) for those aged 65+, effective for the 2025 tax year (filed in 2026) under the "One Big Beautiful Bill Act". This bonus supplements the existing senior deduction, lowers taxable income (regardless of whether you itemize or take the standard deduction), and phases out at higher incomes, with full phase-outs at Modified Adjusted Gross Income (MAGI) of $175,000 (single) and $250,000 (joint).
The OBBBA provides a new deduction capped at $6,000 annually for certain taxpayers age 65 and older, beginning in 2025. For married seniors who both qualify, they can claim up to $12,000. For higher-income taxpayers, the deduction phases out.
In addition to the existing standard deduction, filers who are age 65 and older can qualify for a new senior bonus deduction of up to $6,000 for individuals and $12,000 for married couples. This deduction is targeted to lower- and middle-income retirees and will help tens of millions keep more of their income.
Yes, Social Security recipients received a Cost-of-Living Adjustment (COLA) for 2025, but the bigger news is that they are getting a larger 2.8% COLA for 2026, announced in October 2025, which began with January 2026 payments, increasing average benefits by about $56 per month. The 2025 COLA was a smaller 2.5% increase, while the 2026 adjustment reflects moderating inflation, leading to higher payments starting in the new year.
Social Security recipients eligible for stimulus checks
AARP worked to ensure that individuals who are collecting Social Security benefits for retirement, disability or Supplemental Security Income (SSI) will be eligible for the stimulus payments.
Meet income and resource limits; Are a U.S. citizen, or a non-citizen who has been lawfully admitted for permanent residence and meet certain special conditions, and are a U.S. resident; Do not reside in a public institution; Apply for benefits from all other programs for which they may qualify.