If you think your paycheck is smaller these days, you’re correct.
Even though a deal was reached to keep the United States from going over the “Fiscal Cliff,” that doesn’t mean there’s not some trickle down to John and Mary Doe.
A payroll tax cut that was implemented two years ago as a way to spur consumer spending expired — and it wasn’t part of the fiscal cliff negotiations. For many, that meant an almost immediate reduction in take-home pay.
For most Americans, the increase will amount to between $30 and $50 every two weeks — or between $780 and $1,000 per year. For a working couple, that means up to $2,000 take home pay annually.
The reason is a nearly 50 percent increase in the social security payroll tax, which reverted to its rate of 6.2 percent from last year’s 4.2 percent.
FOX Business Network anchor Gerri Willis said no one is immune from the increase.
“This tax increase hits anybody who gets a paycheck. A middle class family making $50,000 would see a $1,000 increase in their tax obligation.”
And for those who make the most money, the impact will be greater.
Willis said one big change that hasn’t been talked about much — but will impact everyone earning $250,000 and more for single filers and $300,000 and more for couples — is a phase-out of personal exemptions and itemized deductions.”
For those people, the value of any mortgage deduction, charitable deduction or personal exemption you take on your taxes will drop with your income.
Wills said that means the tax bills owed by those people will increase, even if their income remains the same.
And a political marketing professor at West Virginia University says paying for Christmas may be harder for some families.
Lee Boggs said, “Consider this: For two years, taxpayers have gotten used to a certain amount of take-home pay and planned for their children’s Christmases accordingly. How many people spent and charged during the holidays based on their 2012 take home pay, not considering that their take home pay would be $40-$80 a month less in January 2013?”
Boggs said receiving more take home pay might have led some people to go out and sign up for a multi-year contract for a cell phone, a gym membership, a car loan or higher mortgage payments.
“Now they’re bringing home less but they are still responsible for those contracts. Couple that with holiday debt and some middle class people could be facing serious financial challenges right now.”
(Portions of this article were taken from an IRS press release.)
If you think your paycheck is smaller these days, you’re correct.
Nathan Sherrod (left) and his twin brother Melvin, of Tarboro, enjoy a carnival ride Saturday afternoon at the Happening on the Common. Abrams Rentals provided the rides.
HAPPENING ON THE COMMON
Tarboro’s Town Common was clearly the center of activity in town Saturday, with cars lining the streets surrounding the common, music that could be heard from blocks away, and a sea of people navigating their way through the vendors’ tables under a canopy of trees. The occasion was the 43rd Annual Happening on the Common.
- Entertainment variety highlights Saturdays Happening
- PINETOPS 300
- HAPPENING ON THE COMMON
- Local News
Two suspects arrested on 36 charges; third issued citation
After executing a search warrant Thursday on a residence at 500 W. Johnston St. in Tarboro, police officers arrested two suspects for possessing a small amount of marijuana and issued a third suspect a citation for possessing a glass pipe to smoke the drugs.
After the marijuana was found, officers notified two of the three suspects that they also had additional warrants on them from the department's "Spring Fling" drug campaign where they had sold marijuana to undercover officers.
- Introductory Latin class beginning Tuesday
- Two suspects arrested on 36 charges; third issued citation
Tony Everett, of Wake Forest, backs his Chevrolet truck named DoeRunner up as he prepares to pull in the four wheel drive event Friday night.
PINETOPS – With the threat of rain during the weekend, it put a little damper on the Pinetops 300 Tractor and Truck Pull attendance. Friday night there was a large crowd in attendance, but not the amount it has been the last several years. There was 500 less people in attendance Friday then there was a year ago, but it didn't stop the pullers from slinging mud everywhere. The fans in one section even had a chance to see what it looked like when a belt breaks on a fine tuned machine. During the Mini Modified run, Thomas Coleman, of Stoneville, had a belt break on his KB 526 Pure Hell ride and the belt slung into the crowd. No one was injured.
- Vikings, Cougars compete in 2-A state meet
- Pinetops 300
My 13 years have been lucky
It was 13 years Sunday that a drought was broken in Big Spring, Texas, After that, we ate Mexican for dinner with a gathering of family and friends.
The next day, a Saturday, Stephanie and I joined one another in marriage under a beautiful little gazebo by Comanche Trail Lake, fed by the historic spring from which the community draws its name.
- My 13 years have been lucky
Brittney Joyce Corbett and Kenneth Robert Chasse, Jr. were united in marriage on April 6th, 2013, at 5:30pm at the Imperial Centre in Rocky Mount. The Rev. Carrol Bradbury officiated the ceremony.
The Rehearsal Dinner was hosted by Shirley and Donald Foreman, Grandparents of the Groom and also Elisha and Kenneth Chasse, Parents of the Groom, at Pizza Inn in Rocky Mount.
The Bride is the daughter of Mr. and Mrs. William Durwood Corbett of Macclesfield, NC. The Groom is the son of Mr. and Mrs. Kenneth Robert Leonel Chasse, Sr. of Pinetops, NC.
- Corbett/Chasse Wedding
- Obituaries Archives
MATTIE RUTH BULLOCK
BELVOIR — Mrs. Mattie Ruth Bullock, 81, passed away on Saturday, May 18, 2013. The funeral service will be conducted Tuesday at 1:30 p.m. in the Wilkerson Funeral Chapel. Burial will be in Evergreen Memorial Park, Wilson.
Mrs. Bullock, a native of Wilson County and a lifelong resident of Pitt County, was a graduate of Belvoir-Falkland High School. She was engaged in farming with her husband until 1989 and was a charter member of Belvoir Free Will Baptist Church.
- CLAYTON JERELL EPPS
- NONA DEE EZZELLE
- JESSE CLARENCE GARDNER JR.
- CHRISTINE GORHAM
- MATTIE RUTH BULLOCK
Budget Friendly Deliciousness
It's nice to be able to put a good meal on the table without having to spend a fortune. Today's recipes are easy, delicious and inexpensive. But, they won't taste inexpensive. I hope that you will give them a try.
- Barbeque Bests
- Coffee isn't just a drink
- Reboot your pantry
- Budget Friendly Deliciousness
Edgecombe Events May 20
Edgecombe Events should be submitted by noon the day before publication. Items eligible include notices of local meetings and activities of non-profit organizations, clubs, schools and civic groups in the community. Information should be brief and typewritten, neatly printed or via e-mail. Questions? 823-3106 or e-mail: email@example.com. Leave a daytime contact phone number.
- Edgecombe Events May 20
- Our Community
Stocks Elementary School celebrates Science, Technology, Engineering and Mathematics (STEM) Week
In celebration of Science, Technology, Engineering and Mathematics (STEM) Week, Stocks Elementary School hosted several guest speakers and exciting activities during the first week of May.
- HOBGOOD SCIENCE FAIR
- Stocks Elementary School celebrates Science, Technology, Engineering and Mathematics (STEM) Week