πŸ‡ΊπŸ‡Έ One, Big, Beautiful Bill Act - Signed July 4, 2025

Tax Education Center

Learn about the BIGGEST tax changes in years! The "One, Big, Beautiful Bill Act" brings revolutionary tax breaks for working Americans, seniors, and families.

Official IRS.gov Information - Signed July 4, 2025
πŸ”₯ NEW 2025
HIGH IMPACT

NEW: No Tax on Tips

Revolutionary new deduction for tipped workers - deduct qualified tips

Up to $25,000 per year

Phases out over $150K single / $300K joint

2025-2028
πŸ”₯ NEW 2025
HIGH IMPACT

NEW: No Tax on Overtime

Deduct the extra portion of overtime pay (the 'half' in time-and-a-half)

Up to $12,500 ($25,000 joint)

Phases out over $150K single / $300K joint

2025-2028
πŸ”₯ NEW 2025
HIGH IMPACT

NEW: No Tax on Car Loan Interest

Deduct interest on loans for new vehicles assembled in USA

Up to $10,000 per year

Phases out over $100K single / $200K joint

2025-2028
πŸ”₯ NEW 2025
HIGH IMPACT

NEW: Senior Bonus Deduction

Additional deduction for taxpayers age 65 and older

$6,000 per person ($12,000 married)

Phases out over $75K single / $150K joint

2025-2028
HIGH IMPACT

Standard Deduction

Updated standard deduction amounts for 2025

$15,750 Single | $31,500 Married Filing Jointly | $23,625 Head of Household

Tax Year 2025
πŸ”₯ NEW 2025
HIGH IMPACT

State & Local Tax (SALT) Deduction Increased

SALT deduction cap raised from $10,000 to $40,000

$40,000 (phases down for high earners)

2025-2029
πŸ”₯ NEW 2025
HIGH IMPACT

Child Tax Credit INCREASED

Child Tax Credit increased by $200 per child

$2,200 per qualifying child

Tax Year 2025
HIGH IMPACT

Earned Income Tax Credit (EITC)

Maximum EITC for working families

Up to $8,046 (3+ children)

Tax Year 2025
MEDIUM IMPACT

401(k) Contribution Limits

Employee deferral limit for 401(k), 403(b), 457 plans

$23,500 (Under 50) | $31,000 (Age 50+)

Tax Year 2025
MEDIUM IMPACT

Health Savings Account (HSA)

HSA contribution limits for high-deductible health plans

$4,300 Self-Only | $8,550 Family

Tax Year 2025
πŸ”₯ NEW 2025
MEDIUM IMPACT

HSA Expansion - Telehealth

Permanent rule allowing telehealth before meeting deductible

Can receive telehealth & still contribute to HSA

Permanent (2025+)
πŸ”₯ NEW 2025
MEDIUM IMPACT

NEW: Trump Savings Accounts

Government contributes $1,000 for newborns 2025-2028

$1,000 federal contribution + up to $5,000/year private

Starting July 4, 2026
LOW IMPACT

Estate Tax Exemption

Federal estate tax exemption amount

$13,990,000 (2025) | $15,000,000 (2026+)

Tax Year 2025

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