Listen and subscribe to Decoding Retirement on Apple Podcasts, Spotify, or wherever you find your favorite podcasts.

President Trump's "big, beautiful bill" has made it to the Senate, but it still faces a long road before some version of it becomes law.

The bill's current form, which spans more than 1,000 pages, contains a number of tax provisions that may have significant implications for seniors and those planning for retirement.

But given the uncertainty, Lisa Featherngill, national director of wealth planning at Comerica Wealth Management, advised against making major financial decisions based on a proposed bill that could change significantly during the legislative process.

"We're just in a wait-and-see mode," she said in a recent Decoding Retirement podcast (see video above or listen below). "That is one thing I have learned over the years. You do not take the House version or the Senate version and make any plans. At least wait until we've got something coming out of Conference committee."

That said, Featherngill sees at least one provision in the House version of the bill as having a good chance of becoming law: a proposed $4,000 additional standard deduction for individuals 65 and older.

If enacted, this deduction would apply to tax years 2025 through 2028 and, unlike the current age-based standard deduction, would be available to both itemizers and non-itemizers. It would phase out gradually at a 4% rate for single filers with modified adjusted gross income over $75,000 and for married couples filing jointly with income above $150,000.

With nearly 58 million Americans ages 65 and older as of 2022, Featherngill believes this provision has broad appeal and could be among those that make it into the final version of the legislation.

"It affects a lot of people, and it's not a huge dollar amount," she said. "I'm going to say it stays."

According to the Bipartisan Policy Center, this provision would cost $72 billion from fiscal years 2025 through 2034.

Changes to SALT deductions, estate taxes

The proposed legislation has some additional tax considerations for retirees, though they could be subject to revisions.

For starters, the bill would extend the $10,000 cap on state and local tax (SALT) deductions first enacted under the Tax Cuts and Jobs Act (TCJA).

It also introduces a higher cap for certain taxpayers: Beginning in 2025, individuals would be able to deduct up to $40,000 of their state and local taxes, with the benefit phasing out at a rate of 30% for those earning more than $500,000. Both the $40,000 cap and the $500,000 income threshold would increase by 1% annually through 2033.