Navigating tax season can feel like a daunting task, and if you're considering using TurboTax, you're likely wondering, "How much will TurboTax do my taxes, and what will it cost me?" You've come to the right place! This comprehensive guide will walk you through the various TurboTax options, their features, pricing, and help you determine which one is the perfect fit for your unique tax situation.
Step 1: Let's Start with You! What's Your Tax Story?
Before we dive into the specifics of TurboTax's offerings, let's take a moment to consider your tax situation. This is the crucial first step, as it will largely dictate which TurboTax product will best serve your needs and, consequently, how much you'll pay.
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Are you a W-2 employee with a straightforward return? (No investments, no self-employment, standard deductions.)
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Do you own a home, have significant deductions, or need to itemize? (Mortgage interest, charitable donations, medical expenses.)
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Do you have investments, rental property income, or complex capital gains/losses? (Stocks, bonds, mutual funds, cryptocurrency, rental income.)
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Are you self-employed, a freelancer, a gig worker, or a small business owner? (1099-NEC income, business expenses, home office deductions.)
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Do you want to do your taxes yourself, but appreciate some expert guidance along the way?
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Would you prefer a tax expert to handle everything for you?
Keep these questions in mind as we explore the different TurboTax avenues.
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| How Much To Have Turbotax Do My Taxes |
Step 2: Understanding TurboTax's Core Offerings: Do-It-Yourself Software
TurboTax offers a range of "do-it-yourself" online and desktop software options, each tailored to different levels of tax complexity. The prices mentioned below are for the 2024 tax year (filed in 2025) and are subject to change, often increasing later in the filing season. State filing fees are typically additional to the federal price.
Sub-heading: TurboTax Free Edition
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Who it's for: This is designed for taxpayers with simple tax situations. Think W-2 income, claiming the standard deduction, and limited credits like the Child Tax Credit, Earned Income Tax Credit, or student loan interest deduction. Approximately 37% of filers qualify for this.
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What it does: Allows you to file a basic Form 1040 for free (federal and state).
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Limitations: You cannot itemize deductions or file most schedules (like Schedule A for itemized deductions, Schedule D for capital gains/losses, or Schedule C for business income/expenses). If your tax situation becomes even slightly more complex, you'll need to upgrade.
Sub-heading: TurboTax Deluxe
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Who it's for: This is TurboTax's most popular paid version, ideal for homeowners, those with significant deductions, and individuals looking to maximize tax breaks.
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What it does:
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Maximizes deductions and credits: Searches over 350 deductions and credits to find every tax break you qualify for.
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Homeownership deductions: Helps with mortgage interest, property taxes, and other homeowner-related deductions.
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Charitable donations: Assists with accurately tracking and valuing donations.
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Education expenses: Guidance for education tax credits and deductions (1098-E, 1098-T).
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AI-powered Intuit Assist: Helps find deductions and streamline the process.
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Cost (approximate): Around $89 (Federal), plus an additional fee for state filing (around $64-$69).
Sub-heading: TurboTax Premier
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Who it's for: This tier is specifically designed for investors and those with rental property income.
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What it does (includes all Deluxe features, plus):
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Investment income reporting: Seamlessly reports income from stocks, bonds, mutual funds, and even cryptocurrency transactions (helps calculate capital gains/losses).
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Rental property income: Provides guidance and calculations for rental income, expenses, and depreciation (supports Schedule E).
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Help with employee stock plans: Assists in determining the correct basis for shares.
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Retirement savings maximization: Tools and guidance for IRA savings.
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Cost (approximate): Around $149 (Federal), plus an additional fee for state filing (around $64-$69).
QuickTip: Highlight useful points as you read.
Sub-heading: TurboTax Self-Employed
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Who it's for: This is the go-to option for freelancers, independent contractors, gig workers (e.g., rideshare drivers, delivery drivers), and small business owners who receive 1099-NEC income.
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What it does (includes all Premier features, plus):
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Industry-specific deductions: Identifies unique deductions across various industries (e.g., real estate, online retail, professional consulting).
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Expense tracking: Helps categorize expenses and suggests additional tax deductions.
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Home office deductions: Guides you through determining and deducting home office expenses.
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Mileage and vehicle deductions: Figures out whether actual expenses or the standard mileage rate provides a bigger deduction.
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Quick Employer Forms: Helps create and e-file W-2s and 1099s for employees and contractors.
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Cost (approximate): Around $149 (Federal), plus an additional fee for state filing (around $64-$69). Note: Some sources indicate Premier and Self-Employed are now combined into a "Premium" tier for online versions, or that "Self-Employed" is a separate, higher tier depending on the product type (online vs. desktop). Always check the latest pricing on the TurboTax website.
Step 3: Considering Expert Assistance: TurboTax Live and Full Service
Beyond the "do-it-yourself" software, TurboTax offers options where you can get help from a human tax expert. This comes at a higher cost but provides added peace of mind.
Sub-heading: TurboTax Live Assisted
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Who it's for: This is for individuals who want to prepare their own taxes using the software but desire on-demand help and a final review by a tax expert.
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What it does: You work through your return as usual, but you can connect with a tax expert via video or phone to ask questions and get guidance. Before you file, a tax expert performs a comprehensive review of your return to ensure accuracy and maximize your refund.
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Pricing Structure: TurboTax Live Assisted is available across various tiers (Basic, Deluxe, Premium, Self-Employed), with the "Live" feature adding a premium to the base software price.
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Live Assisted Basic: Starts around $89 (Federal), plus state fees.
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Live Assisted Deluxe: Starts around $139 (Federal), plus state fees.
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Live Assisted Premium (or Self-Employed Live): Starts around $219 (Federal), plus state fees.
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Benefits: Offers the convenience of DIY with the reassurance of expert oversight. You get unlimited expert help as you go.
Sub-heading: TurboTax Live Full Service
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Who it's for: This option is for those who want a tax expert to handle their entire tax preparation process from start to finish. You upload your documents, and a dedicated expert does the rest.
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What it does:
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Expert Match: TurboTax matches you with a tax expert tailored to your specific tax situation.
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Document Upload: You securely upload all your tax documents.
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Expert Preparation: The tax expert prepares your return, ensuring accuracy and identifying all eligible deductions and credits.
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Review and File: The expert reviews the completed return with you and files it on your behalf.
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Audit Support: Includes year-round audit support.
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Pricing Structure: This is the most expensive option, with prices varying significantly based on the complexity of your return.
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Starting Price: Can start around $129 (Federal), but final pricing depends heavily on your actual tax situation and forms used.
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Self-Employed Full Service: Can range significantly, potentially starting from $409 (Federal) for more complex self-employment situations.
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Benefits: Maximum convenience and peace of mind. You delegate the entire process to a professional.
Step 4: Understanding Additional Costs and Considerations
Beyond the base product price, there are a few other factors that can influence the final cost of having TurboTax do your taxes:
Sub-heading: State Filing Fees
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Almost all paid TurboTax federal products require an additional fee for each state return you file. These typically range from $0 (for simple free edition filings) to $69 per state. Some desktop versions might include one state download, but e-filing that state return could still incur a fee.
Tip: Patience makes reading smoother.
Sub-heading: Refund Processing Service Fee
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If you choose to pay for your TurboTax product using your federal or state refund (meaning the fee is deducted from your refund), there's typically an additional processing fee of around $40.
Sub-heading: Audit Defense
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While TurboTax offers free audit guidance (explaining what to expect if you receive an audit letter), full audit representation (where a tax professional represents you before the IRS) is usually an optional add-on service that comes with an additional fee. This is often called "Audit Defense."
Sub-heading: Mobile App vs. Desktop Software vs. Online
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TurboTax offers online versions accessible through a web browser, mobile apps, and downloadable desktop software. While the core features are similar, pricing and specific promotional offers (like limited-time mobile app deals) can sometimes vary. The desktop versions often allow for more federal e-files (typically 5) for one price.
Sub-heading: Promotions and Discounts
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Keep an eye out for early-bird discounts and promotional offers. Prices often increase as the tax season progresses, especially closer to the filing deadline. Some partners (like NerdWallet) may offer exclusive discounts.
Step 5: Making Your Decision: Which TurboTax is Right for You?
Now that you understand the different tiers and costs, let's help you decide:
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Choose TurboTax Free Edition if: Your tax situation is extremely simple (W-2 income only, standard deduction, basic credits like EITC or Child Tax Credit, student loan interest).
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Choose TurboTax Deluxe if: You own a home, have significant itemized deductions (medical, charitable, mortgage interest), or need to claim various tax credits beyond the basic ones.
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Choose TurboTax Premier if: You have investments (stocks, crypto, mutual funds), income from rental properties, or other complex investment-related tax situations.
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Choose TurboTax Self-Employed if: You are a freelancer, independent contractor, gig worker, or small business owner with 1099 income and business expenses.
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Choose TurboTax Live Assisted if: You want to do your taxes yourself but want the reassurance of having a tax expert review your return and provide guidance when you get stuck.
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Choose TurboTax Live Full Service if: You want a tax expert to handle your entire tax return from start to finish, minimizing your involvement and maximizing peace of mind.
Remember: You don't pay for TurboTax until you're ready to file! This allows you to explore the different versions and input your information to see which one best fits your needs before committing financially.
Frequently Asked Questions (FAQs)
Tip: Look out for transitions like ‘however’ or ‘but’.
How to determine if my tax situation is "simple" for TurboTax Free Edition?
Your tax situation is generally considered "simple" for TurboTax Free Edition if you only have W-2 income, take the standard deduction, and claim limited credits like the Earned Income Tax Credit (EITC), Child Tax Credit, or student loan interest deduction. If you have itemized deductions, investment income, or self-employment income, you will likely need a paid version.
How to know if I need to itemize deductions?
You should consider itemizing deductions if your total eligible itemized deductions (such as mortgage interest, state and local taxes, medical expenses, charitable contributions) exceed the standard deduction amount for your filing status. TurboTax Deluxe can help you determine if itemizing is beneficial.
How to report investment income with TurboTax?
If you have investment income (like from stocks, bonds, mutual funds, or cryptocurrency), you will typically need TurboTax Premier (or Premium) to report these accurately, as it includes the necessary forms like Schedule D for capital gains and losses.
How to handle self-employment income and expenses in TurboTax?
For self-employment income, you'll need TurboTax Self-Employed. This version is designed to help you report 1099-NEC income, track business expenses, and calculate deductions like home office expenses and vehicle mileage.
How to get help from a tax expert while using TurboTax?
To get expert help, you can opt for TurboTax Live Assisted, which provides on-demand access to tax professionals and a final expert review of your return. If you prefer an expert to do everything, TurboTax Live Full Service is the option.
Tip: Keep scrolling — each part adds context.
How to pay for TurboTax using my tax refund?
TurboTax offers a "Refund Processing Service" where the cost of the software is deducted from your federal or state refund. Be aware that this service usually comes with an additional processing fee.
How to get the best price on TurboTax?
To get the best price, consider filing early in the tax season (prices often increase closer to the deadline), look for promotional offers or discounts, and choose the software tier that precisely matches your tax complexity without overpaying for unnecessary features.
How to file state taxes with TurboTax?
State tax filing is typically an additional cost for most paid TurboTax federal products. You can usually add your state return within the TurboTax software, and the program will transfer your federal information over to simplify the state filing process.
How to know if I qualify for IRS Free File?
The IRS Free File program, which includes some TurboTax products as part of its offerings, is for taxpayers with an Adjusted Gross Income (AGI) below a certain threshold (e.g., $84,000 for Tax Year 2024, filed in 2025). You can check the IRS Free File website to see if you meet the eligibility criteria for participating providers.
How to ensure accuracy and get the maximum refund with TurboTax?
TurboTax offers an "Accurate Calculations Guarantee" and a "Maximum Refund Guarantee." To ensure accuracy, carefully input all your information, utilize the software's built-in error checks, and consider TurboTax Live Assisted for an expert review or Full Service for expert preparation.
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