(But I Might)

Congress is calling it the “One Big Beautiful Bill.”

I’m calling it lipstick on a legislative pig.

If you’ve scrolled Instagram or landed in a Facebook group full of accountants lately, you’ve probably seen the highlights. Tax-free tips! American-made vehicle write-offs! Bonus depreciation is back, baby!

Sounds like a win, right?

But what if you’re just trying to stabilize your cash flow?

Let’s zoom out.

This bill is being sold as a savior for small businesses, but for most entrepreneurs, it’s just more smoke and mirrors. Because here’s what no one’s telling you: it’s not the silver bullet it’s made out to be.

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TL;DR:

• Tax-free tips are temporary and mostly irrelevant for business owners.
• Bonus depreciation only helps if you already have cash and profits.
• Tax-free overtime is limited, misleading, and phases out at higher incomes.
• American-made vehicle deductions benefit those already spending.
• QBI changes offer real stability—but still exclude some business owners.
• Overall, it’s more distraction than strategy. Focus on building real wealth.

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What’s Actually in the Big Beautiful Bill (and Who It Really Helps)

Tax-Free Tips

Cute for the service industry. A nothingburger for most business owners.

Unless your business model involves literal cash tips, this won’t apply to you. But Congress knows it sounds generous, which is why it’s being paraded as a win.

Besides, when you read the fine print you learn that the tax free tips are somewhat limited, won’t help the most vulnerable of Americans. It’s also only temporary.

💡 Translation: This benefits employers and makes payroll administration easier. It does nothing for the average entrepreneur—except give false hope and another shiny distraction.

Bonus Depreciation

Big tax write-offs for big purchases. Many times, this is used to purchase vehicles for businesses.

Useful—if you’ve got the profits and cash flow to back it up.

But let’s be honest: if you’re stretching to make payroll or still DIYing your books, this does absolutely nothing for you.

What people also don’t realize is that in the case of a vehicle write-off is limited to business use percentages, and is a tax deferral, meaning you will pay tax later upon the sale or disposal of the vehicle. Your business use drops below 51%? You may be on the hook to recapture that deduction even if you still have that vehicle. Proceed with caution.

My pet peeve are lazy “experts” that tell their clients “just buy a vehicle”, or “buy some equipment” as the sole means of tax strategy. Let me tell you something: there are much better tax strategies that leave you with appreciating assets, building legacy, and keeping your own wealth.

💡 Translation: This keeps high-income businesses happy and incentivizes spending as a substitute for strategy. If you’re buying a $90K SUV but still feel broke? That’s not tax strategy. That’s delusion with a steering wheel. Only buy vehicles and equipment that fit into your overall strategy.

Tax-Free Overtime

Sounds like a win for employees. But it’s temporary, and it doesn’t fix the real issue: that many small business teams are chronically overworked and under-resourced.

In addition, this relief is in the form of a tax deduction during tax time. There’s no immediate impact to your paycheck, and you also still have to pay employment taxes on your overtime. Therefore, the term “no tax on overtime pay” is a bit of a misnomer.

To add insult to injury, this deduction will phase out for taxpayers with a Modified Adjusted Gross Income (MAGI) of $150,000 (single) – $300,000 (married) or more. The MAGI calculation adds back deductions such as IRA contribution deductions and other common tax benefits. Therefore, if a taxpayer is close to those thresholds it will be very important to work with a tax advisor to bring the MAGI down to protect that important tax benefit.

💡 Translation: This incentivizes band-aids over boundaries, ignores middle-income Americans, and leaves you right where you started in a few short years.

American-Made Vehicle Deductions

This one’s giving “late-night infomercial for patriots with credit.”

Yes, you can write off more if your vehicle meets specific standards and is American-made. But what if you’re not in the market for a new vehicle? What if you’re trying to stabilize your cash flow?

💡 Translation: This one’s great for people who already have the money. Just like most of the tax code.

QBI Deduction

Now, I’ll be the first to say I’m critical of the bill overall—but there is one glimmer of actual usefulness: the permanent extension and expansion of the Qualified Business Income (QBI) deduction. For those unfamiliar, the QBI deduction allows pass-through business owners—sole proprietors, partnerships, S corps etc to deduct up to 20% of their qualified business income on their personal taxes. It’s been a valuable tool since 2018, but it was set to sunset in 2025, creating massive uncertainty for long-term planning.

Under the OBBBA, not only is the deduction made permanent (finally some stability), but the bill also increases the income thresholds for service-based businesses like consultants, accountants, and healthcare providers. That means more folks in those “specified service trades or businesses” (SSTBs) can now qualify for the deduction—even if they make a bit more money. They’ve also introduced a minimum deduction of $400 for anyone with at least $1,000 of QBI, as long as they materially participate in the business. It’s not groundbreaking, but it’s a rare moment of inclusivity in a tax code that usually favors the already-rich.

Is it enough to redeem the whole bill? Not even close. But if you’re a small business owner who’s been shut out of the QBI deduction in the past, this could finally be your foot in the door.

💡 Translation: Stability is nice. Expanding access is better. But let’s not pretend this levels the playing field—it just shifts the gate a few feet.

Tax Reform or PR Move? What the Big Beautiful Bill Really Does

The bill glosses over the root issues plaguing small business owners: overcomplexity, inconsistency, and the widening gap between real financial support and performative policymaking. While large corporations and well-positioned entities stand to benefit from the fine print, the everyday entrepreneur is once again left trying to decode what actually applies—and scrambling to build wealth in a system that was never built for them in the first place.

And look, I get it. My entire industry is celebrating this bill like it’s a gift from the IRS gods. Why? Because it reinforces just how essential we are to the average business owner trying to stay compliant. But here’s the truth: while taxes are a huge part of running a business, I’d rather spend my time helping clients create real money not just chase deductions and tiptoe around legislative landmines. We shouldn’t have to decode 300 pages of legalese to find out if writing off our SUV or paying our kids is still “allowed.” Real financial empowerment comes from understanding your operations, building sustainable revenue, and having clarity and not from navigating a system designed to confuse and distract.

The System Wasn’t Built for You So Build One That Is

So here’s the real question: is your business strategy designed to save money or to build wealth? Because those aren’t the same thing. The tax code may hand you a few deductions, but true financial power comes from intentionally designing a business that funds your lifestyle, your legacy, and your long-term goals. If you’re only focused on how to write off your next vehicle, you might be missing the bigger opportunity to grow something that pays you well, sustains your future, and moves you closer to financial freedom. Use this moment not just to ask what the bill does, but to ask: what am I building, and is it actually working for me? If you’re ready to answer that question with more clarity, grab my Financial Empowerment Calendar or reach out to talk strategy. Tax planning is one tool—but wealth creation? That’s the real endgame.