In the recent Presidential election, both candidates supported the concept of removing taxes on overtime. The One Big Beautiful Bill Act signed on July 4, 2025, created an overtime exclusion of up to $12,500 for years 2025 to 2028. The overtime pay must be in excess of the normal full-time pay rate. If an employee earns $18 per hour and is paid $27 per hour for overtime, only the $9 added pay is deductible.

There is a limited exclusion of up to $12,500 ($25,000 for joint filers) for overtime income. The overtime exclusion applies to taxpayers with a modified adjusted gross income of $150,000 ($300,000 for a joint return). There is a 10% phaseout above those levels. The overtime benefit phases out for single taxpayers with income of $275,000 and for joint taxpayers with income over $425,000.

The overtime exclusion will be subject to Treasury Secretary regulations to define the methods for determining regular and overtime compensation. Generally, the definitions will follow Section 7 of the Fair Labor Standards Act of 1938. This law generally limits overtime to the amount of time over 40 hours per week. All overtime pay will still be subject to Social Security and Medicare taxes.

The overtime deduction will also be allowed in addition to the standard deduction. It is not necessary to itemize to qualify for the overtime deduction. There will be a reporting requirement for employers to designate the amount of overtime. This information will also be reported to the IRS.

Editor’s Note: Because most employees qualify for the overtime deduction, there may be attempts to structure compensation plans to maximize overtime. The Treasury Secretary is likely to be quite specific in listing the qualified overtime rules to limit potential improper use of this deduction.

What kinds of treatments are available to treat dry eyes?

Dry eyes are a very common problem that affects an estimated 16 million Americans. However, there are lifestyle adjustments and multiple treatment options available to keep your eyes moist and healthy. Here is what you should know.

Dry Eye Problems

Dry, red, burning, irritated eyes are one of the most common reasons for visits to the eye doctor, but discomfort is not the only problem that comes with dry eyes. Light sensitivity, blurred, and fluctuating vision are other common problems too. In addition, dry eyes are more likely to get scratched or infected, which could damage your vision permanently.

The reason people experience dry eyes is because they either do not produce enough tears to keep their eyes properly lubricated, or because they produce poor quality tears. In some cases, dry eyes can be triggered by medical conditions such as diabetes, thyroid disease, allergies, rheumatoid arthritis, lupus and Sjögren’s syndrome. Dry eyes can also result from aging, since tear production tends to diminish over time. Other contributing factors include eye conditions, eyelid problems, certain medications, environmental factors and even procedures like LASIK and cataract surgery.

Lifestyle Adjustments

The first step experts recommend in dealing with dry eyes is to check your lifestyle and surroundings for factors that might be contributing to the problem and make these adjustments: 

• Avoid blowing air: Keep your eyes away from air vents, hair dryers, oscillating and ceiling fans and consider buying a home humidifier.
• Blink more: When you are reading, watching television, or using a smartphone, tablet or computer, take frequent breaks because these activities cause you to blink less often.
• Avoid irritants: Avoid smoke-filled places and if you swim, wear goggles to cut down on exposure to chemicals.
• Use moisture chamber eyeglasses: These goggles/glasses wrap around the sides of your face to seal off your eyes from wind, dust and other drying irritants. These are available in many styles and can be made with prescription lenses.
• Check your meds: Dozens of prescriptions and over the counter (OTC) drugs like antihistamines, decongestants, diuretics, beta-blockers, antidepressants, tranquilizers and Parkinson’s medications can all cause dry eyes. If you are taking any of these, ask your doctor about alternatives.
• Consume more omega-3s: Studies show that eating more fish and other foods rich in omega-3 fatty acids (or taking an omega-3 supplement) may help relieve dry eye symptoms due to their anti-inflammatory properties.

Treatment Options

If adjusting your environment and habits do not offer enough support, there are a variety of OTC eye drops called artificial tears, along with moisturizing gels and ointments that may help your eyes feel better. If you experience a lot of burning, try another product or opt for a preservative-free formula. If you have itchy dry eyes, you may get more relief from antihistamine eye drops, like olopatadine and ketotifen, or decongestant eye drops with active ingredients like naphazoline and glycerin.

If the lifestyle and OTC treatments do not help, see an ophthalmologist. An ophthalmologist can offer additional advice and may prescribe a medication. If your dry eye is severe and does not improve, your doctor might recommend some office procedures like punctal plugs, thermal pulsation, meibomian gland expression and intense pulsed light (IPL) therapy. These procedures target the underlying causes of dry eye, such as meibomian gland dysfunction or tear drainage issues.

Savvy Living is written by Jim Miller, a regular contributor to the NBC Today Show and author of “The Savvy Senior” book. Any links in this article are offered as a service and there is no endorsement of any product. These articles are offered as a helpful and informative service to our friends and may not always reflect this organization’s official position on some topics. Jim invites you to send your senior questions to: Savvy Living, P.O. Box 5443, Norman, OK 73070.

For many years, state and local income and property taxes (SALT) have been deductible by taxpayers who itemize. However, the SALT deduction limit was set at $10,000 by the 2017 Tax Cuts and Jobs Act (TCJA). This limit was a concern for members of Congress from states with substantial income taxes. Taxpayers in those states who face high state or local income taxes and significant taxes on their homes were not able to deduct the full amount of those tax payments.

After a stirring debate in Congress, a compromise was reached, and the SALT limit increased to $40,000 in 2025 and $40,400 in 2026. It will be scaled up by an additional 1% each year until 2029. This higher limit will permit most taxpayers who itemize to deduct their full state and local income tax and the property tax on their home.

The new $40,000 SALT limit applies for 2025 through 2029. However, high income taxpayers will have a reduced deduction. If your 2025 income is over $500,000, your deduction is reduced by 30% of the excess amount. A couple with joint income of $550,000 would have a reduction of 30% of the $50,000 excess. Their SALT limit would be reduced by $15,000 and they could deduct $25,000.

The increased SALT deduction may benefit taxpayers in all 50 states, but the largest benefit will be states with higher taxes. Some top states are New York, California, Connecticut, New Jersey, Illinois and Minnesota.

Editor’s Note: The increased SALT deduction will cause more taxpayers to itemize. Some friends of nonprofits may discover that the SALT increase and charitable “bunching” could be helpful. The charitable “bunching” strategy is to give double the amounts to charity in one year and itemize deductions. The next year, the donor uses the standard deduction. This will be especially popular for those who benefit from the new $6,000 Senior Deduction (added to the standard deduction).

Are there any resources available to assist those aged 50 and above in locating senior discounts?

One of the great perks of growing older is the many discounts that become available. There are literally thousands of senior discounts on a wide variety of products and services including restaurants, travel and lodging, entertainment, retail, health, grocery stores and automotive services. These discounts, typically ranging between 5% to 25% off, can add up to save you hundreds of dollars each year. Here are some tips to help you locate senior discounts.

Always Ask

It is important to understand that most businesses do not advertise senior discounts. If you are comfortable disclosing your age, however, many businesses will offer a discount if asked. Therefore, you should ask about their availability. Be aware that some discounts are available as soon as you turn 50, but many others may not kick in until you turn 55, 60, 62 or 65.

Search Online

Because senior discounts frequently change and can vary depending on where you live and the time of year, the internet is the easiest way to locate them. There are websites targeted towards seniors that provide lists of discounts in different categories including restaurants, grocery stores, retail stores, prescription medications and travel.

You may also look for discounts using a particular business name. Using a standard search engine, type in the business or organization you are interested in, followed by “senior discount.”

Join a Club

Another avenue to locate senior discounts is through membership organizations like AARP, which offers its members a wide variety of discounts through affiliate businesses. While anyone over 18 can join AARP, discounts are focused on those aged 50 and older. You can see details of what is available at AARP.org/ViewMyBenefits.

There are other organizations you may be able to join that also provide discounts including the Association of Mature American Citizens (AMAC.us), the American Automobile Association (AAA.com) or the National Active and Retired Federal Employees Association (NARFE.org).

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Types of Discounts

Seniors can find discounts in a wide range of categories, from restaurants and retail stores to travel and entertainment. Below is a summary of different discounts that you can expect to find.

Restaurants: Senior discounts are common at restaurants and fast-food establishments including Chili’s, Denny’s, Golden Corral, Outback Steakhouse, McDonald’s and Sonic. The benefits range from free or discounted drinks to a discount on your total order.

Retailers: Many thrift stores such as Arc, Goodwill and Salvation Army as well as certain retailers like Kohl’s, Michaels, Ross, Petsmart and Walgreens offer a break to seniors on certain days of the week.

Supermarkets: Many locally-owned grocery stores offer senior discount programs. Some chains like BI-LO, Piggly-Wiggly, Fry’s, New Seasons, Fred Meyer and Hy-Vee offer discounts on certain days of the week.

Travel: American, Delta and United Airlines provide discounted senior fares for select destinations in the U.S. to passengers 65 and older. British Airlines offers AARP members $65 off economy seats. Amtrak provides a 10% discount to travelers 65 and older. Most car rental companies give discounts to travelers 50 and over or to AARP members. Royal Caribbean, Norwegian and Carnival cruise lines offer senior rates to cruisers 55 and over on select cruises. Most hotels also offer senior discounts, usually in the range of a 10% to 20% discount.

Entertainment: Most movie theaters, museums, golf courses, ski slopes and other public entertainment venues provide reduced admission to seniors over 60 or 65. The National Park Service offers a lifetime senior pass for those 62 and older for $80.

Savvy Living is written by Jim Miller, a regular contributor to the NBC Today Show and author of “The Savvy Senior” book. Any links in this article are offered as a service and there is no endorsement of any product. These articles are offered as a helpful and informative service to our friends and may not always reflect this organization’s official position on some topics. Jim invites you to send your senior questions to: Savvy Living, P.O. Box 5443, Norman, OK 73070.