What Was in Trump’s Tax Bill?

5 Ways the New 2025 Tax Plan Impacts Healthcare Professionals

Why this tax bill matters more than it seems

You’ve probably seen the headlines: Trump’s 2025 tax bill is big, bold, and full of changes. But if you’re a healthcare professional, especially one who’s self-employed, a high earner, or thinking of shifting from W-2 to 1099, this bill could significantly change how you plan, earn, and save.

So let’s strip away the jargon and walk through the five key areas that matter most… especially if you’re the kind of business owner, independent contractor or W2 employee who’s juggling shifts, contracts, and a never-ending to-do list.

Your tax rates won’t rise after 2025, and that’s a win

Tax planner support just got more important

Back in 2017, tax cuts were passed that lowered personal income tax and small business rates, but those cuts were set to expire in 2025. This new bill makes those changes permanent.

What that means for you:

If you’re a 1099 contractor (like our many CRNAs, physicians, or locum provider clients), your income is likely taxed as business income.
These permanent rates allow for better long-term strategy when working with a tax planner CPA or financial expert.

You’re no longer scrambling year to year. With the right partner, you can build a consistent structure and stop guessing at what the IRS will want next.

Wages, tips, and overtime may now stretch further

What this means for hospital staff and side hustlers

Under the new law, tips and overtime pay are no longer taxable for qualifying workers. While most NTC clients operate as independent contractors, some also work occasional W-2 jobs on the side, or are considering making the shift.

This part of the bill is designed to protect lower-wage earners from jumping tax brackets, but for medical professionals, it can still unlock smarter income allocation.

If you’re working both W-2 and 1099 jobs, this is your sign to talk to a small business accountant who understands how to manage mixed-income scenarios.

SALT deduction expansion: good news if you own property

Personal accounting just became more strategic

The State and Local Tax (SALT) deduction cap has been raised from $10K to $40K for households making under $500,000. That’s a major relief if you’re in high-tax states like California, New Jersey, or New York.

For many of our clients who own homes, invest in property, or file jointly, this change could reduce your effective tax rate significantly.

Let’s say you’re a nurse practitioner in New Jersey, earning $350K and paying high local taxes. You’ve been capped on how much you can deduct. But with this new limit, your personal bookkeeping gets more room to breathe.

Pairing this with strategic tax preparation planning means you keep more of what you earn.

Medicaid eligibility rules are tightening

You may not be impacted by thispart of Trumps tax bill, but people you care about might

One of the more controversial points in the bill: adults aged 19–55 who want to stay on Medicaid must now work at least 20 hours a week (unless they’re disabled, in school, or caring for dependents).

As a healthcare professional, this might not apply directly to you, but what about:

The part-time receptionist you employ?
A family member transitioning to full-time caregiving?
Clients in your private practice?

Understanding how this affects your circle, and your business is key. It may even change how you hire or support your team.

It’s also a good moment to review how your outsourced bookkeeping is managing employee classifications, health benefits, and payroll deductions.

A new retirement deduction for seniors: big impact for seasoned pros

If you’re nearing retirement, this matters

A new $4,000–$6,000 deduction has been introduced for seniors living on a fixed income. If you’re a senior provider, or if your partner is semi-retired, this could help reduce taxable income and stretch savings.

This becomes even more powerful when paired with a defined retirement strategy built into your business model, something a CFO for small business can help you establish.

Many of our older clients ask:

“Can I still take advantage of tax benefits even if I’m slowing down?”
The answer is yes. If your systems are set up to support it – which is exactly with NTC Accounting Firm establishes for them.

MAGA accounts for kids: not immediate, but worth noting

Building generational wealth through financial strategy, not guessing

Parents can open an account for kids up to age 8; and receive a $1,000 seed. The money is locked until age 18, grows into early adulthood, and by 30, your child has full control.

Age & Eligibility for “Trump Accounts” 🧒

Who qualifies for the $1,000 government seed bonus?
U.S. children born between January 1, 2024, and December 31, 2028, are eligible to receive a one-time $1,000 deposit into a MAGA account.
When can the account be opened?
Starting January 1, 2026, parents or guardians can establish a MAGA account for children under 8 years old.
You cannot open an account after age 8, and no contributions (public or private) are allowed once the child turns 18.

While the value is symbolic now, it opens the door to larger wealth-building conversations. If you’re a parent, this could prompt tax-efficient ways to contribute to your child’s future, from hiring them in your practice to opening Roth IRAs or education savings plans.

This is where an accounting outsourcing company like NTC adds real value. We connect tax planning with family legacy.

Paint the picture: how tax life looks with NTC Accounting Firm as your strategic financial partner

Let’s be honest: tax policy is complex. But what it creates in real life is much more simple. It’s either stress or relief, panic or calm.

Life for our clients before working with NTC Accounting Firm…

They’re Googling “what does this bill mean for CRNAs?” at 11pm.
Their inbox is full of unread IRS notices.
They don’t know whether you’re doing things “right.”

After partnering with NTC Accounting Firm…

Their tax planner explains how the new bill affects your specific setup.
They get quarterly strategy reviews and clear projections.
They always end up feeling more confident, as well as more compliant.

We don’t just fill in forms. We restructure your finances so you can stop overpaying, build future-proof systems, and finally feel in control of your money.

Whether it’s self employed bookkeeping, trust tax preparation, or planning for audits, we’ve got you.

Let’s turn this year’s policy changes into next year’s peace of mind.

Bottom line: this bill changes things. But strategy changes everything.

The tax code isn’t going to slow down, but you don’t have to get lost in the shuffle.

With NTC, you get more than a pro bookkeeping service. You get a strategic financial partner who:

Knows your industry
Understands your pressures
And translates all the complexity of wealth management into calm

It’s not just about tax season. Think about the whole picture.

If you’re ready to take the next step 📅 Book your strategy call today.