• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Free From Broke

A Personal Finance Blog for Regular Folks

  • Home
  • Personal Finance
  • Debt
  • Saving
  • Investing
    • Best Online Brokerages
  • Taxes
  • Credit Scores
You Are Here: Home » Personal Finance » Last Minute Fiscal Cliff Deal Kicks Can Down Road and Links

Last Minute Fiscal Cliff Deal Kicks Can Down Road and Links

Published or updated February 17, 2015 by Kevin Mulligan

As expected our saints in Congress “came through” at the last possible moment to kick the proverbial debt, tax, and spending can down the road for a little bit.

A deal was struck, the middle class was “saved” — or was it? — and everyone can focus on using this small planned victory in the next election cycle.

…said the cynic.

Nonetheless your taxes won’t be jumping up by 27% next year.  Instead, a 2% discount in the Social Security tax that has been in place for a few years will disappear.  Many will moan and complain about having less money in their pockets and how this is a tax increase.  I see it more as you used to be able to use a coupon someplace, but now the store isn’t accepting 2% off coupons anymore.  The drop from 6.2% tax to 4.2% was meant to be temporary to boost the economy.

Considering the rate has been 6.2% since 1990, hasn’t been below 5% since 1973, and hasn’t been below 6% since 1988… I’d say it is the removal of a discount.  But people will still complain about losing 2% next year, and that’s understandable I suppose.  Just realize that you shouldn’t have had that extra 2% for the last few years, move on, and try to save or earn more money this year.

You can cover that extra 2% in Social Security tax easily by implementing a great financial plan to pay off your debt, earn more money, and save for a rainy day.  Here are some articles to help you do just that:


Financial Blogger Conference | Things I Wish I Knew When I Started Blogging
CNN Money | Can a $1 trillion coin end debt ceiling crisis?
The Empowered Dollar | 2013: Why this is the Year of Quiet Persistence
Bloomberg | Almost All of Wall Street Got 2012 Market Calls Wrong
Boomer and Echo | Monthly Financial Planning Checklist
Get Rich Slowly | Romanticizing Poverty and Learning Financial Independence
Len Penzo | What It Really Feels Like to Be a Billionaire
Good Financial Cents | The Debt Movement: Taking Down $10 Million of Debt in 90 Days, Together
Bible Money Matters | Avoid the Distractions and Keep Your Focus on Your Goals or You’ll End Up with Empty Pockets

Free From Broke was featured in the following carnivals this week:

Nerdy Finance #20: Welcome to 2013
Carnival Of Personal Finance – Happy New Year’s Edition
Festival of Frugality » Blog Archive » Festival #368 – Last Festival of 2012!


Filed Under: Personal Finance Tagged With: blog carnival, Blog Roundup, Personal Finance Articles

About Kevin Mulligan

Kevin Mulligan is a debt reduction champion with a passion for teaching people how to budget and stay out of debt. He's building a personal finance freelance writing career and has written for RothIRA.com, Discover Bank, ING Direct, and many others.

Reader Interactions

Comments

  1. Lance @ Money Life and More says

    January 6, 2013 at 9:58 am

    I’m not surprised at all that the can got kicked. I just hope people are aware their paychecks will be smaller. Based on what I’ve seen though no one really expected it…

    Reply
    • Glen Craig says

      January 6, 2013 at 6:48 pm

      They will be smaller but they could have been a lot smaller without this deal.

      Really, no one expected it? Or is it that most people just didn’t understand the credit? Because it seemed to me that the payroll cut was meant to be temporary and I heard nothing that said it would be extended.

      Reply
  2. Andrew @ Listen Money Matters says

    January 6, 2013 at 3:05 pm

    That’s a good point, it should be a call to action for all of us to increase our savings by 2%. We can slowly work towards saving our country’s fiscal situation and ours at the same time. 2% is so tiny, maybe seeing how easy it is to reduce spending by that little amount can inspire a whole lot more savings!

    Reply
  3. Jane Savers @ The Money Puzzle says

    January 6, 2013 at 8:41 pm

    What about the coming debt ceiling negotiations? Will your American government make real changes to reduce or at least stop increasing debt or will the debt continue to increase?

    I am your Canadian neighbour and I am waiting to see what will happen.

    Reply
    • Glen Craig says

      January 6, 2013 at 8:59 pm

      Negotiations in a couple of months will be interesting to say the least.

      Reply
  4. heiße girl sex says

    September 8, 2020 at 8:52 am

    Your work is very good. Thank you for sharing great information to us. heiße girl sex

    Reply

Primary Sidebar

A Little About Me

Glen CraigI'm Glen Craig - I used to live paycheck-to-paycheck, drowning in credit card debt. I turned that all around and now I build wealth rather than debt.

My goal is to make personal finance easy for you.

More ABOUT me.

Join our email list (FREE) and never miss an article!


Free From Broke as seen on

Follow Us

FacebookGoogleTwitterRSS



Follow @freefrombroke

Top Articles

  • Use Google Calendar To Pay Your Bills On Time
  • 9 Things to Do When You Retire
  • Side Hustle-Make Extra Money Cleaning Homes
  • Four Ways You Can Pay Off Your Home Mortgage Faster
  • Don’t Forget Your 401(k) When You Leave Your Job! Here’s What You Can Do With It
  • Your 4 Step Guide on How to Stop Living Paycheck to Paycheck
  • What Is A Mortgage Escrow Account?
  • This is Why Your House Isn’t Selling – Here’s How to Finally Get Your House Sold
  • 7 Ways to Get Rich Quick
  • What is Renter’s Insurance and Why You Need It
  • What Is a Probate Lawyer and When Would You Use One?

Recent Articles

  • Money Market Account VS Savings Account – What’s the Difference?
  • Five Ways Fantasy Baseball is Like Personal Finance
  • Tools to Help Organize Your Taxes
  • Don't Let Your Goals Fizzle Out! - 5 Reasons Goals Fail, and What You Can Do To Make Yours Succeed
  • What Do You Think of New Year's Resolutions?

Tools to Improve Your Finances

  • Online High Yield Savings
  • All About Online Checking Accounts – Why Pay More Fees Than You Have To
  • Personal Capital Review - A One Stop Financial Center
  • Online Brokerages That Won't Break Your Bank
  • Credit Karma Review - Get Your Credit Score and More
  • CD Rates
  • Savings Rates
  • Mortgage and Refinance Rates
TurboTax Review HR Block Review Shoeboxed Review

Follow Us On Pinterest!

Follow Free From Broke's board Most RePinned and Popular {Free From Broke} on Pinterest.

Footer

More

  • About
  • Archives
  • Contact Us
  • Get Our Newsletter

More Recent Articles

  • Think Long Term When Shopping Black Friday and Cyber Monday
  • 10 Essential Tips For Shopping Black Friday And Cyber Monday That Will Save You Money
  • How to Improve Your Credit Score Fast
  • What is a Refund Anticipation Loan (RAL) and is it Worth It?
  • Paying Taxes with a Credit Card: Pros and Cons

Disclaimer

Free From Broke is for general information or entertainment purposes only and does not constitute professional financial advice. Be smart and do your own research or contact an independent financial professional for advice regarding your specific situation.

In accordance with FTC guidelines, we state that we have a financial relationship with companies mentioned in this website. This may include receiving access to free products and services for product and service reviews and giveaways.

© 2007–2025 Free From Broke A Personal Finance Blog For Regular Folks – All rights reserved.

No content on this site may be reused in any fashion without written permission from FreeFromBroke.com | Privacy Policy | Sitemap

Copyright © 2025 · Metro Pro on Genesis Framework · WordPress · Log in

We are using cookies to give you the best experience on our website.

You can find out more about which cookies we are using or switch them off in settings.

Go to mobile version
Powered by  GDPR Cookie Compliance
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.

Strictly Necessary Cookies

Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings.

If you disable this cookie, we will not be able to save your preferences. This means that every time you visit this website you will need to enable or disable cookies again.