What does Trump’s ‘Big Beautiful Bill’ mean for the US economy?

Donald Trump’s budget bill will slash taxes, but is expected to add at least $3 trillion to US national debt

US president Donald Trump signs his "Big, Beautiful Bill" into law
(Image credit: Photo by Samuel Corum/Getty Images)

US president Donald Trump signed his so-called ‘Big Beautiful Bill’ into law on 4 July, after the tax and spending package passed a final vote in the House of Representatives. The act extends tax cuts introduced during Trump’s first presidency, as well as introducing new measures.

Among other things, the bill increases standard tax deductions by $1,000 for individuals and $2,000 for married couples. Over-65s will also get increased tax breaks on their social security income.

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Katie Williams
Staff Writer

Katie has a background in investment writing and is interested in everything to do with personal finance, politics, and investing. She enjoys translating complex topics into easy-to-understand stories to help people make the most of their money.

Katie believes investing shouldn’t be complicated, and that demystifying it can help normal people improve their lives.

Before joining the MoneyWeek team, Katie worked as an investment writer at Invesco, a global asset management firm. She joined the company as a graduate in 2019. While there, she wrote about the global economy, bond markets, alternative investments and UK equities.

Katie loves writing and studied English at the University of Cambridge. Outside of work, she enjoys going to the theatre, reading novels, travelling and trying new restaurants with friends.