US Tax Updates
What Financial Advisers Need to Know
We are implementing updates to reflect legislative changes impacting:
Standard deductions
Senior deductions
2026 marginal tax brackets
Below is a clear summary of what is changing and how it will be modeled in the US software.
Tax Year 2026 Standard Deduction Updates
For tax year 2026, the standard deduction increases as follows:
Note: Voyant applies the standard deduction by default. For more information on this or information on how to apply itemized deductions instead click here.
| Filing Status | 2026 Amount |
|---|---|
| Married Filing Jointly | $32,200 |
| Single | $16,100 |
| Married Filing Separately | $16,100 |
| Head of Household | $24,150 |
To view the standard deduction in your clients plan go to Year View > Taxes and scroll to the Federal Taxable Income section. Example Below.
Enhanced Senior Deduction ($6,000)
What’s Changing?
The $6,000 Enhanced Senior Deduction will now always be included when a client qualifies, whether they:
Take the standard deduction, or
Itemize deductions
Important:
There is no change to the dollar value. This is a structural and display update to ensure compliance and clarity.
How It Will Appear in the Software
When Taking the Standard Deduction
Standard Deduction = Base Standard Deduction + Base Senior Add-On
Enhanced Senior Deduction will appear within itemized deductions (organizational display only)
When Itemizing
The Enhanced Senior Deduction remains included within itemized deductions
Note: The Senior Deduction can be viewed in Year View > Taxes in the Federal Taxable Income section under the Itemized deduction section. See the example below.
Filing Status Treatment
Married Filing Jointly (MFJ):
Enhanced deduction applied to the Joint column.Single:
Applied individually.Married Filing Separately (MFS):
Receives base senior increase only.
Does not qualify for the AGI-dependent $6,000 benefit.
2026 Enhanced Deduction, Income Phase-Out
Beginning in 2025, the $6,000 enhanced deduction became income-sensitive.
Phase-Out Rule
Reduction = 6% of income above threshold
Thresholds:
Single: $75,000
MFJ: $250,000
Note: This means if you have a higher net worth client you are unlikely to see this deduction in their plan.
Full Benefit Examples (2026)
Single – $70,000 Income
Standard Deduction: $16,100 + $2,050
Enhanced Deduction: Full $6,000
MFJ – $125,000 Income (One Spouse 65+)
Standard Deduction: $32,200 + $1,650
Enhanced Deduction: Full $6,000
Phase-Out Examples (2026)
Single – $100,000 Income
Enhanced Deduction reduced to approximately $4,500
MFJ – $200,000 Income (Both 65+)
Each spouse’s benefit phases down
Combined enhanced benefit ≈ $6,000 total
2026 Marginal Tax Rates
For tax year 2026, marginal rates are as follows:
| Rate | Single Income Over | MFJ Income Over |
|---|---|---|
| 37% | $640,600 | $768,700 |
| 35% | $256,225 | $512,450 |
| 32% | $201,775 | $403,550 |
| 24% | $105,700 | $211,400 |
| 22% | $50,400 | $100,800 |
| 12% | $12,400 | $24,800 |
| 10% | Up to $12,400 | Up to $24,800 |
You can see this update in Plan Settings > Federal Tax Brackets. Example Below.
Practical Planning Impacts
These updates may affect:
Roth conversion strategies
Social Security taxation modeling
Retirement income sequencing
MFJ vs. MFS filing analysis
Planning Insight:
The AGI-dependent enhanced deduction introduces a new income-sensitive lever — particularly impactful for clients in the $75,000–$250,000 income range during retirement distribution years.