In a bustling diner just outside the nation’s capital, Treasury Secretary Scott Bessent shared insights on a transformative policy benefiting American workers during an exclusive Labor Day interview.
According to Breitbart, during a multi-stop tour on Monday, Bessent sat down with Breitbart News at Metro 29 Diner in Arlington, Virginia, to discuss President Donald Trump’s economic agenda, including the newly enacted "no tax on tips" policy.
On Monday, which marked Labor Day, Bessent embarked on a tour of restaurants and bars across the region to highlight Trump’s focus on supporting everyday Americans. The interview at Metro 29 Diner lasted nearly half an hour, providing a deep dive into the administration’s plans. Bessent emphasized the importance of leveling the economic landscape for Main Street, a key theme of his discussions.
Earlier this year, in July, President Trump signed into law the "One Big Beautiful Bill," a comprehensive piece of legislation aimed at easing financial burdens on workers. This bill includes significant provisions such as eliminating taxes on tips, overtime pay, and Social Security benefits, alongside offering interest deductibility on auto loans for new U.S.-made vehicles. Bessent noted that the Treasury Department is set to release detailed guidance this week on the "no tax on tips" provision, specifying how it will apply across various professions and industries.
A draft document provided by Bessent’s staff to Breitbart News reveals extensive lists of eligible professions for a federal tax exemption on tips up to $25,000. This policy aims to directly support tipped workers, a group Bessent believes has faced significant economic challenges in recent years. “It’s part of the president’s agenda and it’s what I call parallel prosperity,” Bessent said, underscoring the goal of ensuring Main Street thrives alongside Wall Street.
Reflecting on past administrations, Bessent criticized the economic conditions under former President Joe Biden, particularly for lower-income workers. “You and I have talked about it—a lot of them really got [screwed] under the Biden administration,” he remarked. He highlighted that Trump’s policies are designed to reverse these setbacks and deliver tangible relief.
Bessent shared a personal connection to the policy, recalling his early jobs in South Carolina, where he earned tips as a young boy. “We found a photo of it. I was a busboy,” he said, describing how he helped carry trays at Hardwick’s Cafeteria at age 9. “I also had a second job on the beach setting up beach chairs and umbrellas—that was also a tipped job too,” he added, noting the personal significance of the tax relief.
Beyond tax policies, Bessent pointed to recent declines in gas prices over the Labor Day weekend, which have helped lower transportation and retail costs. He also mentioned a drop in egg prices since the administration began, with some diners removing egg surcharges from menus, as shared by a cousin in South Carolina. However, beef prices remain a persistent issue, described as a challenge spanning five years, though efforts are underway through the Department of Agriculture under Secretary Brooke Rollins.
On the trade front, Bessent addressed a recent appellate court ruling against Trump’s tariffs, defending them as critical due to national emergencies like fentanyl overdoses affecting thousands of Americans.
“It is an emergency and if we think about it there are two components,” he explained, citing both the fentanyl crisis and looming financial risks from trade deficits. He expressed confidence that the U.S. Supreme Court would overturn the ruling and revealed he was preparing a brief on Monday to argue the urgency of these measures.
Turning to monetary policy, Bessent signaled potential interest rate cuts by the Federal Reserve in September, based on comments from Chair Jerome Powell and other governors. He criticized the Fed’s past handling of inflation in 2022, calling its dismissal of it as transitory a significant error. “The biggest mistake in the past was the terrible inflation of 2022,” he stated, contrasting it with current efforts to stabilize prices.
Bessent emphasized that Trump’s cabinet, including himself, Secretary Rollins, the Labor Secretary, and Secretary Burgum, frequently travels across the country to connect with citizens. “The cabinet is out there all the time,” he said, stressing the importance of understanding firsthand the economic struggles facing everyday Americans. This hands-on approach, he noted, contrasts with previous administrations and aims to address the affordability crisis head-on.
Looking ahead, Bessent described an upcoming “refund boom” in early 2026, when tax relief from the new law will result in refunds for many Americans. He advised workers to use any extra funds wisely, suggesting, “First thing would be, if you have any high-cost debt, pay that down.” This financial breathing room, he believes, will particularly help lower-wage earners hit hardest by past economic policies and high interest rates.
Bessent also highlighted rising wages for American workers, currently at their highest since Trump’s first term, with a focus on prioritizing jobs for U.S. citizens. Efforts to bring manufacturing back to the country are underway, supported by factory commitments and high-paying opportunities in construction and manufacturing. “With these high-paying manufacturing jobs we’re bringing back, with these commitments from these factories, it is unbelievable and unprecedented,” he said, expressing optimism for widespread economic growth.