Schedule 1-A Calculator
The four new deductions created by the Working Families Tax Cuts law all live on one form — Schedule 1-A — and they stack. Enter your income and each qualifying amount to see the total deduction and what it is likely worth in tax savings. Each deduction has its own cap and its own income phase-out; this estimate applies all of them.
Sources: IRS — Schedule 1-A, Additional Deductions · IRS — New and enhanced deductions for individuals
Overtime deduction$4,000
Tips deduction$0
Senior deduction$0
Car loan interest deduction$0
Total Schedule 1-A deduction$4,000
Your marginal rateEstimated on taxable income of $49,25022%
Estimated federal tax saving$880
Estimate only: MAGI is approximated by AGI, each deduction applies its own cap and phase-out, and savings assume your marginal rate stays in the same bracket. Actual amounts come from the Schedule 1-A worksheet on your return.
How the pieces stack
- Overtime: up to $12,500 ($25,000 joint), phases out above $150k/$300k MAGI.
- Tips: up to $25,000, same phase-out thresholds.
- Seniors 65+: $6,000 each, phases out above $75k/$150k at 6%.
- Car loan interest: up to $10,000, phases out above $100k/$200k at 20%.
- All four are available whether you itemize or take the standard deduction.
What this estimate simplifies
- MAGI is approximated by AGI — excluded Puerto Rico income and Forms 2555/4563 add-backs are not modeled.
- Savings use your marginal rate before the deductions; large deductions can cross bracket lines, so actual savings may be slightly lower.
- Eligibility rules still apply per deduction (qualified occupations for tips, FLSA overtime, US-assembled vehicle, age 65+).