Workers Making $30,000 Will Take A Bigger Hit On Their Pay Than Those Earning $500,000 Under New Fiscal Deal
Middle-class workers will take a bigger hit to their income proportionately than those earning between $200,000 and $500,000 under the new fiscal cliff deal, according to the nonpartisan Tax Policy Center.
Earners in the latter group will pay an average 1.3 percent more - or an additional $2,711 - in taxes this year, while workers making between $30,000 and $200,000 will see their paychecks shrink by as much as 1.7 percent - or up to $1,784 - the D.C.-based think tank reported.
Overall, nearly 80 percent of households will pay more money to the federal government as a result of the fiscal cliff deal.
Very true. Exacerbated by the fact that FICA applies only to the first $87k or so of income -- therefore, everyone making $87k or less sees a relatively take in real dollars than those who make over $87k.
But it is not that the case that the payroll tax is going up. The "Making Work Pay" law was written as a temporary tax abatement that was essentially a rape of the current Social Security system, since the money it would have provided for current benefit payments had to be replaced with borrowed money.
The article should point out that only people that work will have their taxes go up...nearly 80 percent of those on a payroll will have their taxes increase, not 80 percent of all households. I have never heard of anyone getting a 1099 for SNAP benefits.
Business owners forced to cut costs and labor should fire the obama supporters FIRST. This is what they so fervently voted for...something they are not used to --- consequences.
Government assistance is not taxable...it is not considered earned income. Unemployment "insurance" benefits are taxable, as well as SS. SS Disability, Medicare, Medicaid, WIC, Snap, energy assistance, Obamaphones, all forms of welfare are not taxable. Look it up for yourself.
Very true. Exacerbated by the fact that FICA applies only to the first $87k or so of income -- therefore, everyone making $87k or less sees a relatively take in real dollars than those who make over $87k.
ReplyDeleteBut it is not that the case that the payroll tax is going up. The "Making Work Pay" law was written as a temporary tax abatement that was essentially a rape of the current Social Security system, since the money it would have provided for current benefit payments had to be replaced with borrowed money.
Of course, OBambi never told anyone that.
The article should point out that only people that work will have their taxes go up...nearly 80 percent of those on a payroll will have their taxes increase, not 80 percent of all households. I have never heard of anyone getting a 1099 for SNAP benefits.
ReplyDelete4:07
ReplyDeleteThat is why most of the people that voted for Obama don't care if taxes go up. They don't have to foot the bill.
I can't wait to be poorer. What a thrill
ReplyDeleteYou do have to pay taxes on unemplyment, plus it counts as income if you are getting state assisted medical or other aid.
ReplyDeleteI love Obama voters.
ReplyDeleteBusiness owners forced to cut costs and labor should fire the obama supporters FIRST. This is what they so fervently voted for...something they are not used to --- consequences.
ReplyDeleteisn't obama and the left special?
ReplyDeleteGovernment assistance is not taxable...it is not considered earned income. Unemployment "insurance" benefits are taxable, as well as SS. SS Disability, Medicare, Medicaid, WIC, Snap, energy assistance, Obamaphones, all forms of welfare are not taxable. Look it up for yourself.
ReplyDelete