5 Last-Minute Tax Tips You Shouldn’t Forget

2. Should you itemize or take the standard deduction?
Once you’ve calculated your total income, most taxpayers are allowed to take either a standard deduction, or to itemize specific deductible items. What’s important to remember is that you have a choice between those two options, and you can pick whichever one will save you the most. Making the wrong choice can cost you.

Most taxpayers who make this mistake take the standard deduction rather than itemizing, figuring that the standard deduction requires less work and has less audit risk. But if you’ve paid mortgage interest, made charitable donations, incurred real estate or state income taxes, or suffered casualty losses or extensive medical expenses during the year, knowing what you’d be entitled to if you itemized is crucial to saving as much as you can.