The One Big Beautiful Bill Act (BBB), passed by both houses of the US Congress in July 2025, is a major tax reform law brought under the Trump administration. This law promises to provide relief to the country’s taxpayers, but despite this, there is no provision for a “stimulus check” or direct cash payment, which has created confusion among many Americans.
In this article, we will know in detail what is in this bill, what is not, and what effect it will have on the common citizens.
Is there a direct stimulus payment in the Big Beautiful Bill?
The biggest confusion about this law is whether there is going to be a stimulus check again like the CARES Act (2020) or the American Rescue Plan (2021)? The clear answer is: no.
There is no universal direct payment or cash assistance for all in the Big Beautiful Bill (BBB). Neither adults will get any direct check, nor is unemployment allowance or financial assistance like the time of the pandemic being given this time.
Official sources like the White House and USA Today have clarified that this new law is a tax relief reform, not a relief fund scheme. It provides some new deductions, tax credits and exemptions to provide relief to taxpayers, which are specially designed keeping in mind certain sections.
Benefits under BBB: Who will get how much benefit?
Although this law does not make direct cash payments, it does have some tax-related benefits, which are as follows:
Tax exemption on tips and overtime
If your annual income is less than $1,50,000, you can get tax exemption on tips up to $25,000 and on overtime income up to $160,000. This is especially beneficial for those who work in the service sectors.
New child tax credit
This bill includes a Child Tax Credit of up to $2,500. Of these, up to $1,600 is refundable, meaning you can get money even if no tax is due. This credit is specifically designed for low-income families.
Increased standard deduction
Standard deduction has now been increased to $15,750 for single taxpayers and $31,500 for married couples. This amount will be adjusted every year according to inflation.
Deduction on car loan interest
Now taxpayers can deduct the interest amount of up to $2,500 on their car loan from tax. This facility has brought a lot of relief to those middle-class families who depend on automobile loans.
According to the Tax Foundation, these changes can help an average taxpayer save tax of $500 to $1,500 annually, depending on their financial situation.
Trump Accounts Program: Does it provide any direct money?
Although the BBB law does not make direct cash payments, a scheme called the Trump Accounts Program has been launched along with it, which is a special type of financial assistance.
Under this program, for newborns born between 2025 and 2028, the government will make a lump sum deposit of $1,000 in a savings account in their name. Its purpose is to promote long-term savings and not to provide immediate relief.
It is worth noting that this scheme is only for new parents. Those who do not have a child in this period, or whose children are already grown up, will not get the benefit of this scheme.
So does the common American not get any benefit from this?
It would be wrong to say that the common American will not get any benefit. Yes, it is definitely true that BBB is not for those who were expecting immediate relief. But if a person pays taxes, and their income is within certain limits, they can certainly:
- Reduce their tax liability
- Take advantage of tax credits
- Save through deductions
Additionally, those who have children at home or who depend on tips or overtime for income will also get a big relief.
Why did the public get confused?
The government’s stimulus checks during the COVID-19 pandemic created a strong sense of “government helping” among people. But the BBB’s goal is to reform a long-term tax structure, not provide emergency relief.
Many people are still comparing this bill to the old relief packages, which has led to confusion.
Conclusion: Is the Big Beautiful Bill beneficial for you?
The Big Beautiful Bill is an initiative that seeks to bring permanent and long-term reform to the US tax system. The main purpose of this law is not direct cash assistance, but to provide relief through the tax system. If you are a regular taxpayer, have limited income, have young children or your income is based on tips and overtime, this bill may prove beneficial for you.
However, for Americans who were hoping for a direct cash payment or “stimulus check” like during the pandemic, this bill may not bring that kind of relief. But tax deductions, credits and exemptions can save you hundreds of dollars a year, which can be significant for any family.
FAQs
Q1. Is the Big Beautiful Bill giving out new stimulus checks like during the pandemic?
A. No, the Big Beautiful Bill does not include direct stimulus payments like those from 2020 or 2021. It focuses on long-term tax relief through deductions and credits, not immediate cash payouts.
Q2. Why are people confused about stimulus checks in this bill?
A. Many Americans expected similar support as in past relief packages, leading to confusion. However, this bill is a tax reform, not a direct aid or emergency relief program.
Q3. What kind of financial help does the BBB actually offer?
A. The bill offers tax benefits like deductions on tips, overtime, car loan interest, and a new child tax credit. These savings can range from $500 to $1,500 per year depending on income and eligibility.
Q4. Who benefits the most from this new tax package?
A. Individuals earning under $150,000, parents of young children, and those with high overtime or tip income may benefit the most. It’s designed to help working-class families save more through the tax system.
Q5. Is there any program that offers direct payments at all?
A. Yes, but only through the Trump Accounts Program, which gives a $1,000 deposit for newborns born between 2025 and 2028. This is a savings incentive for parents, not a general stimulus for the public.