Category Taxes & Tools

In July 2025, President Trump signed a major new tax law called the “One Big Beautiful Bill” (OBBB), which brings big changes for middle-class Americans. One of the biggest parts of the law is that it makes permanent the lower tax brackets and the bigger standard deduction that first came from the 2017 tax cuts. This means many families will pay less in taxes and have a simpler time doing their taxes each year. Another important part of the law is the boost to the Child Tax Credit—from $2,000 to $2,200 per child—which will also keep going up with inflation to help families keep up with rising costs. Overall, this new law aims to give lasting financial relief to millions of working families across the country.

The "One Big Beautiful Bill Act" is a major new law that changes how taxes, retirement, and student loans work for many Americans. Passed in August 2025, the law makes the lower tax rates from the 2017 Tax Cuts and Jobs Act permanent, which means people will keep paying less in federal taxes than before. It also raises the limit on the state and local tax (SALT) deduction to $40,000, helping people in high-tax states save more. There’s a new tax break for tipped workers making under $150,000 a year and more help for people paying interest on car loans if the car was made in the U.S. Seniors can now get a temporary deduction of up to $6,000, although details on that part are still unfolding. Overall, the bill aims to give financial relief to many groups across the country.

The "One Big Beautiful Bill Act," signed into law on July 4, 2025, brings major changes to how Americans pay taxes. Building on the 2017 Tax Cuts and Jobs Act, it makes those individual tax cuts permanent and increases the standard deduction to $15,750 for single filers and $31,500 for couples who file jointly. This means many people will pay less in taxes each year. The law also helps homeowners by raising the limit on the state and local tax (SALT) deduction from $10,000 to $40,000 through 2029. These changes are designed to give more financial relief to middle-class families, although critics say the long-term effects on government revenue and income inequality still need to be watched.

On July 4, 2025, the U.S. government passed a major tax law called the "One Big Beautiful Bill Act," the biggest update to the tax code since 2017. This new law brings permanent changes like lower income tax rates and higher standard deductions. For 2025, the standard deduction has been raised to $15,750 for single filers and $31,500 for married couples, meaning more of your income is protected from taxes. One of the biggest changes is the increase of the State and Local Tax (SALT) deduction cap from $10,000 to $40,000. This will especially help people living in high-tax states, like New York and California. The law aims to give more financial relief to taxpayers during a time of economic uncertainty.

On July 3, 2025, Congress passed a major bill called the “One Big Beautiful Bill,” which made the Trump-era tax cuts permanent. These tax cuts were originally created to reduce the amount of taxes paid by both businesses and individuals. The new law also gives companies bigger tax breaks when they buy new equipment. While the bill does include small tax breaks on things like tips and overtime, those are only temporary. Most of the benefits from this law go to large businesses and wealthier Americans. At the same time, the law cuts funding for social programs that help low-income families. Experts from Yale found that people making under $40,000 per year may end up worse off, even though high-income earners will gain the most.

In July 2025, President Donald Trump signed a major new law that changes how taxes and student loans work in the U.S. One big part of this law is the temporary increase of the SALT (State and Local Tax) deduction cap from $10,000 to $40,000 for five years. This means people in high-tax states like California and New York could write off more of their state and local taxes on their federal returns, which may lower their tax bills and increase their take-home pay. The law also includes bigger tax credits for making homes more energy-efficient. While supporters say the changes will give families more money to spend and invest, critics worry the plan will cost the government too much—about $320 billion over the next ten years—which could increase the national debt.