Paycheck A Little Smaller? Here's Why...

You may have been spared from paying more in income taxes, but your paycheck may have taken a hit after the Fiscal Cliff Tax Deal was reached earlier this month. Here's all you need to know...

If you take a close look at your first 2013 paystub you will probably notice that Uncle Sam took a bigger chunk of your pay for Social Security.

Taxpayers got a temporary holiday from paying the full 6.2 percent beginning in 2011, but that is over thanks to the fiscal cliff tax deal reached earlier this month.

That legislation stopped the income tax hikes for most Americans, but the Social Security payroll tax holiday was allowed to expire. AOL explains it like this:

Social security is financed by a 12.4 percent tax on wages, with employers paying half and workers paying the other half. During the temporary holiday, the employee contribution was reduced to 4.2 percent in 2011 and 2012, saving a typical family about $1,000 a year. 

To see this in a different way, check out this bar graph showing how much more in taxes people will have to pay by income.

Closer to home, we asked on Facebook how much lighter your paycheck was and how you felt about it. Here’s what people had to say:

Lisa Canadeo Postles $111.00 less per pay check.

Jim Jmedn Mead Hope ALL the Obama supporters that had signs in their yards in WFB are happy now..................

Missy Bachman Ugland At least my property taxes went up for the second year in a row. Thanks, Walker. Maybe the payments go to cover all of the missing WEDC money?

Amy Krahn Any money missing from my paycheck is due to Walker and his "reforms".

Lyle Ruble January 15, 2013 at 03:28 PM
Halleluiah, the tax holiday is over. Obama should never had a tax holiday on SS. It is time to generate the revenues to start getting out of the mess we're in. It is time to buckle down and solve the debt ceiling limit. Obviously if people can afford all the guns and ammunition, they certainly can afford higher taxes. It looks like they have too much disposal income.
Bob McBride January 15, 2013 at 03:57 PM
If you're intent on replacing Keith you need to throw in something about old white guys hating the black president as well. Giving tittie-twisters to gun owners is so last week.
The Donny Show January 15, 2013 at 04:39 PM
Only Lyle would marry gun ownership to higher taxes. Way to go Lyle. You NEVER disappoint. Lyle ought to write a check to the Village, State, and US Treasury because he thinks he doesn't contribute enough. Bet he does not though. All talk and no action.
Jay Sykes January 15, 2013 at 04:46 PM
"Halleluiah, the tax holiday is over. Obama should never had a tax holiday on SS." Rinse, Repeat and Rinse. Helps prevent split ends and snarls too.
Lyle Ruble January 15, 2013 at 09:40 PM
What, has everyone lost their sense of humor? :-D


More »
Got a question? Something on your mind? Talk to your community, directly.
Note Article
Just a short thought to get the word out quickly about anything in your neighborhood.
Share something with your neighbors.What's on your mind?What's on your mind?Make an announcement, speak your mind, or sell somethingPost something
See more »