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Hey mark Kohler here and we're gonna talk about standard deduction versus itemizing now for everybody out there You're an American you're gonna have to file a 1040 tax return and the rules have changed Starting in 2018 until 2023. So you want to know the difference here because it could save you big-time on your tax return All right, the general rule is you want to add up your itemized deductions and compare them against your standard deduction which everyone's greater That's the one you want to take. Now, you're gonna find out pretty quickly that my item i's deductions, aren't that great So you're gonna generally stick with standard deductions and not waste your time adding those up But you want to know the rule so that you know when it's time to take that extra effort and figure out which one's better Now the rules are now in 2018 2019 and tell the foreseeable future in 2023. They may get all changed up again is $12,000 standard deduction if you're single $24,000 if you're married finally joint now, that's where you're gonna fall on the standard deduction Spectrum and then again compare it against the itemized deductions. Okay. Now there's five itemized deductions You want to track the first one is medical Now what medicals could include is all of your out-of-pocket medical expenses? Not your medical insurance? But out-of-pocket medical like dental eyes co-pays deductibles prescription drugs acupuncture massage there tons of stuff You want to keep it over to IRS Publication 502? To look at what medical expenses might get thrown into this bucket Now the math is you're gonna add up all those expenses and the expenses over and above Seven and a half percent of your adjusted gross income go into the equation So for example, if you make a hundred thousand dollars adjusted gross income You've minus seven point five percent. So seventy five hundred and anything above that would be a deductible medical expense So if you had eight thousand dollars in medical expenses, you could deduct five hundred dollars of medical expenses I know it's kind of crappy I'm not a big fan for my business owner videos, you know, I love the HSA and the HRA watch those videos But that's the medical expense You want to add that up anything over seven and a half percent of your AGI? Number two home mortgage interest. Now this one got a little more complicated as well And I've got a separate YouTube video on home mortgage interest But here's the general rule you get to deduct the interest as an itemized deduction on your primary resident mortgage only and in fact, its Acquisition indebtedness. You cannot write off the HELOC interest. You can't write off interest the second home or the RV or the boat It's only interest on your primary home Acquisition and deadness. So if you got a HELOC to remodel the kitchen doesn't matter it's only the...