While much has been said in recent weeks about the new federal tax overhaul bill, the one thing that ultimately matters to taxpayers is the level of additional take-home pay they will receive.
According to the IRS, about 90 percent of all American workers should see bigger paychecks beginning this week. Those who have not yet seen an increase in take-home pay shouldn’t panic, as employers have until Feb. 15 to implement the new federal withholding guidelines.
The amount of extra cash workers will see in their paychecks will depend upon a number of factors, including workers’ income, how often they are paid and the number of withholdings allowances they claim on their IRS Form W-4 with their employer, according to an Associated Press analysis.
The tax overhaul legislation, overwhelmingly backed by Republican lawmakers, will provide a boost to both working families and the economy. According to U.S. Sen. Shelley Moore Capito, R-W.Va., U.S. Rep. Evan Jenkins, R-W.Va., U.S. Rep. David McKinley, R-W.Va., and U.S. Rep. Alex Mooney, R-W.Va., state employees are expected to collectively receive an additional $50 million in their paychecks per year because of the Tax Cuts and Jobs Act.
Excellent.
“I supported the Tax Cuts and Jobs Act because I knew what a positive difference it would make in the lives of West Virginians and how it would help workers, families, and small businesses in our state,” Capito said.
“Less taken out in taxes means more money in employees’ pockets,” Jenkins added. “I believe West Virginians should keep more of their money and send less of it to Washington.”
We agree. With more money in their wallets and pocketbooks, hard-working residents of southern West Virginia and Southwest Virginia will be more likely to spend. This, in return, will provide a boost to the local economy.
Democrats, however, are working overtime in an attempt to demonize the new tax law. Go figure.
We find it hard to argue against a bigger paycheck. And we believe most hard-working Americans feel the same.