No Tax on Overtime in 2026: The Complete Employer Guide
“No tax on overtime” is a federal income-tax deduction, created by the One Big Beautiful Bill Act, that lets eligible workers deduct the premium portion of their FLSA overtime pay (the “half” of time-and-a-half) for tax years 2025 through 2028. It is capped at $12,500 for single filers and $25,000 for joint filers, and it […]
