Big News: New Tax Breaks for Working Americans & Seniors

Source: IRS.gov – The One, Big, Beautiful Bill Act

The new One, Big, Beautiful Bill Act (Public Law 119-21, enacted July 2025) brings fresh opportunities to keep more money in your pocket.

Highlights to Know

  • Tip Deduction: Deduct up to $25,000 in qualified tips if you work in a tipped occupation.
  • Overtime Deduction: Deduct up to $12,500 (or $25,000 for joint filers) for qualifying overtime pay.
  • Vehicle Loan Interest: Deduct up to $10,000 in interest on a loan used to buy a U.S.-assembled personal vehicle.
  • Standard Deduction Increase: $31,500 (joint) / $15,750 (single) for 2025.

What It Means for You:
 You could save thousands in taxes—and use those savings to reach your next financial goal.

LPCCU Tip:
 Put your extra savings to work in an LPCCU deposit account or use them to pay down high-interest debt.