In late 2025, the One Big Beautiful Bill Act (OBBBA) became law, and it brought a major win: Tax Cuts & Jobs Act (TCJA) provisions—including the higher standard deduction—are now extended through 2029, instead of expiring. That means the higher tax brackets, better rates, and standard deduction amounts you've gotten used to aren’t going away soon.

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Why It Matters

• Predictability: You can plan life events with clarity—new home, tuition, marriage, or retirement—without expecting a sudden tax spike next year.

• More taxpayers will take the standard deduction instead of itemizing, keeping tax prep simpler.

• S Corps, LLCs, freelancers: Your pass-through income strategies just gained another five years of tax-friendliness.

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What You Should Do Now

1. Plan big purchases confidently
   With predictable tax brackets and deductions in place until 2030, this is a great time to buy a home, invest in education, or take that significant trip—your after-tax impact is more stable.

2. Evaluate whether to itemize
   If you previously itemized your deductions, compare them to the now-higher standard deduction before you file. Crunching the numbers could save—or cost—you thousands.

3. Lock in prepayments strategically
   Take advantage of the stable deduction environment by prepaying state taxes or charitable gifts in tax-heavy years—just be sure you won't be flipping back to itemizing later.

4. Review retirement, college, and health savings plans
   With your standard deduction locked in, see how retirement contributions, 529 plans, and HSAs may shift your need to itemize. Often you can maximize benefits without complicating your filings.

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Bottom Line: Longevity in tax rules means fewer curveballs and a better tax picture overall. But don't just coast—use these extra years to plan strategically for your finances.

Feel free to reach out if you'd like help running the numbers or prepping strategy for the next five years.