How The New Tax and Spending Bill Could Affect You
How the New Tax and Spending Bill Could Affect You
The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, brings notable changes to federal tax and spending policy that could affect your financial strategy. As your trusted financial partner, we believe it’s essential to help you stay informed and prepared.
Here’s a brief overview of the key changes:
- Adjusted Income Tax Brackets: The bill modifies income thresholds, which may shift your tax rate depending on your earnings.
- Standard Deduction Updates: Changes to the standard deduction could impact how much of your income is taxable.
- Credits and Deductions: Some popular tax credits have been expanded, while others have been reduced or eliminated.
- Capital Gains and Investment Income: New rules may affect how your investment income is taxed.
- Retirement Contributions and Limits: Updates to contribution limits and tax treatment of retirement accounts could influence your long-term planning.
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