Married filing separately blocks 3 of these 4 deductions — only the car loan interest deduction is unaffected
Modified adjusted gross income, before any of these deductions
No tax on overtime
Just the FLSA 'half' premium, from W-2 Box 12 code TT — leave at $0 if none
No tax on tips
Leave at $0 if none
Car loan interest deduction
New vehicle, right type, under 14,000 lbs, final assembly in the US, loan from after 2024
Leave at $0 if none
Senior bonus deduction
On a joint return, both spouses can qualify
Total new deductions
$0
Estimate for reference only, not verified proof — check the sources below, and their access date, before relying on this for a claim or filing.
Each figure comes from the same rules as its own dedicated calculator. All four exist only for tax years 2025-2028. See overtime,tips,car loan interestand senior deduction calculators for the full rules behind each one.
2025 tax law savings calculator
Overtime, tips, car loan interest, and the senior bonus — see all four new deductions together, and your combined tax savings.
The 2025 tax law added four separate below-the-line deductions for 2025 through 2028 — no tax on overtime (up to $12,500/$25,000), no tax on tips (up to $25,000), car loan interest (up to $10,000), and an extra $6,000 for being 65 or older. A taxpayer can qualify for more than one at once, each phasing out independently against the same MAGI, for a combined total this calculator adds up.
Reviewed by RuleCost Editorial Team. Rules for 2026, updated 18 Sept 2026.
How to use it
- 1Choose your filing status and enter your expected MAGI for the year.
- 2Fill in the section for each deduction that applies to you — leave any that don't apply at $0 or "No."
- 3See your combined total deduction and estimated tax savings across all four, with a breakdown of each.
How this calculator works
This tool doesn’t add any new tax rules — it runs the same four calculations as the dedicated overtime, tips, car loan interest, and senior bonus calculators, side by side against one shared MAGI and filing status, and adds up the results.
A worked example
Single filer, MAGI $70,000, with qualifying overtime pay, tips, and a car loan — no qualifying senior on the return.
| Provision | Input | Deduction | Estimated tax saved |
|---|---|---|---|
| No tax on overtime | $4,000 qualifying pay | $4,000 | $880 |
| No tax on tips | $6,000 qualifying tips | $6,000 | $1,320 |
| Car loan interest | $2,500 interest paid | $2,500 | $550 |
| Senior bonus | Nobody 65+ on the return | $0 | $0 |
| Total | $12,500 | $2,750 |
Three different phase-out shapes, one household MAGI
The four provisions don’t just have different caps — they use three genuinely different phase-out mechanics, all measured against the same MAGI:
- Overtime and tips floor to the nearest $1,000 step — $999 over the threshold costs nothing.
- Car loan interest ceilings to the nearest $1,000 step — $1 over the threshold already costs a full step.
- The senior bonus is a smooth 6% reduction with no step at all.
None of this changes by combining them — each provision’s own phase-out runs exactly as it would on its own dedicated calculator, using the MAGI you enter once here.
Questions
- Why is this different from the four individual calculators?
- Each individual calculator explains one provision in full depth — its own eligibility rules, phase-out mechanics, and worked examples. This one is for someone who qualifies for more than one at once and wants the combined picture, using the exact same underlying rules as each dedicated tool.
- Do the four deductions interact with each other?
- No — each phases out independently against the same MAGI figure. Claiming one doesn't reduce the MAGI used to calculate another, and none of the four caps or thresholds are shared between provisions.
- Can I claim all four in the same year?
- Yes, if you separately meet each one's own requirements — qualifying overtime pay, tips from a listed occupation, a qualifying car loan, and turning 65 by year-end. They're independent provisions of the tax code, not alternatives to each other.
- Do all four require a joint return if I'm married?
- Three of the four do — overtime, tips, and the senior bonus deduction are all barred entirely for married filing separately. The car loan interest deduction is the exception: a separate filer can still claim it, just against the lower $100,000 MAGI threshold instead of $200,000.
- Are all four available whether I itemize or not?
- Yes — all four are claimed on Schedule 1-A and available to standard-deduction filers, not just itemizers.