This article was originally published in our weekly newsletter.

I’ve received a lot of questions about the One Big Beautiful Bill.

A lot has changed.

The following is intended to serve as a Q&A to clarify many of the claims being made online.

“Is Social Security tax-free?”

Social Security taxes did not change.

That was a part of the draft that went to the House. It did not pass. There are no direct changes to how Social Security is taxed.

The One Big Beautiful Bill did pass an additional deduction for those 65 and older who have a modified adjusted gross income of $75k or less for singles or $150k or less for married couples. Those who qualify will receive an additional $ 6,000 or $ 12,000 deduction for couples on top of their standard deduction.

If you were receiving benefits tax-free, you’ll probably continue to receive them tax-free.

If you were paying taxes on your Social Security, you may continue paying taxes on your Social Security unless you can use the new senior deduction to offset your Social Security benefits taxes.

“Can I get a part of the new senior deduction, even if my Modified Adjusted Gross Income (MAGI) is above the $75k MAGI (Single) or $150k MAGI (Married) threshold?”

Yes, but you won’t get it all. The deductions phase out.

For those who file single, the full senior deduction is available for those with a MAGI up to $75k (MAGI) and phases out at around $195k MAGI.

In other words, if your MAGI is above $195k as someone who files taxes Single, you will not receive a benefit from this deduction.

For those who file jointly, the full deduction is up to $150,000 in MAGI and phases out at around $390,000 in MAGI.

“Are all of these tax changes permanent?”

No. The tax brackets are permanent, or until the next administration changes them.

Other changes or additional benefits, such as the senior deduction, are expected to end around 2031.

“Can I contribute to an HSA even when I am on Medicare?”

You cannot contribute to your HSA if you are on Medicare (Part A, B, or D).

Before the One Big Beautiful Bill, couples would need to separate their HSA contributions. If one spouse had an HSA, only one catch-up would have been allowed.

Beginning in the tax year 2026, married couples who are both 55 years old or older and are covered by a High Deductible Health Plan can contribute both catch-up amounts to a single HSA account.

Spouses do not need to have a separate HSA account anymore (starting next year).

“Do my RMDs (Required Minimum Distributions) start at 75 now?”

They do not. RMDs begin at 75 years old if you were born on or after January 1, 1960.

Everyone else will start their RMDs at age 73.

“Can I deduct my charitable gifting now, even if I take the standard deduction?”

Yes, up to $300 per person.

Donations must go to a 501(c)(3).

The Takeaway

A lot has changed.

Take a moment and consider adjusting your income and tax strategies to help capitalize on these potential opportunities.