For the new year, a smaller paycheck :-(

With all the talk about the fiscal cliff,  what was overshadowed was the expiration of the reduction in the payroll tax.

As a federal employee,  with my salary frozen,  I took my paycheck from last year,  deducted 2% to account for the increase in the payroll tax and subtracted another $100 to account for an increase in my health insurance,  my dental insurance,  a $25 increase in my flexible spending plan and the addition of a vision plan.

At the beginning of each year I budget my 26 paychecks for the year identifying all expected expenses. So I projected how much net pay I would receive each pay period.

Today is payday. And my net pay? $50 more than I projected. Now this 1st check does not include the increased medical and dental plans nor the addition of the vision plan. I hope these expenses do not exceed $50.

Glad I projected the reduction in my paycheck.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: