Tax season arrives and you're staring at three options. TurboTax, the name everyone knows. H&R Block, the one with offices on every corner. FreeTaxUSA, the one that sounds too good to be true. All three will file your federal return. The question is which one is worth your money, or whether you need to spend money at all.
FreeTaxUSA
Who should use FreeTaxUSA: If your tax situation is straightforward: W2 income, standard deduction, maybe some student loan interest. FreeTaxUSA handles everything you need. Federal filing is free. State returns cost about $15. The interface isn't as polished as TurboTax, but the math is the same. For simple filers, there's no compelling reason to pay $80+ for a premium product.
H&R Block
Who should use H&R Block: If you want the option of walking into a physical office and having a human look at your return, H&R Block is the play. Their online product is solid and priced between FreeTaxUSA and TurboTax. Their free tier covers W2 income and simple returns. Their mid-tier (~$55) handles itemized deductions, freelance income, and investments. The hybrid model (start online, finish in person) is genuinely useful if you hit a question you can't answer.
TurboTax
Who should use TurboTax: If you have a complex return: rental income, stock options, multiple state filings, business ownership. TurboTax's interview-style interface is the most thorough at catching deductions and walking you through unusual situations. It's also the most expensive ($90–$130+ for mid-to-upper tiers). The premium isn't the software itself. It's the hand-holding for complicated tax scenarios.
The honest truth: For about 60–70% of American taxpayers, FreeTaxUSA does everything the expensive options do. The IRS doesn't care which software you used. A correctly filed return is a correctly filed return.
Before you file, use our Paycheck Calculator to estimate your federal tax liability for the year. If the number on your W2 is close to what the calculator projects, your withholding is on track. If there's a big gap, that's worth investigating before you file.
Our pick for most filers: TurboTax. If you have freelance income, investments, or anything beyond a basic W2, TurboTax's guided experience catches deductions other software misses. Start free, pay when you file →