Next Year's SS tax break—what will you do with the money?

[kyounge1956]

A calculator here estimates how much your paycheck will change because of the 2% cut in SS tax rate next year, and this article has some ideas on what to do with the money. What are your plans? (You can vote for more than one item in the poll.)

 

[REWahoo]

What are your plans?

I plan to thank my lucky stars I'm not getting it!

 

[kyounge1956]

I plan to thank my lucky stars I'm not getting it!

Boy, you are quick, you replied before I even got the poll done. I didn't think of the non-eligibles.

Mods, can you add "I don't pay SS tax" to the poll options?

 

[Independent]

I plan to thank my lucky stars I'm not getting it!

+1

For those who do get the SS tax break, remember that the gov't is borrowing the money to pay for it*. Since we'll have to pay interest on that borrowing for a very long time, I'd expect either taxes or inflation to go up in the future. That probably supports one of the saving options.

*or, for the spending that's not being cut to offset the tax loss.

 

[W2R]

Boy, you are quick, you replied before I even got the poll done. I didn't think of the non-eligibles.

Mods, can you add "I don't pay SS tax" to the poll options?

Done, and I voted for it after adding it.

 

[foxfirev5]

Save it. Because I'll probably end up paying it back later in higher taxes

 

[afntrn56]

They are going to take some of what they give to me. The last 2 years you have been able to deduct for property taxes you pay if you do not itemize and you won't be able to do that this time around.

 

[martyb]

The only SS tax I've paid since 1983 has been from my Air Force Reserves pay. I'm now retired from that. Since I fall under federal CSRS, I don't pay into Social Security, and haven't since 1983. Therefore....I won't be reaping the 2% savings on payroll SS taxes. I voted accordingly in the poll.

 

[FreeAtLast]

My employer is making us contribute to the cost of health insurance next year. The company previously picked 100% of the health care. The reduction is SS will pay about 1/2 of the cost of the employee's new health insurance deduction.