How much home office deduction can I take for 2025?
Compare the simplified and actual-expense home office deduction for 2025 or 2026. Enter home and office square footage plus expenses to estimate each method and see which yields a larger Schedule C deduction under IRS rules.
How this calculation works
- Simplified method multiplies office square feet by $5 up to 300 sq ft.
- Actual method allocates home expenses by office-use percentage.
- Compares both methods to show potential deductions.
Common mistakes and caveats
- Home office deductions may be limited by business income.
- Expenses must be properly allocated between personal and business use.
- Rules differ for employees versus self-employed filers.
FAQ
Is the simplified method limited?
Yes. The simplified method uses $5 per square foot up to 300 square feet.
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