User-agent: * Allow: / Trenton Butcher Block: Hope You Are Enjoying Your Pay Cut

"Our Liberties We Prize, Our Rights We Will Defend."

Commentary on national and local events from the standpoint of a Trenton city resident and state worker.

Monday, October 24, 2011

Hope You Are Enjoying Your Pay Cut

Right now I am looking at my pay stub for the period ending September 30th.  On the stub is a message to encourage workers to participate in something called TaxSave, which allows health insurance premiums to come out of pre-tax money.  While workers won't pay federal income tax in the premiums, they still have to pay state income tax on this money.  One other very big problem, no Social Security tax will be taken out either, which reduces your eventual Social Security retirement benefit.

In the past, this wouldn't have made much of a difference, because we only had to pay 1.5 percent of salary for our health coverage (plus about $20 more for dental), but when the premiums start ramping up next year, look out, people who participate in TaxSave will find themselves saving themselves out of Social Security.

By the way, how about that new lighter check with the increase in pension cost.  That's Pension Reform.
And with  elections coming up this November, we no doubt will remember who made that plan happen.  Why Sheila Oliver in the assembly and those notorious South Jersey Norcross Democrats.  So be sure to vote for real Republicans if you are now represented by Oliver, Sweeney, Norcross, Whellan or any of the other Benedict Arnold Democrats.  We can always dump the Republicans the next election cycle, but we must put them in to let Sweeney and Co. know that their actions have consequences, and in their case the consequence is having to loose reelection. 

By the way, what do I shell out for pension.   About $200 per pay.

2 comments:

  1. Been making the same paycheck here for the last 4 years. The BIG part of that? Healthcare. Over $9700 a year. When it hurts that bad...come and talk.

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  2. walking here with a smile. take care.. have a nice day ~ =D

    Regards,
    http://www.lonelyreload.com (A Growing Teenager Diary) ..

    ReplyDelete