Meatpacking Overtime Tax Deduction Calculator
For slaughter and processing crews on 50–60 hour weeks.
The short answer: At the numbers below, the deduction is $4,000, worth $400 at 10% ($15 per paycheck).
Regular rate (not OT rate)
Hours worked beyond 40/week
Modified Adjusted Gross Income
Overtime Premium Deduction
$4,000
✅ You qualify for the full deduction
⚠️ This calculator provides estimates for informational and educational purposes only. It is not tax advice. Results are based on the One Big Beautiful Bill Act (OBBBA) and IRS Schedule 1-A. Consult a qualified tax professional for your specific situation.
Processing Plants Run Long Weeks
Weeks of 50–60 hours are standard in packing plants; every hour past 40 at 1.5× builds the deduction.
- • Line hours past 40/week → premium deductible
- • Sanitation shift premiums past 40 → same
- • Watch the MAGI phase-out — usually not an issue at plant wages, a real benefit
Worked Example
MFJ processing worker, $20/hour, 400 OT hours.
- • Premium $10 × 400 → $4,000; $400 at 10%
Keep Reading
- • /overtime/
- • /rules/
- • /faq/
Frequently Asked Questions
Do meatpacking workers qualify for the OBBBA overtime deduction?
Yes — W-2 hourly plant workers qualify for the premium-half deduction on OT beyond 40/week.
Does the deduction apply to 2025 taxes?
Yes — the deduction is retroactive to wages earned in 2025 and runs through 2028.