OBBBA 2025-2028
No Tax on Overtime Calculator
Calculate your overtime pay deduction. Save up to $25,000 (MFJ) or $12,500 (Single).
Calculate Your Savings
Enter your details to estimate your overtime deduction.
What is the No Tax on Overtime Provision?
The OBBBA allows FLSA-eligible workers to deduct overtime pay from their federal taxable income. Maximum deduction is $25,000 for married couples filing jointly, $12,500 for others.
Who Qualifies?
- Non-exempt hourly employees under the Fair Labor Standards Act (FLSA)
- Overtime must be at 1.5x regular rate (time-and-a-half)
- Income below phaseout thresholds
Income Limits
| Filing Status | Max Deduction | Phaseout Start |
|---|---|---|
| Single / HOH / MFS | $12,500 | $150,000 |
| Married Filing Jointly | $25,000 | $300,000 |