POV: You worked a ton of overtime and actually get to keep more of it this year. 💸 No tax on overtime explained: New rules for 2025 mean you can deduct up to $12,500 of that extra overtime pay from your federal income tax (or $25,000 if you're filing jointly). Wondering how does no tax on overtime work? It applies only to the "extra" pay you get for those hours, not your base hourly rate. While Social Security and Medicare still take their cut, this deduction could seriously beef up your tax refund. How to put overtime on taxes doesn't have to be a headache. TurboTax is up-to-date with the latest tax law changes and ready to help you get every deduction you deserve. #NoTaxOnOvertime #Overtime #TaxTips
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