Senator Ricketts’ Weekly Column: OBBB is a Win for Taxpayers

It’s rare to have the opportunity to set an entire nation on a better course for generations.  The One Big Beautiful Bill does just that.  It is truly a win for America and Nebraska.  It preserves, protects, and fosters growth.  It strengthens what makes America great.  It reforms and reduces the waste and inefficiencies that weaken us. 

One of the most important parts of this bill is lowering taxes.  It extends and makes permanent the 2017 Trump tax cuts.  It leaves more money in the wallets of Nebraskans.  It prevents a $2,443 tax increase on the average Nebraska family.  It gives Nebraska families and businesses financial freedom and the ability to grow.  It avoids a $4 trillion tax increase on all Americans.  Across the country, the average family of four would have seen a $1,700 tax increase without the One Big Beautiful Bill. 

In the bill, the highest percentage of tax cuts goes to people making less than $50,000 a year.  Firefighters, nurses, factory workers, and servers who make money on tips or overtime will be the biggest benefactors.  Now, these workers won’t be taxed on the tips and overtime pay that they work extra hard to earn. 

Their employers—whether corporations or small businesses—receive incentives to provide workers with childcare.  That’s in addition to a child tax credit that’s being raised to $2,200 per child.  It’s combined with enhancement of the dependent care assistance program, which excludes up to $7,500 of dependent care assistance expenses from income each year.  That is up from a previous limit of $5,000.  Additionally, the child and dependent care tax credit increases the maximum credit rate from 35% to 50% of care costs.  This means that families are supported as they raise their children and other dependents. 

More money for Nebraska families and their needs is a win for America’s future.  Supporting small business and expanding job opportunity is another win for Nebraska’s future.  The One Big Beautiful Bill also permanently extends the immediate deduction of research and development costs.  It allows business owners to fully expense heavy machinery and equipment while increasing the dollar limits of expensing for business assets.  These enhancements for investments toward innovation, equipment, and tools will help American manufacturers remain the world leaders.  It also permanently raises the death tax exemption, allowing ranches and farms to stay in the family.  These changes make it easier for Nebraska businesses to reinvest in their companies and pass them on to the next generation.  This helps everyone from farmers and ranchers to manufacturers and restaurant owners. 

The One Big Beautiful Bill encourages investment so America stays the leading innovator.  This creates jobs and innovation.  It rewards ingenuity and entrepreneurship.  It makes Nebraska companies more competitive on the global stage. 

The One Big Beautiful Bill will increase the take-home pay for all Nebraska families.  According to the Council of Economic Advisers (CEA), the Tax Cuts and Jobs Act provided a $4,000 increase in average household wage and salary income.  Now with the One Big Beautiful Bill, the CEA forecasts the average take-home pay will increase $4,000 to $7,000. With the average Nebraska family avoiding a tax increase of $2,443, the average worker can see their take-home pay rise up to $9,050 in the first four years of this law’s implementation. That does not include the provisions that end taxes on tips, overtime, and social security for seniors.  This is what real opportunity looks like. 

It will ensure that money stays with Nebraska taxpayers.  It unleashes American dynamism.  It helps Nebraska families and the American worker.  It is indeed One Big Beautiful Bill. 

My team and I are here to serve you.  Contact us anytime by phone at 202-224-4224.  You can also view my website at www.ricketts.senate.gov/contact.