Small Business Tax Savings Podcast

These IRS Number Changes Could Affect Your Taxes in 2026

The video breaks down the 2026 IRS‑adjusted tax numbers that matter most to small‑business owners, from the standard deduction to mileage rates, and explains how these inflation‑driven changes can be turned into planning opportunities. Key figures include a $16,100 single and $32,200 married standard deduction, expanded tax brackets (e.g., the 22 % bracket now runs $50,400‑$105,000 for singles), a Social Security wage cap of $184,500, and a 72.5 ¢ per‑mile business mileage rate. Retirement limits rise to $7,500 ($8,600 catch‑up) for IRAs and $24,500 employee 401(k) contributions plus $8,000 catch‑up, while HSA caps reach $4,400 individual and $8,750 family. Mike emphasizes that marginal rates differ from effective rates, noting that a bonus does not push all income into a higher bracket. He cites hiring children who earn under the $16,100 deduction as a tax‑free strategy, and illustrates a 10,000‑mile drive yielding a $7,250 deduction under the new mileage rate. Capital‑gain thresholds are also outlined: zero tax below $49,500 (single) or $98,900 (married), 15 % up to $545,000/$613,000, and 20 % beyond. For owners, ignoring these updates can cost thousands; proactive adjustments to payroll, retirement contributions, and expense tracking can shave $5,000‑$30,000 off annual taxes. The speaker urges downloading the Tax Savings Podcast starter kit and the 2026 tax resource guide to implement the changes before year‑end.