Short version: OBBBA adds a temporary, targeted deduction for tips. It’s not a universal “no tax on tips.” Many tipped amounts are still taxable, and payroll taxes still apply. Here’s the clean, CFO-level breakdown you can put in front of clients.

We’ve heard the same questions you have: "Is Social Security closing?" "Are my benefits going away?" The short answer: no. What’s Actually Happening, no benefit cuts have been announced. Retirees and beneficiaries will continue to receive their monthly checks. Administrative reshuffling is underway. Some Social Security offices are being consolidated or reorganized, but this does not affect the benefit amounts people receive. The Trust Fund challenge remains. Projections suggest that around 2033–2034, the trust fund could be depleted if Congress takes no action. If that happened, incoming payroll taxes would still cover about 75–80% of benefits. But historically, Congress has stepped in before any reductions took effect.

We often receive questions about record retention, so let's take a moment to clarify what you need to know. Overall, the Federal law requires you to maintain copies of your tax returns and supporting documents for three years. This 'three-year law' leads many to believe that this 3-year period is set in stone and all-inclusive, but it is NOT.