obbba-breaks¶

Estimate the One Big Beautiful Bill Act (OBBBA) individual income-tax breaks: the increased and made-permanent standard deduction, plus the temporary above-the-line deductions for qualified overtime and tips (tax years 2025–2028).

obbba-breaks is a pure-Rust, zero-dependency crate that returns each deduction as an f64 from per-filer inputs. It is the calculation core behind the TaxBreakCalc tax-break calculator, a free tool for working out the combined effect of the OBBBA individual breaks on your taxable income.

These are estimates pending final IRS guidance

OBBBA (signed July 2025) made the larger TCJA standard deduction permanent, added a small temporary boost for 2025–2028, and introduced the "no tax on overtime" / "no tax on tips" above-the-line deductions. The headline numbers below are widely reported, but the IRS was still finalizing implementation details (exact MAGI definitions, which tips/OT amounts qualify, inflation indexing for future years) through late 2025 and into 2026. Every figure here is an estimate / model input, not a guarantee of any taxpayer's actual deduction. Confirm against final IRS guidance and a qualified tax professional.

Default parameters (estimates)¶

Parameter	Single / HoH	Married Filing Jointly
2025 base standard deduction	`$15,750`	`$31,500`
Temporary add-on (2025–2028)	`$750`	`$1,500`
Overtime / tips deduction cap	`$12,500`	`$25,000`
Overtime / tips MAGI phase-out	begins `$150,000` (single) / `$300,000` (joint); `$1` lost per `$10` MAGI over

How the breaks combine¶

The crate computes three things and lets you stack them:

Standard deduction — base + temporary_addon inside the 2025–2028 window, and just base once the temporary add-on sunsets (2029 onward). OBBBA made the larger TCJA-level base permanent.
Qualified overtime deduction — the lesser of overtime earned and the effective cap at your MAGI.
Qualified tips deduction — same structure as overtime, capped and phased out identically.

Because the overtime and tips deductions are above-the-line, they stack on top of the standard deduction — total_deduction returns standard + overtime + tips for one filing status and year.

Above-the-line, not a credit

All three reduce your adjusted gross income. The actual federal tax saved is roughly total_deduction × marginal_rate; for tips and overtime the deduction is independent of whether you itemize.

Install¶

[dependencies]
obbba-breaks = "0.1"

Quick start¶

use obbba_breaks::{
    standard_deduction, overtime_deduction, tips_deduction, total_deduction,
    addon_applies, FilingStatus,
};

// 2025 standard deduction for a single filer: 15,750 + 750 = 16,500
let sd = standard_deduction(FilingStatus::Single, 2025);
assert!((sd - 16_500.0).abs() < 1e-6);

// Temporary add-on applies 2025–2028, then sunsets
assert!(addon_applies(2025));
assert!(!addon_applies(2029));
assert!((standard_deduction(FilingStatus::Single, 2029) - 15_750.0).abs() < 1e-6); // base only

// Qualified overtime deduction (full, under the MAGI threshold)
let od = overtime_deduction(8_000.0, 90_000.0, FilingStatus::Single);
assert!((od - 8_000.0).abs() < 1e-6);

// Tips deduction capped for a married filer
let td = tips_deduction(40_000.0, 200_000.0, FilingStatus::Joint);
assert!((td - 25_000.0).abs() < 1e-6);

// Stack all three: single 2025, $8k OT + $5k tips, MAGI $90k → 16,500 + 8,000 + 5,000
let t = total_deduction(FilingStatus::Single, 2025, 8_000.0, 5_000.0, 90_000.0);
assert!((t - 29_500.0).abs() < 1e-6);

Where this fits¶

The crate powers the TaxBreakCalc suite, which turns these break estimates into a full picture of how OBBBA changes a household's taxable income. The docs channel you are reading is a dofollow reference pointing back at that tool.