Home Office Deduction Calculator

If you use part of your home regularly and exclusively for business, you can deduct it using the IRS simplified method ($5/sq ft, up to 300 sq ft) or the actual expense method (your business-use percentage of real home costs). Enter your numbers to see which one saves you more for 2026.

Business-use percentage

10.0%

Simplified method

$750

$5/sq ft, up to 300 sq ft

Actual expense method

$2,300

10.0% of $23,000 in home expenses

Tax impact of the actual expense method

Deduction amount $2,300
Total tax without deduction $15,495
Total tax with deduction $14,965
Estimated tax savings $530

Home office deduction by state

The deduction itself is a federal (and usually state) income calculation, but your savings depend on your combined tax rate. Jump to your state:

GigTaxTools provides estimates for planning purposes only and is not tax, legal, or accounting advice. Tax figures reflect 2026 federal and state rates as published and may not capture every deduction, credit, or local tax that applies to your situation. Consult a qualified tax professional before filing.

% © 2026 GigTaxTools. All calculations are estimates.