08/30/2026
π¨ WORKED OVERTIME? You may qualify for a new federal tax deduction!
For tax years 2025 through 2028, eligible workers may deduct the qualified overtime premiumβthe extra portion paid above their regular rateβnot necessarily the entire overtime payment.
β
Maximum deduction: β’ $12,500 for single filers
β’ $25,000 for married couples filing jointly
The deduction begins to phase out when modified adjusted gross income exceeds $150,000 for single filers or $300,000 for joint filers.
Important: This deduction generally applies to overtime required under the Fair Labor Standards Act. Save your pay stubs, payroll summaries, employer statements and Wβ2.
For 2026, look for qualified overtime reported in Box 12 of Form Wβ2 using Code TT.
π Save this post and share it with someone who regularly works overtime.
Need help determining whether you qualify? Contact EβZ Partners for professional tax preparation assistance.
π 929β955β1414
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New York, NY 10033
π» In-person and virtual appointments available
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EβZ Partners Corp.
Tax preparation services since 2011
TaxSeason2026