White House Proposes Payroll-Tax Holiday

[cavegal]

http://online.wsj.com/article/SB10001424052748704156304576003441518282986.html?mod=WSJ_hp_LEFTWhatsNewsCollection

WASHINGTON—Aides to President Barack Obama are proposing a one-year reduction in the payroll tax as part of negotiations with Congress on a broader package to stave off income-tax increases due to take effect next year. Under the White House plan, the Social Security tax paid by workers would drop temporarily by 2 percentage points, to 4.2% from 6.2%, a person familiar with the proposal said. For a worker earning $40,000, the tax savings would be $800.

[thundley4]

They know they can't cut taxes anymore for most people or they would be getting even bigger checks from the government.  They worry about the $700B that the tax rate extension for the rich will cost, but then want to add to the deficit and the problems of Social Security this way.

They have already talked about cutting benefits in the future, so why not defund Social Security a little more.

[zeitgeist]

http://online.wsj.com/article/SB10001424052748704156304576003441518282986.html?mod=WSJ_hp_LEFTWhatsNewsCollection

I was walking the beagle listening to Rush today when he made a pretty good point, if the dems are so hot on all these cuts to the little guy why do they tax unemployment and social security? 

I am watching PBS Gwen Aweful at the moment talking about Dinglebarry and tax cuts.   I don't do this very often.

[Wineslob]

They don't need to defund SS, they need to only pay out what people have contributed, plus interest, over a certain period of years. After that you better have planned well, like most responsible adults should.