How to Take Tax Write Offs

By creating a list of each individual deduction, you may actually qualify for more savings at tax time. Taxpayers often opt to itemize when they have more to deduct in total than the standard deduction would net them. Taxpayers can opt to itemize mortgage interest, charitable donations, and medical expenses.

Which is the Best?

There's no right or wrong deduction. It all depends on your individual tax situation. While taking the standard deduction is the fastest and simplest way to deduct expenses, other taxpayers find that taking the time to itemize can mean thousands of dollars in savings. Generally, people opt for the standard deduction when they don't have time to itemize, don't have documented proof of itemized deductions, or because they assume they don't qualify for additional deductions.

You may want to consider itemizing your deductions if:

You paid interest or taxes on your house

You have a large amount of unreimbursed medical or dental expenses

You made a large charitable contribution

You experienced a casualty or theft loss not covered by insurance

You have employee business expenses