Buffalo, N.Y. (WBEN) - The beginning of November is turning into the time to pay attention to the taxes you will file in the spring.
That's because many people don't know that some of the features of the new tax bill, including deductions on tips and overtime, take effect this year.
"In that huge tax bill that was passed earlier this year, there were some things that take effect right now," said Jill Schlesinger, host of "Jill on Money". "A lot of people are saying, 'Next year I get to do this and this,' but actually, it's this year that a lot of the features of the Trump Tax Bill are taking effect. You kind of have to think about it right now, there's only two months left."
The changes taking effect this year include:
Deductions on Overtime and Tips: Tip income up to $25,000 qualifies for a deduction, which phases out after $150,000 in income. Up to $12,500 in overtime can be deducted, also phasing out for those making more than $150,000.
Deduction for Auto Loan Interest: For new cars, trucks, SUVs, minivans and motorcycles that have final assembly in the US. Up to $10,000 of loan interest can be deducted. The deduction phases out for individuals earning more than $100,000 or couples making over $200,000.
Senior Bonus Deduction: Seniors 65 and older may qualify for an additional $6,000 deduction.
You can see more info about the changes on Jill's blog.