Social Security Tax Hike Hits All Income Levels
By: Sophie Nielsen-Kolding WMBD/WYZZ TV
Updated: January 2, 2013
PEORIA- The Fiscal Cliff deal doesn't mean your paycheck is safe, the end of a tax holiday means Social Security Taxes have increased.
That tax now goes up two percent, and means a person making $30,000 a year will see about $50 less per month. Illinois residents did not see their Social Security tax decrease during the holiday because of another tax increase at the same time.
"You know, the payroll tax holiday in Illinois, it wasn't a holiday for us. Because we had a two percent increase in our state taxes at the exact same time that the federal government decreased at two percent," said William Sharpe, president of Total Income Tax.
The Social Security tax for people in this state is now at 6.2 percent.
That tax now goes up two percent, and means a person making $30,000 a year will see about $50 less per month. Illinois residents did not see their Social Security tax decrease during the holiday because of another tax increase at the same time.
"You know, the payroll tax holiday in Illinois, it wasn't a holiday for us. Because we had a two percent increase in our state taxes at the exact same time that the federal government decreased at two percent," said William Sharpe, president of Total Income Tax.
The Social Security tax for people in this state is now at 6.2 percent.
