The coming middle class tax hike

[OakRidgeStars]

Hide your wallet (and everything else).

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Employee payroll taxes are scheduled to rise nearly 50 percent in 2013 absent action by lawmakers, and there is a growing sense that both parties might be willing to let that happen.

Party leaders have about five weeks to resolve a host of budget issues to avoid going over the “fiscal cliff,” the term used to describe more than $600 billion in automatic spending cuts and tax increases scheduled to occur on Jan. 1, 2013.

Much attention has been paid to the potential expiration of Bush-era tax income rates, but the looming expiration of the temporary payroll tax cut has been largely absent from those discussions.

The White House released a report Monday detailing the negative economic impact of allowing the Bush-era tax rates to expire for middle-income Americans. It contained no mention of the payroll tax cut, which by the White House’s own estimates affects roughly 160 million Americans and saves the typical middle class family $1,000 per year.

Read more: http://freebeacon.com/the-coming-middle-class-tax-hike/

[SpanishInquisition]

...and of course this will be blamed on George W Bush somehow or another.

"Uhhh... ahhh... Let me be clear...ummm... if Bush hadn't made those cuts, I'm here to tell you... you'd already be used to this tax rate!

[OakRidgeStars]

Don't worry, the fiscal cliff will be all the Republicans fault.

So we'll have that going for us. Which is nice.

[kelu]

If I look here http://www.paycheckcity.com/fiscalcliff/cliff.html I can see that the most hit will be those with small income. Exactly the obama phone voters.
A 30% increase for those making 15K. Isn't that nice?

[SpanishInquisition]

Yes, pay no heed to the bipartisan house budgets in Harry Reid's desk drawer.

[OakRidgeStars]

Yes, pay no heed to the bipartisan house budgets in Harry Reid's desk drawer.

The good Lord only knows what's in Harry Reid's drawers

[ShotgunBlast]

Yes, pay no heed to the bipartisan house budgets in Harry Reid's desk drawer.

The problem with budgets is that after you pass them you really want to stick to them. That goes against this Congress' philosophy of "just spend it all!"

[dorminWS]

Yes, pay no heed to the bipartisan house budgets in Harry Reid's desk drawer.

The problem with budgets is that after you pass them you really want to stick to them. That goes against this Congress' philosophy of "just spend it all!"

>>>>>>>>>>>>>>>>>>>>>>>>>>>>

Not to split hairs, SGB, but the problem isn't that Congress spends it all; the problem is that Congress spends a damnsight MORE than all of it. THAT'S the freakin' problem.

[SpanishInquisition]

Saw the interactive graph. Looks like I'll lose somewhere between 2 weeks and a months worth of income, and I'm near the far left of that graph. That negates the very meager raises I did get over the past few years, and they sure as hell didn't keep up with cost of living increases.

I'm tired of this crap.

[ShotgunBlast]

Not to split hairs, SGB, but the problem isn't that Congress spends it all; the problem is that Congress spends a damnsight MORE than all of it. THAT'S the freakin' problem.

No worries pardner, you're right about that. Spending $2-3 for every $1 you take in is not a plan for solvency.

[kelu]

Saw the interactive graph. Looks like I'll lose somewhere between 2 weeks and a months worth of income, and I'm near the far left of that graph. That negates the very meager raises I did get over the past few years, and they sure as hell didn't keep up with cost of living increases.

I'm tired of this crap.

Sorry, man, you need to master the art of welfare. Take all you can. Pay $200 a tax consultant to teach you. Then take even more, until all liberals will get sick looking at payroll, and wondering why they need to support all obama phones.
And what you saw in the graph is not considering the increases in health costs

[kelu]

No worries pardner, you're right about that. Spending $2-3 for every $1 you take in is not a plan for solvency.

In reality the ration is between $5 and $6. It would be more efficient to simply do nothing. Who needs to work anyway, when Fed can print all the money we need?

[sgscaster]

The team of people I work with voted Obama over Romney by a 8-2 margin on election. Can't wait to see the looks on their faces when they see that 1st paycheck in January and then correcting them when they decide to blame Bush.

[mamabearCali]

Well that is going to negate the meager raises we have gotten over the past few years....great.....now how is that going to help the economy bozos? That 2K a year has to come from somewhere. My guess is for us it comes from the food and entertainment budget. More dark meat chicken, less beef shoulder roasts. What I really feel about this can't be said here cause it is not for childrens ears.

They keep talking about the tax rates going back to what they were before. Well dum dums, these are what the tax rates have been my entire working life. So you are raising my taxes you sorry pieces of rat dung.

[Reverenddel]

ONE Phrase sums it up when it comes to ANY of the Current Government's ideas, policies, laws, regulations, etc, etc;

BOHICA (Bend Over Here It Comes Again)!

[Kreutz]

The SS payroll tax cut was always supposed to be temporary, why did people assume they'd get it forever?

As for the tax rates the Dems keep harping on about during the Clinton boom years they conveniently leave out Clinton-era government also spent alot less cash then they do know, which is why his higher taxes/lower spending worked in reducing the deficit.

Higher taxes are only a part of the equation for paying down debt, which no one in DC seems to want to do anyway. Truth be told as much as it would suck the "fiscal cliff" idiocy is wha the country needs, a cold turkey crash in spending combined with tax hikes would raise the ship up some and may even right it, but since it requires sacrifice from the peasantry and the special interests it aint gonna happen.

[dorminWS]

The SS payroll tax cut was always supposed to be temporary, why did people assume they'd get it forever?

.................................
True. And for as long as it continues, it exacerbates the impending sovency issues for the so-called "social security trust fund".
...................................

As for the tax rates the Dems keep harping on about during the Clinton boom years they conveniently leave out Clinton-era government also spent alot less cash then they do know, which is why his higher taxes/lower spending worked in reducing the deficit.
.................................
Exactly. And don't forget the welfare reform he was pretty much forced into but had the grace and pragmatism to embrace; and the "peace dividend" from the implosion of the Soviet Union and the power vaccumn nobody had had time to exploit (so there was less need <or excuse, if you think that way> for US military and "homeland security" spending.) They want to give Bush 2 credit for the present economy, but not give Reagan/Bush 1 credit for what resulted from facing down the
"Rooshians". Another big contributor to the so-called "Clinton economic miracle" (I have allways maintained, at least) was that we had Congressional gridlock; and as a result Congress largely did what it ought to do most of the time: VERY LITTLE.

[kelu]

Higher taxes are only a part of the equation for paying down debt, which no one in DC seems to want to do anyway.

The only country in all human history who paid its debt was Romania. We had a shoe-repairer (no joke) as president, what to expect? We shot him, anyway...

[jdonovan]

The SS payroll tax cut was always supposed to be temporary, why did people assume they'd get it forever?

and.. SS is having trouble with future solvency.... the gov't has an idea how to solve it... lets put less money in. How the heck is that ever going to work?

I must have been sick for that day of math class.

I think the sooner EVERYONE starts to feel the bill for the last few years of 'free' stuff the better.

[VBshooter]

Obama and his cronies couldn't give a rats ass about the economy... Their focus is to promote their socialist entitlements to anyone that won't work and to screw those that do work...We as a nation are circling the drain still and getting closer to the hole that will end it.. Wake the Hell up America!