The dean's secretary told me Friday that she bought a new car this week. It only cost her $60 more per month, and she's hoping that the governor won't cut our pay any more when the legislature meets the budget this year. No matter what they do, our take home pay will be lower in 2011.
Last year when they balanced the state budget, costs of many things went up. You probably saw a decrease in your automobile registration, but the basic service fee went UP. I noticed because my car is fully depreciated, and it cost me $55 to register my car, up from $41, previously. Sure, they also cut state wages officially 5%, but they also increased withholding for PERS from 10.5% to 12% and raised our monthly premiums $34/month. If you do the math, it constitutes a total of 9% paycut for me. Gas, food, and other services (like phone and internet) went up as well. They raise taxes (usually called 'government service fees') on these commodities, which means we buy less.
Next year, the "Bush Tax Cuts" will expire, and all the levels of Federal Withholding will rise. I know that the 30% bracket will now be 33%, which is a 10% tax increase over last year. What this means is that you will see a 'normal' paycheck on 31 December 2010, and then on 15 January 2011, your paycheck will draw $10 or $50 or $500 less, depending on your wages. Once they raise social security taxes, impose the Obamacare premiums, it will exacerbate things further.
What are the implications of this? More homes will go to foreclosure, more jobs will be lost, and they will raise more taxes officially on top of the new ones they just created. All the while, they will pass new 'tax credits' as a way to 'help the economy'. If those ideas are so great, then why not make them permanent? After all, a tax cut is just a permanent tax credit. If it works, then make it true all the time.
Liberals cannot admit that tax cuts work. It goes against their ideology. As long as you have any money and any freedom left, they will tell you that you have 'more than your fair share'.
Unless they roll back the budget and cut spending, your take home pay will go down next year without a promotion. And they will have to cut more than national defense.
Mark my words. Watch your bills. Watch your paystubs. You will have less buying power next year, no matter how many stimulous packages, hikes in the minimum wage, and tax credits they promise or pass.
Last year when they balanced the state budget, costs of many things went up. You probably saw a decrease in your automobile registration, but the basic service fee went UP. I noticed because my car is fully depreciated, and it cost me $55 to register my car, up from $41, previously. Sure, they also cut state wages officially 5%, but they also increased withholding for PERS from 10.5% to 12% and raised our monthly premiums $34/month. If you do the math, it constitutes a total of 9% paycut for me. Gas, food, and other services (like phone and internet) went up as well. They raise taxes (usually called 'government service fees') on these commodities, which means we buy less.
Next year, the "Bush Tax Cuts" will expire, and all the levels of Federal Withholding will rise. I know that the 30% bracket will now be 33%, which is a 10% tax increase over last year. What this means is that you will see a 'normal' paycheck on 31 December 2010, and then on 15 January 2011, your paycheck will draw $10 or $50 or $500 less, depending on your wages. Once they raise social security taxes, impose the Obamacare premiums, it will exacerbate things further.
What are the implications of this? More homes will go to foreclosure, more jobs will be lost, and they will raise more taxes officially on top of the new ones they just created. All the while, they will pass new 'tax credits' as a way to 'help the economy'. If those ideas are so great, then why not make them permanent? After all, a tax cut is just a permanent tax credit. If it works, then make it true all the time.
Liberals cannot admit that tax cuts work. It goes against their ideology. As long as you have any money and any freedom left, they will tell you that you have 'more than your fair share'.
Unless they roll back the budget and cut spending, your take home pay will go down next year without a promotion. And they will have to cut more than national defense.
Mark my words. Watch your bills. Watch your paystubs. You will have less buying power next year, no matter how many stimulous packages, hikes in the minimum wage, and tax credits they promise or pass.
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