duane v Posted November 23, 2010 Share Posted November 23, 2010 ..... So as it is, my net pay has shrunk by $190 every two weeks after receiving a wage increase... LOL!!!! So it looks like I will now have to parley that percentage of increase to my 401k contributions to get that $190 back.... But now I only have a 2% headroom left on 401k contributions Link to comment Share on other sites More sharing options...
pete c Posted November 23, 2010 Share Posted November 23, 2010 im confused how do you get an increase and loose money, did it put into a higher tax bracket. Link to comment Share on other sites More sharing options...
ChanMan Posted November 23, 2010 Share Posted November 23, 2010 ..... So as it is, my net pay has shrunk by $190 every two weeks after receiving a wage increase... LOL!!!! So it looks like I will now have to parley that percentage of increase to my 401k contributions to get that $190 back.... But now I only have a 2% headroom left on 401k contributions Funny how that worked out huh? Make sure you ping your tax folks (or do due diligence if you do your own) as I think 2010 is the last year before the tax laws change. I don't remember exactly what our folks told us, but I think Roth IRAs and 401k contributions that are tax free are going to be affected. Given my inability to recall the details, I guess it's a Very Good Thing we have people for that..... Link to comment Share on other sites More sharing options...
duane v Posted November 23, 2010 Author Share Posted November 23, 2010 Funny how that worked out huh? First time that has happened... usually I have something left over after a wage increase... BTW thanks for the tip... I will talk with my sister about the 401k situation you mentioned Link to comment Share on other sites More sharing options...
ChanMan Posted November 23, 2010 Share Posted November 23, 2010 Aye! Glad to be able to pass that along. I can't remember when exactly, but I seem to recall getting an increase that put me into the next tax bracket and resulted in decrease in take home pay. But I'm like you, it seems like I could at least see an extra $5 a week..... (I used to call it the "one lunch" raise) Have you thought about approaching your employer about maybe perks instead of cash? An extra day off a month? Out on Fridays at 3 instead of 5? Something that may keep you from losing $190 a week? Just brainstorming trying to help (edited twice for typing while talking to my wife LOL) Link to comment Share on other sites More sharing options...
cabba2203 Posted November 23, 2010 Share Posted November 23, 2010 You mean that didn't stimulate you? Maybe you need more taxes? LOL! Link to comment Share on other sites More sharing options...
Tim Plains Posted November 23, 2010 Share Posted November 23, 2010 If you need extra funds to make up the difference, I'll be happy to take that Custom off your hands. Link to comment Share on other sites More sharing options...
Big Bill Posted November 23, 2010 Share Posted November 23, 2010 Damn, that's more than Dem00n makes in a year! Link to comment Share on other sites More sharing options...
RobinTheHood Posted November 23, 2010 Share Posted November 23, 2010 What about claiming an allowance on your W4? ...unless you are maxxed out. Link to comment Share on other sites More sharing options...
surfpup Posted November 23, 2010 Share Posted November 23, 2010 Sounds like someone needs to adjust his withholding. The amount withheld from our paychecks isn't actually taxes of course - merely withholding (of our money) to facilitate us paying our taxes. We can adjust it to whatever we want. Some folks like to get a big tax return so they use their withholding like a savings account. I prefer to get as much of my money as quickly as possible, so I try to match my withholding amount as closely as possible to my actual tax bill. This gets tricky when married with children, but there is a form that, if used correctly, can help you choose the right deductions (married, single, dependents, etc) for your W-4 form which sets your withholding amounts. Link to comment Share on other sites More sharing options...
NeoConMan Posted November 24, 2010 Share Posted November 24, 2010 Yep, it ALL changes in January. The word BOHICA comes to mind. Link to comment Share on other sites More sharing options...
Steven Tari Posted November 24, 2010 Share Posted November 24, 2010 Thats why I try not to work overtime anymore. Everytime I make more money, I lose more money in the tax bracket I'm in. Link to comment Share on other sites More sharing options...
ChanMan Posted November 24, 2010 Share Posted November 24, 2010 Thats why I try not to work overtime anymore. Everytime I make more money, I lose more money in the tax bracket I'm in. /chuckle Been there, done that, then couldn't afford the t-shirt Link to comment Share on other sites More sharing options...
Versatile Posted November 24, 2010 Share Posted November 24, 2010 This is a very unfair situation and saps ambition Humorous ripost 'Taxman'........The Beatles V Link to comment Share on other sites More sharing options...
cookieman15061 Posted November 24, 2010 Share Posted November 24, 2010 Only in America!! Where you can you work harder and make less. Where we wanna burn our food to make fuel..... which takes more fuel to make then the fuel it creates.............genius! Where you can take something beautiful like a Gibson Firebird and turn it into Frankenstien's monster. Link to comment Share on other sites More sharing options...
dbreslauer Posted November 24, 2010 Share Posted November 24, 2010 +1 on double checking your W4 allowances: unless you owe at end of year already. Self employment income or 1099 contractor income also may be reasons you'd want to pay more tax up front, so to speak. Link to comment Share on other sites More sharing options...
Daryl M Posted November 24, 2010 Share Posted November 24, 2010 "I'm sorry, Boss, but I'm going to have to slack off a little next year. Many more pay raises and I won't be able to afford to work here." Link to comment Share on other sites More sharing options...
milod Posted November 24, 2010 Share Posted November 24, 2010 I know a lot of us are biting our lips to keep from sounding "political." So... A man I worked with for a number of years was old enough to remember the earliest years of the income tax in the U.S. and how proud his parents were that they made enough money to have to pay some. Now? It seems to be intended to be a disincentive to work. If you "young guys" are feeling that way, imagine how this discussion is hitting our teen members who almost have to be wondering why even to try beyond having the basics of food, clothing, shelter and government... <grin> m Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.