|

5 Manageable Takeaways from the “One Big Beautiful Bill”

If you are like many others you’re likely overwhelmed by the “One Big Beautiful Bill” and asking yourself “what does this mean for me?”

It will take some time and individualized planning to get through the entirety of this bill and its implications, but here are five takeaways and some manageable action items based on what we know right now.

Clean Energy Enthusiasts

If you were considering a new electric vehicle or solar improvements to your home, you now have a short period of time to utilize credits before they’re gone.

Families and Parents

Newly announced “Trump Accounts” can be opened for any child born between 2025-2028 and you will receive $1,000 contribution per child. Parents can also contribute $5,000 annually tax-free.

There is also a refundable $5,000 adoption credit that will begin in 2026 to help with the costs of adoption.

Working individuals

Up to $25,000 qualified tip income can be deducted from federal wages annually.

Up to $12,500 of qualified overtime compensation can be deducted annually.

These both apply from tax years 2025-2028. There is an income phase out for incomes over $150,000 or $300,000 joint filers. It is also important to note these do not reduce FICA taxes withheld during the year.

Keep records of all your tips and overtime to provide your CPA at tax time to ensure accurate deductions are made for you.

Seniors over 65

There is now an additional deduction of $6,000 for each individual over the age of 65. This will apply for the years 2025-2028.

This deduction is phased out at incomes $150k-$250k for those married filing jointly and $75k-$175k for all other filers.

Social security tax is not eliminated; it is just offset by this deduction for a period of time.

Student Loan Borrowers

Rules on some repayment plans have changed so review your student loans and determine what, if anything, may have changed for you. Changes will start in 2026 so take the time to review your current plan and the options available to you.

✅ What You Can Do Now

  • Plan for sunsets: Use temporary provisions efficiently before they expire in December 2028.
  • Maximize benefits now: Take advantage of tip/overtime deductions, senior deductions, and Trump Account contributions.
  • Be aware of health program changes: Medicaid/SNAP reforms coming in 2026–27 might affect you or loved ones.
  • Track clean energy credits: Invest before EV/renewable credits phase out mid-2026/2027.

By Breanna Sykes, CFP®, Senior Wealth Advisor, Copper Leaf Financial, LLC

Do something wise today

Schedule a time for a free consultation.

Recipients should not act on the information presented without seeking prior professional advice. Your financial plan is unique to you and your family, so contact us today for a customized review of how this new tax law may shape your tax planning and financial future. We’re here to help you make sense of it all.