Your estimated savings
You could keep $0 more this tax year
Here's exactly where that money comes from ↓
Federal Tax Breakdown
| Tip income deductible | $0 |
| Overtime premium pay deductible | $0 |
| Total OBBBA deduction | $0 |
| Your estimated federal tax rate | 10.0% |
| Federal income tax saved | $0 |
What the OBBBA does NOT change: FICA taxes
Social Security (6.2%) and Medicare (1.45%) taxes still apply to all your tip and overtime income.
This is money your employer deducts from your paycheck — it won't change.
This is not a criticism of the law — it's a fact many calculators hide. You deserve the accurate picture.
State Tax Impact — Texas
Texas has no state income tax — you keep 100% of these savings.
Update Your W-4 in 3 Steps
- 1
Download a blank W-4 from irs.gov/w4
- 2
On Line 4b (Deductions), enter: $0
- 3
Submit to your payroll department — takes effect on your next paycheck.
Why this matters: Your employer has been withholding as if your tips are fully taxable. Updating your W-4 today puts more money in each paycheck going forward.
How we calculated this ↓
- 1.Annual tip income entered: $0
- 2.Overtime premium pay entered: $0
- 3.Tip deduction (before phase-out): $0 (capped at $25,000)
- 4.Overtime deduction (before phase-out): $0
- 5.Net total OBBBA deduction: $0
- 6.Your estimated marginal federal tax rate: 10%
- 7.Federal income tax saved: $0
- 8.FICA taxes (Social Security + Medicare) still owed on tips: $0 — these are not affected by the OBBBA deduction
Ready to file? Make sure you claim both deductions accurately.
These calculators are for estimates only. A tax pro or software ensures you claim the OBBBA deduction correctly on your return.
Advertising disclosure: OBBBAcheck may earn a commission if you file through the links below — at no extra cost to you. This never affects our calculations or which options we show.
OBBBA expires in 2028 — unless Congress extends it.
Get updates when it changes or your state conforms.