If you have 15 minutes of your life you feel like wasting, read it here http://finance.yahoo.com/news/deal-shrunken-paycheck-2013-142808632.html otherwise I will recap it for you.
This article alerts the world that the 2% payroll tax reduction which was part of the stimulus package has been repealed. The result is a decreased pay check for everyone of as much as $40 a week. This is not an easy pill to swallow, so of course there are experts to advise us how to continue living.
Robert Pesce, a partner of a NYC accounting firm soothes us by saying that $40 “is real money, but I don't know that it warrants panic."
Thanks Bob that is very helpful.
Tim Speiss, from the accounting firm of Blah, Blah and Blah informs us that, “From a tax perspective, the answer is, you can't do much. You can't opt out of it, and your employer can't reduce it."
Well Tim, you are a gem of useful information.
There is some good news, however, thanks to the author of this article, Amy Feldman, who lets us know, “From a budgeting perspective, if you need the cash, there are things you can do. Here is how to think about your options:"
(BTW, can we use the word perspective a little more often, it sounds so cerebral.)
Are you ready for Amy’s key to more cash? Here we go…pay attention.
CONSIDER CHANGING YOUR WITHHOLDINGS
Great Amy…withhold more tax payments from your paycheck and indeed you will receive more cash in your weekly pay check. You will also receive less as a refund at the end of the year (or maybe even owe money + interest and penalty) on which many of us have come to rely.
In what universe does this give you more cash Amy?
DON'T CUT YOUR 401(k)
Good advice, but how does this add more cash?
RECALCULATE ESTIMATED TAX PAYMENTS
Damn Amy, this is helpful. If we are self-employed you tell us how to calculate having to pay the extra 2%. Hmmm… how does this help anyone budget for the reduction in pay? Hmmm… what self-employed person who is able to stay in business cannot figure out how to pay the extra 2%?
TAP DISCRETIONARY INCOME
This is the best advice yet…damn Amy, from an ignoramus perspective you are a genius. Tap discretionary income means SPEND LESS on things you can do without!
Do people get paid real money to write this drivel?
"I Used to be Stupid" is now available and in stock on Amazon