What Is the $6,000 Senior Deduction? The OBBBA Bonus Explained
The $6,000 senior deduction is a new above-the-line tax deduction created by the One Big Beautiful Bill Act (OBBBA) for taxpayers age 65 and older. It reduces your adjusted gross income by up to $6,000 per qualifying individual and is entirely separate from the long-standing additional standard deduction for seniors. You claim it on Schedule 1-A, and it is available whether you take the standard deduction or itemize.
What is the $6,000 senior deduction?
The OBBBA, signed into law in 2025, created three new above-the-line deductions: one for qualified tips, one for overtime pay, and one for seniors. The senior bonus deduction provides up to $6,000 per taxpayer who is age 65 or older by the end of the tax year and has a valid Social Security number.
"Above the line" means the deduction is subtracted from gross income to arrive at adjusted gross income (AGI). This is significant because AGI is used to determine eligibility for many other tax benefits, including the taxable portion of Social Security benefits, Medicare premium surcharges, and various credits and deductions that phase out based on income.
The deduction is per taxpayer, not per return. If both spouses on a joint return are 65 or older, each qualifies for the full $6,000, for a combined deduction of $12,000.
How it differs from the additional standard deduction
Many seniors are already familiar with the additional standard deduction for age 65+. In 2026, this adds $2,050 to the standard deduction for single and head-of-household filers, or $1,650 per spouse for married filers. This provision has existed for decades and is part of the standard deduction calculation on Form 1040.
The key differences between the two:
| Feature | Additional Standard Deduction | OBBBA Senior Bonus |
|---|---|---|
| Amount (single) | $2,050 | Up to $6,000 |
| Amount (married, per spouse) | $1,650 | Up to $6,000 |
| Where claimed | Form 1040 (standard deduction) | Schedule 1-A, Part III |
| Reduces AGI? | No (below the line) | Yes (above the line) |
| Income phase-out? | None | Yes, at $75,000 / $150,000 |
| Available if itemizing? | No | Yes |
| Expiration | Permanent | 2025-2028 |
The two deductions can be claimed together. A single filer age 65+ with MAGI below $75,000 receives the base standard deduction ($16,100), plus the additional standard deduction ($2,050), plus the senior bonus ($6,000), for a combined total of $24,150.
Who qualifies
To claim the senior bonus deduction, you must meet all of the following requirements:
- Be age 65 or older by December 31 of the tax year
- Have a valid Social Security number (ITIN filers do not qualify)
- File as single, head of household, or married filing jointly (MFS filers are excluded)
- Have MAGI below the full elimination threshold ($175,000 single, $250,000 MFJ)
There is no earned income requirement. The deduction is available to retirees whose income consists entirely of Social Security, pensions, investment returns, or other non-wage sources. It is also available to seniors who are still working.
Phase-out overview
The senior bonus deduction phases out as MAGI increases above the threshold. The reduction rate is 6% of MAGI above the threshold:
- Single / Head of Household: Phase-out begins at $75,000 MAGI, fully eliminated at $175,000
- Married Filing Jointly: Phase-out begins at $150,000 MAGI, fully eliminated at $250,000
For example, a single filer with $105,000 in MAGI would see a reduction of 6% x $30,000 = $1,800. The deduction would be $6,000 - $1,800 = $4,200.
For a step-by-step walkthrough with multiple worked examples, see our dedicated post on how to calculate the senior deduction phase-out.
How to claim it
The senior bonus deduction is claimed on Schedule 1-A, the new form created for OBBBA above-the-line deductions. Part III of Schedule 1-A is designated for the senior bonus. The deduction amount (after any phase-out reduction) flows to Form 1040, where it reduces your gross income to arrive at AGI.
If you use tax software, the software should calculate the deduction and phase-out automatically based on your age and MAGI. If you file manually, you will need to complete Schedule 1-A and transfer the result to the appropriate line on Form 1040.
Use the senior bonus deduction calculator to estimate your deduction based on your filing status and income, or see the senior bonus deduction glossary entry for additional details on eligibility and documentation.