Posts tagged ‘consumer spending’

What Ever Happened with the Payroll Tax Increase?



As you may recall, earlier this year, payroll taxes in the U.S. went up by 2% and I discussed how that tax increase could potentially affect spending.  Well, we’re done with first quarter, so how have consumers reacted to that $16 less (based on average weekly earnings on non-farm payrolls) in…

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Yes, Your Paycheck Was Smaller Last Week…



After the fiscal-cliff deal, the payroll tax rate – income withheld from our paychecks for social security – went up from 4.2% to 6.2%.  For the last two years, American employees were paying a little bit less in social security withholding and the jig was up last week. This rate increase is…

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