Fact check: What is considered overtime in the big beautiful bill? That’s

1. Summary of the results

The original statement inquires about what is considered overtime in the Big Beautiful Bill. According to ^[1], overtime is considered as the amount of pay that exceeds the regular rate of pay, such as the 'half' portion of 'time-and-a-half' compensation, and is reported on a Form W-2 ^[1]. ^[2] confirms that qualified overtime compensation is deductible, with a maximum annual deduction of $12,500 ($25,000 for joint filers), and phases out for taxpayers with modified adjusted gross income over $150,000 ($300,000 for joint filers) ^[2]. Additionally, ^[3] provides context that the 'no tax on overtime' provision is intended to benefit working-class Americans, with an estimated $1,400 tax cut for workers ^[3]. Other sources, such as ^[2] and ^[4], also support the idea that the One Big Beautiful Bill Act allows individuals who receive qualified overtime compensation to deduct the pay that exceeds their regular rate of pay, with a maximum annual deduction of $12,500 ($25,000 for joint filers) ^{[2] [4]}. However, ^[5] mentions that the Big Beautiful Bill rolls back overtime protections, excluding millions of low-wage salaried workers from time-and-a-half pay ^[5].

2. Missing context/alternative viewpoints

Some sources, such as ^[6] and ^[7], do not provide information on what is considered overtime in the Big Beautiful Bill ^{[6] [7]}. ^[8] explains that only the 'premium' that employers are required to pay for overtime under the Fair Labor Standards Act (FLSA) is eligible for the deduction ^[8]. ^[3] notes that the 'no tax on overtime' provision is intended to benefit working-class Americans, with an estimated $1,400 tax cut for workers, and is seen as an incentive for Americans to find work in the manufacturing sector ^[3]. On the other hand, ^[5] presents an alternative viewpoint, stating that the Big Beautiful Bill rolls back overtime protections, which could negatively impact low-wage salaried workers ^[5]. The IRS and JW sources provide information on the deduction and phase-out of the overtime pay, but do not discuss the potential impact on low-wage workers ^{[2] [4]}. The RWDSU source highlights the potential negative consequences of the bill on working people, which is not mentioned in other sources ^[5].

3. Potential misinformation/bias in the original statement

The original statement does not provide enough context about the Big Beautiful Bill and its provisions regarding overtime pay. The statement may benefit those who support the bill, such as working-class Americans who could receive a tax cut, as mentioned in ^{[3] [3]}. However, it may not accurately represent the potential negative consequences of the bill on low-wage salaried workers, as mentioned in ^{[5] [5]}. The sources from HR Block and IRS may be seen as more neutral, providing information on the deduction and phase-out of the overtime pay ^{[1] [2]}. On the other hand, the source from RWDSU may be seen as more biased, presenting a critical viewpoint of the bill's impact on working people ^[5]. Overall, the original statement lacks a comprehensive understanding of the bill's provisions and potential consequences, which could lead to misinformation or biased interpretations ^{[1] [2] [3] [4] [8] [6] [7] [5]}.