About No Tax on Overtime Calculator
The short version
We build and maintain calculators for three new federal deductions, for tax years 2025 to 2028: qualified overtime, qualified tips and car-loan interest. You enter the W-2 box 12 amount (code TT or TP) or your hours. The calculator applies the cap and the income phase-out and shows each step.
Our sources
The rules come from the IRS, and we link to them on the pages where they apply:
- IRS: What to know about the no tax on overtime deduction
- IRS: One Big Beautiful Bill Act tax deductions for working Americans and seniors
- IRS Notice 2025-69 and Revenue Procedure 2025-32
- Schedule 1-A (Form 1040) and IRS Fact Sheet 2026-13
When the IRS publishes new guidance, we re-check the figures and change the “last checked” date in the footer.
How the overtime figure is worked out
Only the premium half of time-and-a-half counts: the “half” on top of your regular rate, as required by the federal Fair Labor Standards Act. The full overtime paycheck doesn’t. State income tax is a separate question, covered on the state page.
Not tax advice
These are estimates for planning, not tax advice. Nobody on our team is acting as your tax preparer. For a return you’ll file, check the result with a CPA, an enrolled agent or the IRS instructions.
Contact
Spot a figure that disagrees with the IRS? Tell us which one: support@notaxonovertime.site.
Figures last checked: · Page updated: