The “Big Beautiful Bill” (officially the One Big Beautiful Bill Act) is a sweeping tax and spending package passed in July 2025. It makes permanent many Trump-era tax cuts, introduces new tax breaks for working Americans, and enacts deep cuts to federal safety-net programs. The bill also increases spending on border security and defense, while rolling back clean energy incentives and tightening requirements for social programs.

Pros

1. Tax Relief for Middle and Working-Class Families

• Makes the 2017 Trump tax cuts permanent, preventing a scheduled tax hike for many Americans.
• Introduces new tax breaks: no federal income tax on tips and overtime pay (for incomes under $150,000, with limits).
• Doubles the Child Tax Credit to $2,500 per child through 2028.
• Temporarily raises the SALT (state and local tax) deduction cap to $40,000.
• Creates “Trump Accounts”: tax-exempt savings accounts for newborns.

2. Support for Small Businesses and Economic Growth

• Makes the small business deduction permanent, supporting Main Street businesses.
• Expands expensing for investment in short-lived assets and domestic R&D, which is considered pro-growth.

3. Increased Spending on Security and Infrastructure

• Allocates $175 billion for border security and $160 billion for defense, the highest peacetime military budget in U.S. history.
• Provides $12.5 billion for air traffic control modernization.

4. Simplification and Fairness in the Tax Code

• Expands the Earned Income Tax Credit (EITC) and raises marginal rates on individuals earning over $400,000.
• Closes various deductions and loopholes, especially those benefiting private equity and multinational corporations.

Cons

1. Deep Cuts to Social Safety Net Programs

• Cuts Medicaid by approximately $930 billion and imposes new work requirements, which could leave millions without health insurance.
• Tightens eligibility and work requirements for SNAP (food assistance), potentially removing benefits from many low-income families.
• Rolls back student loan forgiveness and repeals Biden-era subsidies.

2. Increases the Federal Deficit

• The bill is projected to add $3.3–4 trillion to the federal deficit over 10 years.
• Critics argue that the combination of tax cuts and increased spending is fiscally irresponsible.

3. Benefits Skewed Toward the Wealthy

• The largest income gains go to affluent Americans, with top earners seeing significant after-tax increases.
• Critics describe the bill as the largest upward transfer of wealth in recent U.S. history.

4. Rollback of Clean Energy and Climate Incentives

• Eliminates tax credits for electric vehicles and solar energy by the end of 2025.
• Imposes stricter requirements for renewable energy developers, which could lead to job losses and higher electricity costs.

5. Potential Harm to Healthcare and Rural Hospitals

• Reduces funding for hospitals serving Medicaid recipients, increasing uncompensated care costs and threatening rural healthcare access.
• Tightens verification for federal premium subsidies under the Affordable Care Act, risking coverage for some middle-income Americans.

6. Public and Political Backlash

• The bill is unpopular in public polls and is seen as a political risk for its supporters.
• Critics warn it will widen the gap between rich and poor and reverse progress on alternative energy and healthcare.

Summary Table

In summary:
The Big Beautiful Bill delivers significant tax relief and new benefits for many working and middle-class Americans, but it does so at the cost of deep cuts to social programs, a higher federal deficit, and reduced support for clean energy and healthcare. The bill is highly polarizing, with supporters touting its pro-growth and pro-family provisions, while critics warn of increased inequality and harm to vulnerable populations.

Houston is home to one of the most vibrant Black entrepreneurial communities in the nation, with Black-owned businesses now accounting for up to 4.7% of all local businesses—well above both the Texas and national averages. From 2017 to 2020 alone, the number of Black-owned businesses in Texas surged by an impressive 13.6%, and these firms generated over $141 billion in revenue in 2020, providing employment to more than 1.3 million Texans. The city consistently ranks among the top metros for minority-owned startups, with nearly 5,600 minority-owned startups—about 30% of all new companies—calling Houston home.

But behind this success story lies a critical question: Are these businesses truly built to last?

Despite this remarkable growth, over 70% of Black-owned businesses in Houston lack a formal succession or legacy plan. Without these crucial plans, businesses are at risk of closure or costly legal battles if the owner becomes incapacitated or passes away, threatening to erase years of hard work and generational progress. Only 1 in 5 Black families in Houston pre-plan for funerals or final expenses, compounding the risk of financial hardship for families and communities.

Systemic barriers such as limited access to capital, lower rates of financial planning, and a lack of generational wealth continue to challenge Black entrepreneurs in Houston.While the entrepreneurial spirit is strong, the infrastructure to ensure these businesses endure for generations is still being built.

That’s why Doing Far More LLC, led by Mrs. Donna Marshall-Payne, is hosting the Spring Formal—a pivotal event dedicated to empowering Houston’s Black entrepreneurs with the knowledge and tools to secure their business legacy. As part of the Black Entrepreneur Tour, the event will be held at 23161 Morton Ranch Rd, Katy, TX 77449 and will feature influential voices like Marcus Bowers (CEO of She’s Happy Hair and Cinema Anywhere Houston), Martel Matthews (co-owner of Black Wall Street), Brittany Hall (owner of La Lutte Empire and La Lutte Bartending), and event sponsor YetundeO (founder and creative director of The UpperRoomEvents).

The evening will also include special experiences: Flume TV and Eyeconic Television will be covering the event alongside Bolanle Media, Chef Shay will present an elegant spread table, and La Lutte Bartending will offer a signature mimosa bar drink crafted especially for Doing Far More.

If you’re an entrepreneur in Houston, this is the conversation you can’t afford to miss. Don’t let your business become a statistic. Secure your spot at the Spring Formal and join a community committed to building generational wealth and lasting legacies. For more information or to RSVP, contact Mrs. Donna Marshall-Payne at 832.745.1114 or email info@doingfarmore.com

Let’s ensure Houston’s Black-owned businesses don’t just thrive today, but are truly built to last for generations to come.

The newly passed Trump tax bill is making headlines for introducing some of the most significant tax breaks and policy changes in years. Whether you’re a worker, parent, homeowner, or business owner, there’s a good chance something in this bill will impact your finances. Here’s a clear, detailed breakdown of what’s inside, who benefits, and what you need to know.

1. No Tax on Tips (With Restrictions)

Who Benefits: Workers in industries where tipping is customary (servers, bartenders, hair stylists, taxi drivers).

Key Details:

• Eligibility: Must work in a tipping industry, earn less than $150,000/year, and tips must be paid voluntarily (not as a service charge).
• Cash Only: Only cash tips are eligible (though there’s some debate if credit card tips count).
• Cap: Maximum of $25,000 in tax-free tips per year.

Fine Print:
This change won’t apply to office workers or high earners. For many, the main benefit is being able to report cash tips for things like loan approval, without paying extra tax.

2. No Tax on Overtime Pay

Who Benefits: Employees earning less than $150,000/year who work more than 40 hours a week.

Key Details:

• Deduction: You can deduct the full amount of your overtime pay from your taxable income, making it effectively tax-free.
• Time Frame: Applies to income earned from 2025 to 2028.
• Note: Only a small percentage of workers regularly receive overtime, but for those who do, the savings could be substantial.

3. $40,000 State and Local Tax (SALT) Deduction

Who Benefits: Taxpayers in high-tax states who itemize deductions.

Key Details:

• New Cap: Raises the SALT deduction limit from $10,000 to $40,000.
• Income Limit: Only for those with adjusted gross income under $500,000.
• Must Itemize: You’ll need to itemize deductions instead of taking the standard deduction ($30,000 for most).

Fine Print:
This mostly helps people in states like California, New York, and New Jersey. If your state/local/property taxes are high, this could mean thousands in savings.

4. Deduct Interest on Personal Car Loans

Who Benefits: Buyers of American-made vehicles with loans.

Key Details:

• Deduction: Up to $10,000 in interest paid on a personal car loan can be deducted each year (2025–2028).
• Income Phase-Out: Deduction phases out for singles earning over $100,000 and married couples over $200,000, disappearing entirely at $150,000/$300,000.
• Car Must Be Made in the USA.

Caution:
Don’t take out a bigger loan just for the deduction—only buy what you can afford!

5. $1,000 “Trump Account” for Newborns

Who Benefits: Children born in the U.S. from 2025–2028.

Key Details:

• One-Time Credit: $1,000 per eligible child, deposited into a special account.
• Investment Growth: Money can be invested and used for education, a first home, or starting a business—taxed at favorable rates.
• Unused Funds: If not used by age 31, the account is cashed out and taxed as regular income.

6. Clean Vehicle and Energy Credits Ending

Key Details:

• The $7,500 electric vehicle tax credit and other clean energy incentives will end by 2026.
• If you want these rebates, act fast before they’re gone!

7. Extension of 2018 Tax Cuts and Jobs Act

Who Benefits: Business owners, high earners, and estates.

Key Details:

• Top Tax Bracket: Remains at 37% (was set to rise).
• Business Deductions: 20% pass-through deduction and 100% bonus depreciation for business investments extended.
• Estate Tax: Higher exemption amount continues.

8. Social Security Income Relief

Who Benefits: Retirees collecting Social Security.

Key Details:

• Extra Deduction: $4,000 added to the standard deduction for those on Social Security (phases out above $75,000 single/$150,000 married).
• Not All Income Tax-Free: This shields some, but not all, Social Security income from taxes.

What Does This Mean for You?

• Workers: More take-home pay if you earn tips or overtime.
• Families: $1,000 for each new child, plus potential savings if you itemize deductions.
• Car Buyers: Big deduction if you buy American-made and finance your car.
• Homeowners in High-Tax States: Major relief on state/local taxes.
• Business Owners: Continued access to significant tax breaks.
• Retirees: Extra deduction for Social Security recipients.

Share This!

If you found this breakdown helpful, share it with friends and family—these changes could mean thousands of dollars in savings for millions of Americans. Stay tuned for updates as the bill is implemented and more details emerge!

Have questions about how these changes affect you? Ask below!