Stimulus

Quote: kenarman

You know where I stand but you seem quite fearful of doing that so what is your solution?

His solution is to partake in his favorite hobby. 😂😂

How many people here have a job where the employer is not taking the 6.2% out?
I received an email today, that starting this month, the 6.2% will not be taken out of military pay as per orders of the President, but in 2021 a "collection process" will start to collect all deferred pay (presumably taking double out each month for the first four months, though this has not been clarified) :

"Total Army Team,
All enlisted Soldiers and NCOs, as well as most Officers and DA Civilians, will see a 6.2% increase in their base pay starting with September’s mid-month pay through December 2020.
As of now, you will have to pay this Social Security tax back January through April 2021.
Bottom line, check your Leave and Earnings Statement and develop a plan. Leaders, sit down with your subordinates and discuss their plan for when the tax is recouped in 2021.
See original message from DFAS below which includes a link to Frequently Asked Questions.
-SMA
////
In order to provide relief during the COVID-19 pandemic, a Presidential Memorandum was issued on August 8, 2020 and guidance followed by Internal Revenue Service on August 28, 2020, to temporarily defer Social Security (Old Age, Survivors, and Disability Insurance (OASDI), as seen on the Leave and Earnings Statement (LES) as "FICA-SOC SECURITY") tax withholdings in the pay of some service members.
Effective for the September mid-month pay, DFAS will temporarily defer the withholding of your 6.2% Social Security tax if your monthly rate of basic pay is less than $8,666.66. If your monthly rate of basic pay is at or above this threshold, your social security tax withholding will not be affected by the temporary deferral.
Key Facts:
- The Social Security tax is labeled as "FICA-SOC SECURITY" on the LES and is calculated as 6.2% of your basic pay.
- This change is effective through the end of the 2020 calendar year and only applies to your Social Security tax withholding. Normal withholding of your FICA-Social Security taxes will resume effective January 1, 2021.
- You are not eligible to opt-out of the deferral if your basic pay falls within the stated wage limits. The deferral will happen automatically.
- In accordance with current IRS guidance, collection of the deferred taxes will be taken from your wages between January 1 and April 30, 2021. Additional information on the collection process will be provided in the future.
- If you separate or retire in 2020 before the Social Security tax can be collected in 2021, you are still responsible for the Social Security tax repayment. "



I am just in the Army Reserves, so this is not a significant amount (and luckily my civilian employer is not participating in this nonsense), but how is it logical to let people keep an extra 6.2% now, but then make them pay it all back in a few months? I don't understand how this executive order is supposed to help anyone? It seems like a ploy to make your paycheck slightly bigger before the election, only to pay it back after.
Does anyone have an employer for their full-time job where they are doing this? It seems like it has the potential to cause a major hardship in January depending on the collection process? I feel bad for people who are active duty since the President is not letting people opt-out.

A payroll tax cut would have made sense, a deferment makes zero sense to me? I cannot see how this will help anyone? And, I can see several situations where it can harm many?

Agree with above. It is just giving workers a small interest free loan. My experience with giving average Americans a loan is that they will spend it on ‘hookers and blow’ and not be prepared to repay it in early 2021. Totally political move by Trump. One I am strongly against.

Quote: Gandler

How many people here have a job where the employer is not taking the 6.2% out?
I received an email today, that starting this month, the 6.2% will not be taken out of military pay as per orders of the President, but in 2021 a "collection process" will start to collect all deferred pay (presumably taking double out each month for the first four months, though this has not been clarified) :

"Total Army Team,
All enlisted Soldiers and NCOs, as well as most Officers and DA Civilians, will see a 6.2% increase in their base pay starting with September’s mid-month pay through December 2020.
As of now, you will have to pay this Social Security tax back January through April 2021.
Bottom line, check your Leave and Earnings Statement and develop a plan. Leaders, sit down with your subordinates and discuss their plan for when the tax is recouped in 2021.
See original message from DFAS below which includes a link to Frequently Asked Questions.
-SMA
////
In order to provide relief during the COVID-19 pandemic, a Presidential Memorandum was issued on August 8, 2020 and guidance followed by Internal Revenue Service on August 28, 2020, to temporarily defer Social Security (Old Age, Survivors, and Disability Insurance (OASDI), as seen on the Leave and Earnings Statement (LES) as "FICA-SOC SECURITY") tax withholdings in the pay of some service members.
Effective for the September mid-month pay, DFAS will temporarily defer the withholding of your 6.2% Social Security tax if your monthly rate of basic pay is less than $8,666.66. If your monthly rate of basic pay is at or above this threshold, your social security tax withholding will not be affected by the temporary deferral.
Key Facts:
- The Social Security tax is labeled as "FICA-SOC SECURITY" on the LES and is calculated as 6.2% of your basic pay.
- This change is effective through the end of the 2020 calendar year and only applies to your Social Security tax withholding. Normal withholding of your FICA-Social Security taxes will resume effective January 1, 2021.
- You are not eligible to opt-out of the deferral if your basic pay falls within the stated wage limits. The deferral will happen automatically.
- In accordance with current IRS guidance, collection of the deferred taxes will be taken from your wages between January 1 and April 30, 2021. Additional information on the collection process will be provided in the future.
- If you separate or retire in 2020 before the Social Security tax can be collected in 2021, you are still responsible for the Social Security tax repayment. "



I am just in the Army Reserves, so this is not a significant amount (and luckily my civilian employer is not participating in this nonsense), but how is it logical to let people keep an extra 6.2% now, but then make them pay it all back in a few months? I don't understand how this executive order is supposed to help anyone? It seems like a ploy to make your paycheck slightly bigger before the election, only to pay it back after.
Does anyone have an employer for their full-time job where they are doing this? It seems like it has the potential to cause a major hardship in January depending on the collection process? I feel bad for people who are active duty since the President is not letting people opt-out.

A payroll tax cut would have made sense, a deferment makes zero sense to me? I cannot see how this will help anyone? And, I can see several situations where it can harm many?

Deferments of any kind don't make sense for anybody living pay cheque to pay cheque. In Canada they have gone nuts with them but the government has off loaded at lot of them onto the private sector. The worst one was that people can't be evicted for not paying residential rent. About 40% of people just quit paying rent for 6 months and many just partied the money away or bought a new TV. Now the landlords are still going to have to pay to evict them and eat the 6 months + rent. Many people who had just had mortgage helper suites and their own problems with work are now facing losing their homes.

Quote: kenarman

Blame Trump

Typical deflection TP. No answer so back to blame Trump, your go to answer for everything.

I'm sorry but I cant fix stupid
Maybe Trump can but I cant
Trump supporters believe the virus is fake. Talk about stupid
Just listen to the interviews with the maskless at his rallies
They all live in some fantasy world where the virus simply does not exist
Trump can convince them its real but he chooses not to

How can I have a solution to a problem that Trump is determined to make worse

Do you believe the virus is real?
How do we convince those that think the virus is totally fake????????????????

Quote: kenarman

Deferments of any kind don't make sense for anybody living pay cheque to pay cheque. In Canada they have gone nuts with them but the government has off loaded at lot of them onto the private sector. The worst one was that people can't be evicted for not paying residential rent. About 40% of people just quit paying rent for 6 months and many just partied the money away or bought a new TV. Now the landlords are still going to have to pay to evict them and eat the 6 months + rent. Many people who had just had mortgage helper suites and their own problems with work are now facing losing their homes.

I don't know anything about the Canadian stimulus. But, did they really defer all rent/leasing for 6 months? That is just a recipe for disaster.
Did Canada have an expanded Unemployment Insurance like America (600 on top of your regular weekly check) or something along those lines? In America, I never understood how so many people could not pay rent after losing their jobs (as many were making more than they did while working). To be fair, there was a massive backlog of claims in many states.

Quote: SOOPOO

Agree with above. It is just giving workers a small interest free loan. My experience with giving average Americans a loan is that they will spend it on ‘hookers and blow’ and not be prepared to repay it in early 2021. Totally political move by Trump. One I am strongly against.

Yeah if he does win re-election and does not make good on his promise to forgive the deferments, which he promised to do if he wins (which he cannot do without congress) there will be a massive backlash. But, it will just be one more unfulfilled Trump promise that the cons will gloss over and will quickly be forgotten.

Agree that this "payroll tax deferment" is ill-conceived.
$300/week was all that needed to be EO'd to put the Dems in spotlight on failing to act for the Covid Unemployed.
Nothing will get done until after election now as Dems refuse to come off their $3T pork filled proposal.
Dems want public pain right now, the economic recovery to slow down & to get those damn job creation numbers to reverse course
Sleepy Joe & The Hoe need all the help they can get, but it won't be enough come Debate Time.
Does Sleepy Joe know there isn't a teleprompter available on 9/29?
Hand Motioning & Stumbling Joe lost without his script
"Put That Back On"- Do you expect me to think on my own?
"Move It Up Here" - I need that scripted answer where I can read it
Get your popcorn ready!

Quote: JCW09

$300/week was all that needed to be EO'd to put the Dems in spotlight on failing to act for the Covid Unemployed.

I dont think anybody is listening to you on this subject
The biggest issue facing this country is the VIRUS
The Dakota's are now the hotspot in the country
Gee, thanks Sturgis

Quote: terapined

I dont think anybody is listening to you on this

Apparently he loves socialism when he thinks it will help the cult leader get re-elected.