Payroll Taxes
Trump recently signed an executive order which includes payroll taxes. He is wanting to stop payroll taxes from being deducted from your paycheck effective Sept 1 to bring relief to the American people. The problem with this is that he is not forgiving these taxes, you will still owe this money, he is just delaying the tax. As someone who works with clients who are struggling to manage their money, I see this as a huge burden to the American people. What are Federal Payroll Taxes ? Federal payroll taxes are collected by federal authorities and are deducted on an employee's pay stub. Federal payroll taxes cover Social Security and Medicare contributions. How much will I get from the payroll cut? The executive order applies only to the 6.2% Social Security obligation. Based off a salary of $50,000, you would receive about $258 per month during the Sept 1 thru Dec 31 period. When is this owed? If these taxes are not forgiven by the federal government, individuals will be responsible