Tucked away among the 940 pages of President Donald Trump’s massive One Big Beautiful Bill Act (OBBBA) are an array of new tax write-offs, exemptions that Trump promised to enact while running for a second term. Those include a provision of the No Tax on Tips Act.

This provision of the OBBBA, which narrowly passed the Senate, and Trump signed into law in July, gives taxpayers the ability to deduct income from tips and overtime pay. It expires at the end of 2028, right before Trump leaves office.

For workers, it creates new tax deductions of up to $25,000 on income made from cash tips, and tips workers report to employers withholding payroll taxes. Eligible employees (see list below) that make up to $160,000 in 2025 qualify. (Going forward, that limit will be adjusted each year for inflat

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