Golf Caddie Tip Tax Deduction Calculator
Run your real tip numbers below. The estimate applies the same Schedule 1-A math as your federal return — no tax software, no signup.
The short answer: Leo — at the scenario numbers pre-loaded below, the OBBBA deduction is $14,000, worth about $1,680 in federal income tax at a 12% marginal rate ($65 per biweekly paycheck). Exact figures update live as you change the inputs.
Modified Adjusted Gross Income
Tips Deduction
$14,000
✅ 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.
What Counts (and What Doesn't)
The caddie wrinkle is the club-mandated caddie fee: a fee the club sets and collects is a service charge — wages, not a tip — while what the golfer hands you voluntarily is a tip. Independent-contractor caddies who get a 1099 do not qualify; clubs that moved caddies onto W-2 opened the deduction for exactly this workforce.
The full rules, caps and phase-outs for every deduction are in one table on the OBBBA rules page.
Worked Example
Leo carries doubles on weekends and earns about $14,000 a year in loop tips on top of a small base fee.
- • Deductible amount: $14,000
- • Federal income tax savings: $1,680 (at the 12% marginal rate)
- • Per biweekly paycheck: $65
Reported tips only — the deduction rewards honest reporting, and the math above already applies the cap and phase-out for you.
Keep Reading
Frequently Asked Questions
Is the club's mandatory caddie fee a tip or wages?
A club-set mandatory caddie fee is a service charge, which makes it wages rather than qualified tip income. Only voluntary amounts the golfer gives you — cash after the round or an add-on above the fee — count as tips for the deduction.
Do I still pay Social Security and Medicare on tips?
Yes. FICA (7.65%) applies to all tip income; the OBBBA deduction only removes tips from federal income tax. Savings come from your marginal income-tax bracket.