OPINION:
When congressional Republicans passed the One Big Beautiful Bill Act and President Trump signed it into law on July 4, it was a historic achievement not only for the party but also for the American people.
Unfortunately, since then, we have heard little to nothing about why the bill’s passage will benefit hardworking Americans and spur economic growth. Republicans quickly left Washington for their summer recess and never really returned, becoming embroiled in a government shutdown that lasted nearly the entire fall.
Now, as Democrats are pounding Republicans on the “affordability crisis,” it’s essential that Republican lawmakers focus their attention on one issue and one issue alone: touting the bill’s assistance to the average American. Arguing the legality of narco-drug boat strikes in the Caribbean and Defense Secretary Pete Hegseth’s competency, or focusing on the Jeffrey Epstein files, are all liberal-planted narratives meant to detract from Republican congressional gains. Republicans shouldn’t take the bait.
The White House highlighted some of the provisions in the One Big Beautiful Bill Act this week. The U.S. government will seed $1,000 into an investment account for all children born in the U.S. from 2025 to 2028 who have a Social Security number. These “Trump Accounts” are akin to 401(k)s for children.
Parents and employers can contribute up to $5,000 annually to these tax-advantaged accounts, which the child can cash out when they turn 18 or retain to leverage compound interest.
If a child born next year has a family and employer contribute $5,000 a year into their Trump Account, by the time they turn 18, they will have amassed $170,000. If the child continues saving, by the time they reach 35, the account will have grown to $700,000.
The No. 1 affordability complaint among Gen Z is homeownership. Starting adult life with more than $100,000 in their pocket certainly would help with that.
On Tuesday, Michael and Susan Dell donated $6.25 billion to the Trump Account to expand its reach. The Dells’ gift will fund $250 for children in certain ZIP codes, 10 and younger, who were born before January 2025. Their donation will expand Trump Account eligibility to 25 million more children. The Dells anticipate that other donors and corporations will make similar private contributions.
Another tenet of the One Big Beautiful Bill Act is that if you buy a new car this year through 2028, you can deduct the car’s loan interest payments on your income taxes. The bill allows for deductions up to $10,000 annually. Previously, car loan interest deductions were permitted only for businesses.
“So if you go out and buy a car — and this is for middle-income, lower-income — [they] never really had deductions. You know, rich people like deductions, but middle-income people were never really afforded deductions, which is very unfair,” Mr. Trump said Wednesday of the new tax benefit. “People are going to be able to borrow money, deduct it, so it’s going to cost them essentially half.”
No tax on tips was also included in the bill. As of this year, tipped workers (approximately 6 million in America) will receive about $1,300 more in their pockets. There’s also no tax on overtime. On average, Americans will receive up to $1,400 more per year by not paying taxes on overtime pay. About 20 million workers regularly receive overtime hours.
The bill also includes a new bonus deduction for seniors, allowing them to deduct an extra $6,000 when filing their taxes. Eighty-eight percent of seniors will pay no tax on their Social Security income as a result of deductions exceeding a taxable Social Security income.
For families, starting this year, the measure increases the child tax credit by $200 for each child younger than 17. The maximum per-child credit is now $2,200, up from $2,000 in 2024. Additionally, the credit will be adjusted for inflation each year starting next year.
Overall, the White House anticipates the legislation will give hardworking families a $10,000 annual boost.
This column isn’t going to focus on the bill’s tenets to boost economic growth through small-business support and investments in American manufacturing, but it’s all in there.
It has been more than enough time for Republican lawmakers to start talking about it.
• Kelly Sadler is the commentary editor at The Washington Times.
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