Payroll tax increase: What this means for you

Payroll tax increase_ What this means for you _9198825883154533069

Americans are now going to be seeing less in their paychecks.

The payroll tax cut expired earlier in the week, which means the payroll tax are is now 6.2%

It was lowered to 4.2% back in 2011 as a way to stimulate the economy.

With the hike, one expert says you’ll now notice a smaller paycheck.

“If you have a couple, a married couple that both make $25,000 a year, their decrease for the year will be $1,000. If you look at that on a monthly basis, it’s almost $100 a month. So that’s really going to affect a lot of our clients and people in the Mohawk Valley, said Bill Read at H&R Block.

Read says you’ll notice the adjustment right on your pay stub on the FICA line.

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