over the fiscal cliff

[WDWPooh]

Can someone tell me exactly what that means to my paycheck? Like how much it will actually be effected.. will it effect income tax returns?
I dont pay attention to this stuff usually.... as you can tell lol

 

[damiel]

From what I heard on ABC news yesterday is yes it will effect your pay check. The more you make the more you will see. And yes it will also effect tax returns. Returns may be held up for months because the IRS will have to reprogram the computers.
I changed my withholding today just to be on the safe side. When everything gets worked out I will change it back. The news said that the average pay check will shrink $50.00 - $120.00 depending on how much you make.

 

[pantherlj]

here is a good interactive graph

http://www.paycheckcity.com/fiscalcliff/cliff.html

 

[midwestdee]

Even if we do revert to the tax rates of the Clinton years, it should be one or two months before you would notice a change in a weekly paycheck. You can check your withholding status at work to see if you might want to adjust it. Personally, I think we should put the tax rates back where they were in the mid 1950's - after the first million dollars earned (which was tax free), you were taxed at an up to 91% rate and there were plenty of happy millionaires in this country - it was, after all, "Happy Days". Today you have billionaires assuring us they pay "at least 13%" which doesn't amuse me since I pay 30%. Anyway, it is pretty much just something for the media to hype.

 

[wiigirl]

here is a good interactive graph

http://www.paycheckcity.com/fiscalcliff/cliff.html

Wow....not as crazy as my co-workers are making it according to this graph..

 

[mdsoccermom]

I just read on CNN that they are very close to a deal. However, it most likely won't be voted on today. Voting on it tomorrow or Wednesday won't be a big deal.

 

[Allison]

One change you will see in your paycheck is the expiration of the social security tax rate being decreased to 4.2%. It will go back up to 6.2% as of January 1. It had been lowered in 2011 and 2012.

 

[Swimalie]

Wow....not as crazy as my co-workers are making it according to this graph..

Mine shows over a 16% change. That's not a good number to me.

 

[LJSquishy]

My husband is the only income in our family (no kids) and he said we would be bringing home almost $100 less PER PAYCHECK. That is a HUUUUUGE blow to us if that happens. We already live on a strict budget with very few "extras" so this would really set us back. With the cost of our health insurance going up annually along with groceries and everything else rising, it is going to be a struggle to balance everything.

 

[mrodgers]

Mine shows over a 16% change. That's not a good number to me.

Must be nice. Mine shows 40% change. I usually get $1200 back in refund and that is about what the increase is shown as on the graph.

It's a confusing graph though. I think it is based on adjusted income because before child tax credit, my taxes were not even close to the $8000 the graph shows. That's about 4 times the tax last year for my income.

 

[Bungle]

Wow....not as crazy as my co-workers are making it according to this graph..

A 19% increase is pretty crazy to me.

 

[BeachLove]

Over 16% isn't looking so good for me.

 

[JusbKoz]

I am worried ! I hope they come together and work something out! We will see a difference in our 2013 year if they don't. I was thinking I was the only one worried about this . I haven't seen much " people of America" speaking out about this. I tend to stay away from the tv news since it can be bias either way depending on what station you are watching ...... So we try to gather our own opinion on how it will affect us personally .....and it will greatly affect us! And it looks like it will affect a lot of Americans if they don't come to some agreement.

 

[usnuzuloose]

Ours is close to 20. Well I guess kiss vacations goodbye.

 

[tarheel618]

Mine shows over a 16% change. That's not a good number to me.

Yeah my increase was high too. Hoping for a deal.

 

[Virgderon]

I think most of us will end up just losing the 2% social security tax rate when all is said and done, but if not, I'm sure we will see a rise in personal bankruptcy and foreclosures. Too many families are right at the edge now, and will just give up. I've talked to a lot of people whose attitude is that they are just going to walk away from some of their debt, and are taking a "come and get me, I don't have anything anyway" attitude. The fiscal cliff has been a big topic of discussion at my workplace.

 

[tarheel618]

My husband is the only income in our family (no kids) and he said we would be bringing home almost $100 less PER PAYCHECK. That is a HUUUUUGE blow to us if that happens. We already live on a strict budget with very few "extras" so this would really set us back. With the cost of our health insurance going up annually along with groceries and everything else rising, it is going to be a struggle to balance everything.

Based on the graph, I would pay about 90 more per paycheck, we had an increase in insurance this year and a kid that needed braces. We've canceled the home phone and looks like cable which is at barebones now (50 a month) is next.

On paper I make more now then I did 10 years ago but honestly I feel like I have a lot less money. Gas, groceries, etc I just can't keep up.

 

[WDWPooh]

Thanks for the info..
Keeping my fingers crossed for a deal here too...

 

[ilovemk76]

The SS changes will be what you see in your first paycheck. The IRS has to change the withholding table, I do not believe they have done this yet, so your employer will not take out the extra for a while. During that time they will come to a deal and the tax tables will be changed by a much smaller amount if at all.

Congress is doing this so that both parties can pretend they did not raise taxes or cut benefit. Both will have actually happened but the deal will make the cuts and raises smaller so both can claim victory.

In reality, taxes need to increase and benefits need to be reduced. This is a national problem and all in the nation need to do their part.

 

[DonaldDuckFamily]

It looks like our increase is 17% in addition to the $160 premium increase per month for health insurance in 2013 . I like how Congress and President found time to take vacation and push through an executive order for pay raises. Shouldn't they worry about vacation and raises after the tax crisis? . At my job if we have a deadline, you work and work and work, until you get it done.