<p style="text-indent:0px; line-height:12px;"><span style="font-weight:bold;">Washington, DC-</span><hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">By ANUK Staff<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">12.21.12</p><hr class="legacyRuler"><hr class="invisible minimal-padding"><p>In an effort to resolve the fiscal cliff, the White House, made a key concession Monday that would be felt by U.S. wage earner. The Wall Street Journal reports that the concession allows the expiration of the payroll tax cut; a provision that has lowered the workers’ share of Social Security taxes by two percentage points during the last two years.<a class="btn btn-sm btn-primary col-lg-12" style="white-space: normal;" href=" http://blogs.wsj.com/economics/2012/12/19/tax-increases-coming-whether-fiscal-cliff-is-averted-or-not/?mod=e2tw" target="_new"><img src="https://cdn.andnowuknow.com/legacyWriterImages/Calculadora.png" alt="Images 122112" /></a>(Clicking on the above image will take you to the WSJ calculator to let you know how much more you will pay in taxes)<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">When broken down, this means an average tax increase of about $1,000 a year for the typical American household making about $50,000 annually.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Most workers are likely to see lower take-home pay in 2013 whittle away at economic growth with this decision<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">According to J.P. Morgan Chase, letting the payroll tax rate revert to 6.2% from the current 4.2% would raise government revenue by about $125 billion next year. This translates to 0.8% of total U.S. economic output.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Many forecasters say an increase in the payroll tax rate would put a significant damper on consumer spending.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">The decision could be a surprise for many workers who might have been under the impression that tax increases in 2013 would not affect them. </p><hr class="legacyRuler"><hr class="invisible minimal-padding"><p><a class="btn btn-sm btn-primary col-lg-12" style="white-space: normal;" href=" http://blogs.wsj.com/economics/2012/12/19/tax-increases-coming-whether-fiscal-cliff-is-averted-or-not/?mod=e2tw" target="_new">Wall Street Journal</a></p><hr class="legacyRuler"><hr class="invisible minimal-padding">
