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SS tax cut 2%, and you thought your paycheck would go up....

Discussion in 'Financial Cents' started by TnAndy, Jan 3, 2011.

  1. TnAndy

    TnAndy Senior Member Founding Member

    Well, maybe, and maybe not. IF you're on the lower end of the economic ladder ( say under 30k/yr), probably NOT.

    Wife calls me this morning.....she is running payroll for her employees and came up with an interesting fact....most of them are getting a pay cut.

    Seems the social security side of the check did go down, and there is more money there....BUT the Obama "incentive to work" tax credit that was applied to paychecks in 2010 ended, and income taxes went up.

    Her average employee's check was about 20-25 bucks less ( two week pay period )...their pay runs the same each two weeks which is why she noticed it, and starting calling the tax and software folks to see if something was wrong with the computer.

    With all the hoopla and crying about the "bush era tax cut extension", You didn't hear JACK about THAT in the news media, did ya ?
  2. UGRev

    UGRev Get on with it!

    great catch, TnAndy.. I didn't have a clue about that. So much ****ing with us and so little time to figure out from which of the many directions, we are getting ****ed.
  3. kckndrgn

    kckndrgn Moderator Moderator Founding Member

    Great, just what I need, less income going to me. Just great!
  4. TnAndy

    TnAndy Senior Member Founding Member

    Yeah, I suspect most don't know about it yet, and won't see it until their first check of 2011.

    All the horse manure about how the SS cut will stimulate the economy, and then they take it back + more with a stealth increase of income tax.
  5. ghrit

    ghrit Ambulatory anachronism Administrator Founding Member

    Yeah, and the mortgage tax credit for new homes turns out to be a dot gov loan, gotta pay that back in 500 FRN bites via the IRS over enough years to get it paid off. Just sitting here waiting for the secret interest rate to be published. I should have read the fine print, I guess. (expletive deleted)
  6. JaxShooter

    JaxShooter Monkey+

    It's how they work. They distract you from the things they don't want you to notice. If they can turn your attention even for a moment they know they can slide something by. My father-in-law was telling me about the SS letter he got saying there won't be any cost of living increase because things haven't gone up. Yet everywhere you look everything costs more.
  7. Clyde

    Clyde Jet Set Tourer Administrator Founding Member

    Well, read fine print of the SS letter you get every year outlining how the system will be broke by 2022 or something like that (used to be 2030, but with the downturn, the supposed trust fund is being depleted......trust fund my ass!)
  8. ghrit

    ghrit Ambulatory anachronism Administrator Founding Member

    No trust in that fund, it's full of IOUs these days.
  9. BTPost

    BTPost Old Fart Snow Monkey Moderator

    "Trust Fund" is only good if you "Trust" the guy holding the "Fund", and I do NOT.... HOWEVER, since I will be 62 in August, I want all those "Good Sheeple" to keep putting their money IN, so I can Start taking MINE out, as much as I can, BEFORE it does Broke......YMMV...
  10. ghrit

    ghrit Ambulatory anachronism Administrator Founding Member

    I thought the same, and planned for it to be gone when I got old enough to start drawing the largess. It's found money to me, and I don't cringe spending it. I figgers that if you pay into the system, you should get something back. What irks me is that it was a tax going in and is taxed again on the way out. Something isn't right with that. I still get a small smile when I make the deposit, even if there's no guarantee I'll ever see another one.
  11. Maxflax

    Maxflax Lightning in a bottle

  12. Brokor

    Brokor Live Free or Cry Moderator Site Supporter+++ Founding Member

    Bureaucrat: "I stand before you as your brave and (seemingly) humble leader. Now, I mean it when I say, either you are with us...or you are with the poor cattle. Tax and KILL the poor cattle!"

    CattleVoterJoe: "I like you. You have a nice voice and you are arti-...artucl-...you talk good."

    Bureaucrat: "Today, is a beautiful day. There's plenty of sunshine, carbon dioxide, and war for another hundred years at least!"

    CattleVoterJoe: "Four more years!, four more years!, four more years!"
  13. VisuTrac

    VisuTrac Ваша мать носит военные ботинки Site Supporter+++

    I gots me a raize !!


    I think

    pulling out the abacus , chik chik chik.

    Let's see.

    well sure enough, SS line item went down.
    Oops, now that that money wasn't excluded from income, the fed line just grew by 0.4% ok 1.6% drop in taxes.

    It would have been even less of a drop if there hadn't been 32% increase in the cost of my pretax medical insurance premium.

    Alas, what one hand giveth, the other taketh away. Or something like that.[dunno]

  14. melbo

    melbo Hunter Gatherer Administrator Founding Member

    Too bad you all didn't understand line 7 on the W-4 the first time you filled one out... I know of a federal employee that entered Exempt on that line and got her pay in full without any questions...

    With a system as large as ours, they can only get you from what you give them.

    W-4 attached:

    Attached Files:

    • fw4.pdf
      File size:
      99.9 KB
  15. VisuTrac

    VisuTrac Ваша мать носит военные ботинки Site Supporter+++

    erm, but with my luck with the treasury dept. Them boyz will be sending me a 'Tax Due' letter later. As I didn't get all my taxes back last year and this year them suckers are gonna want more!
  16. kckndrgn

    kckndrgn Moderator Moderator Founding Member

    Got my first check of 2011, my SS amount doesn't appear to have changed, however my Federal witholdings went up by $10.00. yippie, the .gov is taking more of my money!![beat]
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