Two years ago, the Federal government implemented a temporary payroll tax cut that reduced the employee contribution to Social Security tax from 6.2 percent to 4.2 percent. On January 1, 2013, that temporary payroll tax cut expired; therefore, effective January 1, the employee contribution rate deducted for Social Security tax returned to the original 6.2%. That change is reflected in this weeks paychecks, and it is the reason the net amount of your paycheck may be lower than anticipated.
My two cents on the Matter...
Although I had no idea this reduction was ever granted, I never really take the time to look at my deductions because it repulses me, so I couldn't help but get a little pissed off. 2013 just started and already my bring home pay was reduced, my internet service is scheduled to go up and we are also in jeopardy of paying higher school taxes among other hikes.
Being a middle class worker is certainly not for me anymore. it is getting harder and harder to pay bills on time each month and I can only see things getting a lot worse before it gets any better. Our Government is not looking out for those who work hard for a living, so its up to one to decide what else can one do to bring a little extra cash in the house. We don't want to do anything illegal but we can learn from the experts on how to rise above it unscarred, if even possible.
Would be wonderful to hear what you think...