November 25, 2025 • 10 mins
How to pay less taxes with your Boomer Bonus!
Imagine getting an extra $6,000–$12,000 tax deduction just for being born at the right time. No lotto win. No extra hours at work. No sugar daddy required. Just a savvy tax move for Boomers and near-Boomers that could seriously boost your bottom line — financially speaking.
In Queer Money® Episode 617, we break down exactly how the New Boomer Bonus Deduction (2025–2028) works, who qualifies, and the five smartest ways to maximize it like you’re working it on Tax Day. Plus, we walk through three real-ish scenarios to show how smart planning could save you thousands.
If you're 65+ (or within the next four years), this deduction may be your built-in financial facelift — no stitches required.
What You’ll Learn
- What the Boomer Bonus deduction is and how it works (2025–2028)
- Income thresholds, phase-outs, and who qualifies
- The 5 best strategies to maximize your tax savings
- How to use the deduction with Roth conversions, capital gains timing, and more
- 3 sample scenarios showing how Boomers could save thousands
Key Takeaways
- ✔️ A $6,000–$12,000 deduction can offset Roth conversions
- ✔️ Smart capital-gains timing can help keep you in the 0% bracket
- ✔️ This deduction stacks on top of both standard and itemized deductions
- ✔️ The window is temporary: 2025–2028 only
- ✔️ Proper income planning = real money back in your pocket
Chapters:
- 0:00 - Intro
- 00:14 - The Boomer Bonus Deduction
- 02:08 - Maximizing the Boomer Bonus
- 03:02 - Strategies for Managing Your Income and Deductions
- 06:05 - Real Life Tax Scenarios
- 07:35 - Understanding the Boomer Bonus: Maximizing Your Tax Benefits
- 09:30 - Wrap up
👉 Grab your free Happy Gay Retirement Calculator: queermoneypodcast.com/hgrcalc
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:20):
Imagine pocketing an extra$12,000 just because you were born
at the right time.
No winning the lottery, noworking extra shifts at work.
Just lucky timing on your partand a smart tax move.
Well, that's the life of aboomer and the benefit of the new
Boomer bonus deduction.
And today we're sharing how towork it like Brittany on tax day.
This is episode 617 of theQueer Money podcast, where we help
(00:42):
you live fabulously.
Not fabulously broke, 65 orolder, or you will be in the next
four years.
There's a juicy new deductionthat could pad your back pocket better
than a pair of butt boosters.
We're breaking down exactlyhow to get the maximum benefit from
the new Boomer bonus and howto use it strategically to boost
your bottom.
(01:03):
Your bottom line, that is.
Think of it as your financialfacelift without all the stitches.
Let's get started.
Okay, to recap, on QueerMoney, episode number 607, we talked
about the new Boomer bonus andhow it can benefit you in quick summary.
(01:24):
Basically, if you are a babyboomer, you can maybe benefit from
a deduction, a tax deductionof anywhere from 6,000 to $12,000
between the years of 2025 and 2028.
There are income limits andthere are phase outs as caveats.
But as always, the extracaveat is to make sure you talk to
a tax advisor or an accountant.
But if you haven't alreadychecked out queer money episode 607,
(01:47):
you can grab the link in thedescription below or the link in
your podcast player orwherever we have it listed here on
this screen.
At the end of that episode, weshared four different scenarios,
real life scenarios, about howyou could benefit from this Boomer
bonus.
At the end of this episode, wehave three more scenarios to talk
about.
A little bit more about thestrategies to maximize this potential
(02:10):
benefit for you.
But before we get started, goahead and let us know in the comments
if you're watching us on YouTube.
One, do you qualify for theboomer bonus?
And two, if you do qualify,how do you plan on taking advantage
of it?
We'd love to hear yourthoughts and what you're doing with
it.
So, after much deliberationand research, David and I have nailed
down the five best strategiesto maximize this Boomer Bonus if
(02:33):
you qualify for it.
The first strategy is tomanage your modified adjusted gross
income.
Like a boss.
Your modified adjusted grossincome or your magi needs to be under
$75,000 if you're single, or$150,000 if you're married and filing
jointly to claim the fullbenefit of this tax deduction, phase
(02:54):
out, start above those numbersand disappearing at around the 175,000
to the $250,000 mark respectively.
So the strategy here is todelay or reduce large income events
like IRA distributions orasset sales or harvest losses to
bring your income down so thatyou stay within this sweet spot and
(03:16):
get the most from thispotential deduction for yourself.
Strategy number two is to pairthis with a Roth conversion.
We've talked a lot about IRARoth conversions here at the Career
Money podcast.
Converting a traditional IRAto to a Roth IRA is a taxable event
in and of itself, but the babyBoomer bonus acts as a little bit
(03:37):
of a cushion for you.
So convert just enough so thatyour total income stays under the
threshold, effectively makingmore of that conversion tax free
for yourself.
Number three, stack it with acapital gains timing.
And this again is where it'sbeneficial to talk with an accountant
or a tax advisor about whatyour long term plans are and what
(03:57):
you're going to do over thenext four years in terms of sales
and income.
If you're selling appreciatedstock, a rental property or a vacation
home, you want to do thatwithin this four year window at currently
this can help keep you in alower tax bracket or even qualify
you for a 0% capital gains rate.
Spread asset sales overmultiple years to maximize the deduction
(04:19):
over time.
Again, that's where you cankind of come up with a strategy with
an accountant to make surethat whatever big major life event
that you initiate that you'reable to reduce your taxes in the
long run.
Strategy number four is todebate whether or not the standardized
or itemized deductions makesthe most sense for you, not necessarily
(04:40):
what you've always done in the past.
Unlike most deductions, thisBoomer bonus applies on top of the
standard or itemized deductions.
So this is especially sweetfor folks who are in high tax states
who itemize property and state taxes.
Run both scenarios, standardplus bonus versus itemized plus bonus
and see which is the mostbeneficial for you.
(05:02):
Again, not necessarily whatyou might have done in the past.
And again again, talk with anaccountant or a tax advisor to help
make sure that the math ismathing for you.
Our last and final strategyhere, number five, is to time big
moves within this 2025-2028 window.
The deduction is currently setto expire in 2028 unless Congress
(05:24):
extends it.
Who knows if they can gettheir acts together and if they can,
who knows if they're going topass something like this to make
it extend beyond the 2028 mark.
If you're planning a home salebecause you're M.O.
a big conversion or a majorincome event, do it within this window.
Events.
Increasing your modifiedadjusted gross income in one year
can affect your phase out.
(05:44):
So spacing distributions,conversions and gains across multiple
years can help spread taximpact for you.
(06:16):
Sorry, whoever's editing this.
So here are real life examplesor realish life examples.
First, we have a single queer boomer.
His name is rick.
He takes out 25000 conversionin 2025.
Start over timeout.
(06:41):
All right, so here are ourreal ish life scenarios for you.
Our first example is a singlequeer boomer named Rick.
Rick takes out a twentythousand dollar Roth conversion in
2025.
He uses the six thousanddollars deduction to stay in his
lower tax bracket.
His tax bill ultimately isstealthily lower than if he didn't
take advantage of this bonus.
(07:04):
Now we have a married couple,George and Dan, who are both age
67.
They stay under the $150,000most modified adjusted gross income.
Their $12,000 deduction letsthem sell $30,000 in stock without
bumping them into a highercapital gains rate.
Super beneficial.
And then they have more moneythat they can use over their lifetime
(07:25):
to live their life just better.
Finally, we have a downsizing diva.
Lisa sells her Palm springshouse in 2027, the year after she
retires.
That by timing the sale in alow income year and combining it
with the deduction, she shavesoff thousands of dollars off of her
tax bill for the sale of her property.
Amazing, right?
(07:45):
That way she has that muchmore money that she can use to fund
her quality of life.
Live a better life.
So the boomer bonus is likethe government handing you a $6,000
or a $12,000 VIP pass, butonly if you use it wisely and only
if you use it.
So make sure you're aware withit and you share with your friends
and family that this bonusexists right now.
(08:07):
Stay under the income velvet rope.
Pair it with smart moves likeRoth conversions and capital gains
timing.
Take advantage of bothstandard and itemized deductions
as it applies to your scenariowithin this window.
Again, not always what you'vedone in the sleep on this window.
This is set to sunset at after 2028.
(08:27):
You want to make sure you takeadvantage of it over the next four
years to the extent possiblebecause it may not continue after
that.
At this point in time, it'snot going to be an indefinite tax
deduction.
This is one of those raremoments when smart tax planning equals
real money in your pocket, notsome theoretical break that nobody
actually takes advantage of.
So again, let us know in thecomments if you're watching us on
(08:48):
YouTube, if you qualify forthis deduction, and if you do, how
you're going to take advantageof it to make the most of your bonus
and have it take you as far asyou want to go.
Grab your free Happy GayRetirement Calculator to start planning
your own fabulous retirementby clicking the QR code here, the
link in the description, orthe link in your podcast player,
wherever you're catching us.
(09:09):
And next week, join us when wecover the top five places in Italy
for gay retirees.
And in two weeks we're goingto talk about what the fuck this
new economy is this K shapedeconomy is and how it may be harming
or helping you.
If you love this episode, asalways, please remember to like,
subscribe.
Click all the bells andwhistles and share this with your
friends and family who alsowant to retire fabulously.
(09:32):
And until next time, stay fabulous.
Finally, for a fullexplanation of the Boomer bonus,
check out this video here onthe screen.
Then join us next week when wetalk about the top five places in
Italy for gay retirees.
(09:53):
And then in two weeks, join us.
We're going to talk talk aboutwhat the this K shaped economy is
and how it may be helping orharming you.
And if you love this episodeas always, please remember to like,
subscribe.
Click all the bells andwhistles and share it with friends
and family who also want toretire fabulously.
And finally, until next time,stay fabulous.
(10:13):
Oh.
Lastly, if you want a fullerexplanation on the Boomer Bonus and
how you can help or help yoursituation, click this link right
here.
Imagine pocketing an extra$12,000 just because you were born
at the right time.
No winning the lottery, noworking extra shifts at work.
Just lucky timing on your partand a smart tax move.
Well, that's the life of aboomer and the benefit of the new
Boomer bonus deduction.
And today we're sharing how towork it like Brittany on tax day.
This is episode 617 of theQueer Money podcast, where we help
(00:42):
you live fabulously.
Not fabulously broke, 65 orolder, or you will be in the next
four years.
There's a juicy new deductionthat could pad your back pocket better
than a pair of butt boosters.
We're breaking down exactlyhow to get the maximum benefit from
the new Boomer bonus and howto use it strategically to boost
your bottom.
(01:03):
Your bottom line, that is.
Think of it as your financialfacelift without all the stitches.
Let's get started.
Okay, to recap, on QueerMoney, episode number 607, we talked
about the new Boomer bonus andhow it can benefit you in quick summary.
(01:24):
Basically, if you are a babyboomer, you can maybe benefit from
a deduction, a tax deductionof anywhere from 6,000 to $12,000
between the years of 2025 and 2028.
There are income limits andthere are phase outs as caveats.
But as always, the extracaveat is to make sure you talk to
a tax advisor or an accountant.
But if you haven't alreadychecked out queer money episode 607,
(01:47):
you can grab the link in thedescription below or the link in
your podcast player orwherever we have it listed here on
this screen.
At the end of that episode, weshared four different scenarios,
real life scenarios, about howyou could benefit from this Boomer
bonus.
At the end of this episode, wehave three more scenarios to talk
about.
A little bit more about thestrategies to maximize this potential
(02:10):
benefit for you.
But before we get started, goahead and let us know in the comments
if you're watching us on YouTube.
One, do you qualify for theboomer bonus?
And two, if you do qualify,how do you plan on taking advantage
of it?
We'd love to hear yourthoughts and what you're doing with
it.
So, after much deliberationand research, David and I have nailed
down the five best strategiesto maximize this Boomer Bonus if
(02:33):
you qualify for it.
The first strategy is tomanage your modified adjusted gross
income.
Like a boss.
Your modified adjusted grossincome or your magi needs to be under
$75,000 if you're single, or$150,000 if you're married and filing
jointly to claim the fullbenefit of this tax deduction, phase
(02:54):
out, start above those numbersand disappearing at around the 175,000
to the $250,000 mark respectively.
So the strategy here is todelay or reduce large income events
like IRA distributions orasset sales or harvest losses to
bring your income down so thatyou stay within this sweet spot and
(03:16):
get the most from thispotential deduction for yourself.
Strategy number two is to pairthis with a Roth conversion.
We've talked a lot about IRARoth conversions here at the Career
Money podcast.
Converting a traditional IRAto to a Roth IRA is a taxable event
in and of itself, but the babyBoomer bonus acts as a little bit
(03:37):
of a cushion for you.
So convert just enough so thatyour total income stays under the
threshold, effectively makingmore of that conversion tax free
for yourself.
Number three, stack it with acapital gains timing.
And this again is where it'sbeneficial to talk with an accountant
or a tax advisor about whatyour long term plans are and what
(03:57):
you're going to do over thenext four years in terms of sales
and income.
If you're selling appreciatedstock, a rental property or a vacation
home, you want to do thatwithin this four year window at currently
this can help keep you in alower tax bracket or even qualify
you for a 0% capital gains rate.
Spread asset sales overmultiple years to maximize the deduction
(04:19):
over time.
Again, that's where you cankind of come up with a strategy with
an accountant to make surethat whatever big major life event
that you initiate that you'reable to reduce your taxes in the
long run.
Strategy number four is todebate whether or not the standardized
or itemized deductions makesthe most sense for you, not necessarily
(04:40):
what you've always done in the past.
Unlike most deductions, thisBoomer bonus applies on top of the
standard or itemized deductions.
So this is especially sweetfor folks who are in high tax states
who itemize property and state taxes.
Run both scenarios, standardplus bonus versus itemized plus bonus
and see which is the mostbeneficial for you.
(05:02):
Again, not necessarily whatyou might have done in the past.
And again again, talk with anaccountant or a tax advisor to help
make sure that the math ismathing for you.
Our last and final strategyhere, number five, is to time big
moves within this 2025-2028 window.
The deduction is currently setto expire in 2028 unless Congress
(05:24):
extends it.
Who knows if they can gettheir acts together and if they can,
who knows if they're going topass something like this to make
it extend beyond the 2028 mark.
If you're planning a home salebecause you're M.O.
a big conversion or a majorincome event, do it within this window.
Events.
Increasing your modifiedadjusted gross income in one year
can affect your phase out.
(05:44):
So spacing distributions,conversions and gains across multiple
years can help spread taximpact for you.
(06:16):
Sorry, whoever's editing this.
So here are real life examplesor realish life examples.
First, we have a single queer boomer.
His name is rick.
He takes out 25000 conversionin 2025.
Start over timeout.
(06:41):
All right, so here are ourreal ish life scenarios for you.
Our first example is a singlequeer boomer named Rick.
Rick takes out a twentythousand dollar Roth conversion in
2025.
He uses the six thousanddollars deduction to stay in his
lower tax bracket.
His tax bill ultimately isstealthily lower than if he didn't
take advantage of this bonus.
(07:04):
Now we have a married couple,George and Dan, who are both age
67.
They stay under the $150,000most modified adjusted gross income.
Their $12,000 deduction letsthem sell $30,000 in stock without
bumping them into a highercapital gains rate.
Super beneficial.
And then they have more moneythat they can use over their lifetime
(07:25):
to live their life just better.
Finally, we have a downsizing diva.
Lisa sells her Palm springshouse in 2027, the year after she
retires.
That by timing the sale in alow income year and combining it
with the deduction, she shavesoff thousands of dollars off of her
tax bill for the sale of her property.
Amazing, right?
(07:45):
That way she has that muchmore money that she can use to fund
her quality of life.
Live a better life.
So the boomer bonus is likethe government handing you a $6,000
or a $12,000 VIP pass, butonly if you use it wisely and only
if you use it.
So make sure you're aware withit and you share with your friends
and family that this bonusexists right now.
(08:07):
Stay under the income velvet rope.
Pair it with smart moves likeRoth conversions and capital gains
timing.
Take advantage of bothstandard and itemized deductions
as it applies to your scenariowithin this window.
Again, not always what you'vedone in the sleep on this window.
This is set to sunset at after 2028.
(08:27):
You want to make sure you takeadvantage of it over the next four
years to the extent possiblebecause it may not continue after
that.
At this point in time, it'snot going to be an indefinite tax
deduction.
This is one of those raremoments when smart tax planning equals
real money in your pocket, notsome theoretical break that nobody
actually takes advantage of.
So again, let us know in thecomments if you're watching us on
(08:48):
YouTube, if you qualify forthis deduction, and if you do, how
you're going to take advantageof it to make the most of your bonus
and have it take you as far asyou want to go.
Grab your free Happy GayRetirement Calculator to start planning
your own fabulous retirementby clicking the QR code here, the
link in the description, orthe link in your podcast player,
wherever you're catching us.
(09:09):
And next week, join us when wecover the top five places in Italy
for gay retirees.
And in two weeks we're goingto talk about what the fuck this
new economy is this K shapedeconomy is and how it may be harming
or helping you.
If you love this episode, asalways, please remember to like,
subscribe.
Click all the bells andwhistles and share this with your
friends and family who alsowant to retire fabulously.
(09:32):
And until next time, stay fabulous.
Finally, for a fullexplanation of the Boomer bonus,
check out this video here onthe screen.
Then join us next week when wetalk about the top five places in
Italy for gay retirees.
(09:53):
And then in two weeks, join us.
We're going to talk talk aboutwhat the this K shaped economy is
and how it may be helping orharming you.
And if you love this episodeas always, please remember to like,
subscribe.
Click all the bells andwhistles and share it with friends
and family who also want toretire fabulously.
And finally, until next time,stay fabulous.
(10:13):
Oh.
Lastly, if you want a fullerexplanation on the Boomer Bonus and
how you can help or help yoursituation, click this link right
here.
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