Compliance Stuff

On July 4, 2025, President Donald Trump signed a comprehensive  budget reconciliation bill  into law, loosening rules around health savings accounts (HSAs), extending telehealth relief, and providing additional income tax relief for tips, overtime pay, and some popular employee fringe benefits. Quick Hits The budget reconciliation bill makes important changes to health savings account (HSA) eligibility and reimbursements, including retroactively restoring the telehealth relief provided by the CARES Act. It also addresses tax relief provided to several fringe benefits. The law also eliminates income taxes on tips and overtime pay. Coverage for Telehealth Services The law makes permanent the  telehealth provisions from the CARES Act in 2020  and subsequent guidance that allow high-deductible health plans (HDHPs) to cover telehealth and other remote medical services before the deductible and still qualify as an HSA-eligible plan . This provision had expired at the end o...

Don’t have the energy to slog through the  1,127 (or so) pages  of the legislative text, amendments, and explanatory materials that comprise the final version of the “Big Beautiful Bill” to see how it impacts labor and employment law? Don’t worry – the Government Affairs team at Fisher Phillips has your back. Here’s an overview of the ways that the workplace will be impacted by the final budget bill signed by President Trump on July 4. No Federal Tax on Overtime and Tips Tipped and hourly workers will be able to deduct significant portions of their tip and overtime income from federal taxes, potentially making hospitality and similar jobs more attractive. Details Individuals must earn $150,000 or less in 2025 to eligible; for couples, the combined income limit is $300,000 (this threshold will be adjusted for inflation in future years) For  tip deductions , employees must work in occupations where receiving tips is customary, such as servers, bartenders, hotel staff, hairs...