Millions of U.S. workers who earn tips and overtime pay may be eligible for a federal tax break when they file their 2025 income taxes next year.

What to know — and what isn’t known yet — about US tax deductions for tips and overtime pay The deduction provisions are set to expire after the 2028 tax year.

Millions of U.S. workers who earn tips and overtime pay may be eligible for a federal tax break when they file their 2025 income taxes next year.

Overtime pay isn’t currently separated out on an employee’s W-2 tax form, for example, but employers generally keep track of it and itemize it on employees’ pay stubs, said Miguel Burgos, a ...