Overtime Pay Tax Break: Don’t Get Fooled

Must be a Democrat article. I still think any less taxes is a good thing to hard working people

Tax-free overtime means it's the whole thing, not part of it of overtime. Why don't you look that up in the dictionary or on Google on what it means? Tax free overtime

any kind of tax break is better than no tax break. Fool

It’s gonna be money I didn’t have before so I am fine with it

I have an idea why don't they stop taxing on everything we do with our money? I said it before and I will say it again we get taxed to make money and we get taxed to spend it and they wonder why people need to go on welfare. it makes me sick knowing half my paycheck is taxed. With the cost of living most people especially with children wouldn't need government assistance if they would eliminate taxes on certain things like gas, groceries and lower healthcare, lower property taxes and energy cost we all would be better off.

I work 240 hours a year of overtime, I hope I get something.

Now people are going to complain that the tax cut isn't for the wealthier? Before they were pissing and moaning that the cuts were only for the wealthy. This country has lost its mind

So H&R Block will actually have to do some work for the $300 they charge to do my taxes.

they'll just take it after I make it. Between my wife making 6 figures and my job as an ironworker with each of us claiming 1 of two children we ended up owing 13k....and after I figured we'd owe 10k or better...I started throwing an extra 20 a week into withholding and she did 100....still owed 13k. made a payment plan and skipped a year of owing taxes hoping it would level out...now im over 50k for the year along with the wife's 6 figures...she's got 100 with held and I have 120 with held and I claim 0 dependants. How do I keep owing so much money ey and dont have any lol. I work with alot of Unions while not being in one...I explai Ed to one guy and he was literally dumbfounded as he works 7days a week and has for 4 years straight and pulls in 7k TAKE HOME every week and doesn't owe. I've gotta be doing something wrong

Federal income tax deduction for “qualified overtime pay” You can deduct up to $12,500 per individual ($25,000 if married filing jointly). This deduction is applied below-the-line, reducing taxable income after AGI is calculated—even if you take the standard deduction. Only the overtime “premium” qualifies Under the Fair Labor Standards Act, overtime pay is 1.5× the regular rate. Only the additional 0.5× premium per hour (the extra pay above your usual rate) is deductible. For example: working 10 overtime hours at $20/hour base rate (so $30/hour paid) yields $100 per week in premium, up to the annual cap. ADP +1 Thomson Reuters Tax Solutions +1 Income phase-out thresholds apply The deduction phases out starting at MAGI of $150,000 (single) or $300,000 (joint). For each $1,000 above the threshold, the deduction drops by $100, until it phases out completely.