Results 1 to 4 of 4

Thread: All federal employees will be subject to Trumpís payroll tax deferral

  1. #1

    Join Date
    Sep 2006
    Location
    Upstate NY
    Posts
    2,492
    Blog Entries
    45

    Default All federal employees will be subject to Trumpís payroll tax deferral

    Looks like this one will affect more than just military branch. Payroll tax will be deferred for a few months so it appears we'll have more money to spend?

    I'm lost.

    The Coast Guard was the first military service to publicly inform its members that theyíd be subject to the changes. In a message to the workforce Friday morning, the service said it will defer a 6.2% tax on employee wages and basic pay for military members from September through December, and that the deferrals are ďnon-negotiable.Ē

    The payroll tax deferral applies to all Coast Guard military members who make $8,666 a month or less, the notice said.

    As Federal News Network previously reported, civilian employees whose gross, biweekly wages are $4,000 or less are also subject to the payroll tax deferral.
    https://federalnewsnetwork.com/pay/2...-deferral-too/


  2.  
  3. #2

    Join Date
    Dec 2007
    Location
    inland Northwest
    Posts
    4,105

    Default Re: All federal employees will be subject to Trumpís payroll tax deferral

    It will come back out of next year's paychecks, more than likely. double-deduction until repaid. As for people who plan on retiring between now and year-end, it may come out of FERS retirement income, or else we get a separate bill to repay the Treasury. or...or...or, we never have to pay it back (and don't get SS retirement credit either), but that requires congressional action if so, if I understand what I've read on the subject.
    "life can only be understood backwards, but it must be lived forwards" - soren kierkegaard

  4.  
  5. #3

    Join Date
    Apr 2008
    Location
    Cleveland, Ohio
    Posts
    10,379

    Default Re: All federal employees will be subject to Trumpís payroll tax deferral

    Just like the $1.5T tax cut we got in 2019 and then most of us had to pay or got a lot less back when we filed taxes for 2019. It looks good up front but then sticks it in the ....
    I'm not for it.
    Also it only looks good for those that are working. What about the millions still out of work? It doesn't do squat for them and they are the ones that really need the help.
    Just saying.
    May the force be with us.

  6.  
  7. #4

    Join Date
    Sep 2006
    Location
    Upstate NY
    Posts
    2,492
    Blog Entries
    45

    Default Re: All federal employees will be subject to Trumpís payroll tax deferral

    Definitely not a good deal. I'll probably put it in savings to make up for any smaller checks down the road.

    Federal employees and military members will be expected to pay deferred taxes back starting next January and through April, though neither the administration nor individual payroll providers have described in detail exactly how that will work.

    Based on the messages that agencies and payroll providers have sent to their employees, which Federal News Network has reviewed, the expectation is that employees will pay deferred taxes back in installments from January through April 2021.

    Previous IRS guidance mentioned employees may face interest and penalties if they fail to pay deferred taxes back by April, but there are few other details.
    https://federalnewsnetwork.com/pay/2...-back-in-2021/

  8.  

Tags for this Thread

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  
SPY (C Fund) (delayed)

(Stockcharts.com Real-time)
DWCPF (S Fund) (delayed)

(Stockcharts.com Real-time)
EFA (I Fund) (delayed)

(Stockcharts.com Real-time)
BND (F Fund) (delayed)

(Stockcharts.com Real-time)

Yahoo Finance Realtime TSP Fund Tracking Index Quotes