Got my new paycheck today with new withholding.

[lapfog_1]

23. works out to $3,474 a year

not crumbs to anyone... but the OP is also correct... not life-changing either.

I would be very careful with that $67 a week as I suspect the withholding calculation is possibly inaccurate and I would hate to owe money in April 2019.

The other things to think about is what will increase as a result of this tax cut. For example, if you live in one of the states with significant state and local taxes and you are used to deducting those taxes on your federal return, you might not even be getting any sort of tax break.


I'm going to guess but if my math isn't way off the OP makes around $80,000 a year. $3,474 is a 4% tax break. Certainly not millions, but not chump change.

Before we all get excited about that 3 or 4 percent tax break, remember what we are losing as a society ( education environment infrastructure social services etc )

Also remember that the government is having to BORROW more money ( yet to be determined how much but the LOW end is $1.5T ) just to fund the things they haven't cut AND they have more spending bills coming to increase military spending. That much borrowing will impact the cost of money for all of us, even those who don't borrow money because we buy things and the companies who make those things DO borrow money so the increased cost of money will factor into the prices we pay.

Economic modeling is very difficult. Monkeying around with tax policy and trade policy and we will see all kinds of unintended consequences.