Has your take home pay increased with the 2018 tax reform?

[QuarterMillionMan]

With my 2/1/18 paystub my take home pay increased by $300 but I’m not sure if it’s a direct result of the 2018 tax reform.

[Thrif-t]

Holy cow But then again you are the QuarterMillionMan. ha

Mine only went up $23/pay or $46 per month, but hey I'll take it.

[disneysteve]

I started another thread about this a couple of days ago:

https://www.savingadvice.com/forums/personal-finance/86973-new-taxes-effect.html

I can't really say how much my take home went up by because other things change at the beginning of the year, like SS tax starting up again and rate changes on health insurance and such. That's why I just listed the change in percentage of Federal withholding.

[TexasHusker]

One idea I've thought of numerous times is this:

Why doesn't the gubmit just take ALL of the $$ it needs from our paychecks - income taxes, ss taxes, property taxes, sales taxes, auto taxes, license taxes, etc. - and give us what is left over?

Wouldn't that be a lot easier than this annual charade we play, hiring accountants, buying tax software, etc.

I mean, they are going to get what they want in the end. Let's just call a spade a spade, and let the gubmit start paying everyone. Might save a lot of time, headache, and even $$ in the end!

[james.hendrickson]

One idea I've thought of numerous times is this:

Why doesn't the gubmit just take ALL of the $$ it needs from our paychecks - income taxes, ss taxes, property taxes, sales taxes, auto taxes, license taxes, etc. - and give us what is left over?

Wouldn't that be a lot easier than this annual charade we play, hiring accountants, buying tax software, etc.

I mean, they are going to get what they want in the end. Let's just call a spade a spade, and let the gubmit start paying everyone. Might save a lot of time, headache, and even $$ in the end!

Texas, I am guessing you are speaking satirically, right?

Taxation is a near universal feature of all advanced human societies. Unless you want to live in a hunter gatherer society you are probably stuck with it.

[kork13]

8.46% taxes withdrawn in December.
9.15% taxes withdrawn in January.

Reduction in tax withholding: ~$50/mo. Not overly dramatic, but the real test will be seeing what the final tax amount is next year. This is only an indication of the withholding tables changing.

[mo0n]

Mine went up $164 (we get paid once a month)

[disneysteve]

the real test will be seeing what the final tax amount is next year. This is only an indication of the withholding tables changing.

Exactly. Our accountant has already told us that we will be screwed under the new tax code so whether my take home goes up or not, I expect to have to pay for it down the road.

[AJSimon]

Immediately after the New Year, my weekly take home actually went down a couple bucks, but I haven't look in a few weeks.

I did do my taxes, and with taking the now doubled standard deduction, my refund between federal and state is more than 3 times what it was last year (comparable income and deductions/credits).

[Benderz]

What were your deductions? Sometimes you max out your SS or 401k and you stop contributing mid year. Then start up again in January. Did you health insurance change?

[comicguy]

My take home went up 60/check

Wife's check went up 40/ check

We both get paid every 2 weeks

Guess it is time to up our 403b contributions again!!

[disneysteve]

My take home went up 60/check

Wife's check went up 40/ check

We both get paid every 2 weeks

Guess it is time to up our 403b contributions again!!

Be careful with that. Just because your take home pay went up doesn't necessarily mean your overall taxes went down. As I said, our accountant has already told us we will likely pay more under the new plan. So it's nice to see a little more in my check but I'll probably have to give it back down the line.

[Radiohead1]

Mine went up $20 a check. Wife's didn't go up.

The tax reform wouldn't have helped our tax burden at all, because that $20 a check would have been claimed at the end of the year with medical deductions (which basically go away with the increased standard deduction). The 3rd child will help.

[Thrif-t]

I believe I read somewhere employers have until Feb 9th to make the withholding changes, so anyone who has not seen a change may see one after the 9th.

[disneysteve]

I believe I read somewhere employers have until Feb 9th to make the withholding changes, so anyone who has not seen a change may see one after the 9th.

So how does that work? If the new tax rates went into effect 1/1 and your employer doesn't make the change until 2/9, you will have overpaid for a month or so. I guess it will just come back as a refund when you file next year.