Tax season is basically the adult version of the Sunday Scaries, but it lasts for three months. You’re sitting there, staring at a screen filled with four different versions of the same software, wondering why on earth "Deluxe" doesn't actually mean "everything included." It’s a mess. Most of the time, you end up overpaying for a version that has features you’ll never touch, or you get halfway through the "Free" version only to hit a wall because you sold twenty bucks worth of Dogecoin.
Honestly, the "Which TurboTax do I need" question shouldn't be this hard. But Intuit—the folks behind the curtain—has built a ladder where every rung costs an extra forty to sixty dollars. If you’re not careful, you’ll find yourself paying $120 to file a return that should have been free.
The Free Edition Trap (And Who Actually Qualifies)
Let’s get the big one out of the way. TurboTax Free Edition is real, but it’s incredibly picky. About 37% of taxpayers can actually use it, which sounds like a lot until you realize you’re probably in the other 63%.
If you have a W-2, claim the standard deduction, and maybe have some student loan interest, you’re golden. But the second you try to report a 1099-NEC from a weekend side hustle or even some simple stock dividends, the software will "helpfully" suggest an upgrade. It’s annoying. You’ve already spent forty minutes typing in your address and your kids' social security numbers, so most people just click "Yes" to the $60 upgrade.
For 2025 taxes (the ones you're filing in 2026), the Free Edition covers:
- W-2 income.
- IRS standard deduction.
- Earned Income Tax Credit (EITC).
- Child Tax Credit.
- Limited interest and dividends (1099-INT or 1099-DIV).
If you’re a homeowner with a mortgage? Nope. If you sold any crypto? Not a chance. If you have a Health Savings Account (HSA)? You’re moving up the ladder.
Why Deluxe is the Default for Most Homeowners
TurboTax Deluxe is usually where the "real" software starts for anyone who isn't a student or a first-year employee. It’s designed specifically for people who want to itemize. If you live in a state with high property taxes—think New Jersey or California—the 2025 tax law changes are actually kind of a big deal for you. The SALT (State and Local Tax) deduction cap finally got a bump from that old $10,000 limit up to $40,000 for many filers.
If you’re planning to take advantage of that, you need Deluxe. It searches for over 350 deductions, including mortgage interest and those charitable donations you made to the local thrift shop.
One thing people get wrong: Deluxe is not great for investors. It can handle basic stuff, but if you have a complex portfolio, the software is going to nudge you toward Premier faster than you can say "capital gains."
The Premier vs. Self-Employed Shakedown
This is where it gets expensive. TurboTax Premier is the sweet spot—or the sour spot, depending on your wallet—for anyone with rental property or a brokerage account. If you’re trading on Robinhood or you have a "buy and hold" strategy for Ethereum, Premier is basically required. It can import thousands of transactions directly from your bank, which is a lifesaver. Doing that by hand is a special kind of hell.
But what if you're a freelancer?
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This is a common point of confusion. In the past, there was a dedicated "Self-Employed" version. Now, Intuit has shifted toward a "Premium" tier that bundles investment and self-employment features together for the online version.
If you're a DoorDash driver, a freelance writer, or you run an Etsy shop, you need the version that handles Schedule C. You want to deduct your home office, your mileage, and that new laptop you bought in October. The "Premium" tier (or "Home & Business" if you’re using the desktop version) is the only way to get those industry-specific deductions that actually make filing worth it.
Expert Assist vs. Full Service: Is it Worth the Cash?
Intuit recently rebranded their "Live" services. It's now called Expert Assist and Expert Full Service.
Expert Assist is basically "I'll do it myself, but I want a lifeline." You can ping a CPA or Enrolled Agent via one-way video (they can't see your messy living room, don't worry) to ask if you’re actually allowed to deduct your "business" trip to Vegas.
Full Service is the "take this off my plate" option. You upload your W-2s and 1099s, and a human being does the work for you. In 2026, they’re pushing this hard with "local expert" matching. It’s significantly more expensive, but if your tax situation looks like a bowl of spaghetti, it might save you from an IRS audit letter three years down the road.
Desktop Software: The Secret Money-Saver
Nobody talks about the desktop version anymore because everything is in the cloud, but the CD/Download version is often the better deal.
Why? Because one purchase of TurboTax Deluxe Desktop usually includes five federal e-files. If you have a big family or a group of friends who trust each other, you can share the cost. Also, the Desktop Deluxe version actually includes more forms than the Online Deluxe version. It’s a weird quirk of their pricing model that feels like a glitch in the matrix, but it’s been true for years.
Summary of What You Actually Need
- Simple W-2 only? Stick to the Free Edition. Don't let the pop-ups scare you.
- Own a home but no investments? Deluxe is your best bet to handle that increased $40k SALT cap.
- Sold stock, crypto, or have a rental? You're stuck with Premier/Premium.
- Side hustle or small business? You need the Premium tier (online) or Home & Business (desktop) to handle Schedule C and business expenses.
- Terrified of the IRS? Spring for Expert Assist so a pro can double-check your math before you hit transmit.
Practical Next Steps:
Before you pay a dime, gather all your forms—W-2s, 1099-INTs, and 1099-Ks from Venmo or PayPal. Start with the lowest tier you think you need. TurboTax will always allow you to upgrade later, but they will almost never let you "downgrade" once you’ve started a return without clearing all your data and starting over from scratch. Check the Costco or Amazon sales for the "Desktop" download first; it often goes on sale for $10–$20 less than the Intuit website's direct price.