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lnomm34 
USA Fan
Mississippi
Member since Oct 2009
7429 posts
| Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:04 pm)
I'm no tax expert. But, I got a raise of about $430 per month. My net pay has increased by $166 per month. Does that sound about right?
I didn't change any deductions or my filing status.
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OnTheBrink 
Alabama Fan
TN
Member since Mar 2012
1802 posts
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:07 pm to lnomm34)
Do you get paid twice a month? Maybe $166 per paycheck? If it was $166/paycheck, that would sound about right. As you have it written, no, it does not.
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lnomm34
USA Fan
Mississippi
Member since Oct 2009
7429 posts
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:08 pm to OnTheBrink)
No. I get paid once per month.
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PurpleAndGold86 
LSU Fan
Houston, TX
Member since Jun 2012
5309 posts
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:10 pm to lnomm34)
quote:
raise of about $430 per month
quote:
net pay has increased by $166 per month
quote:
Does that sound about right?
No, not at all.
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OnTheBrink
Alabama Fan
TN
Member since Mar 2012
1802 posts
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:11 pm to lnomm34)
Then no, IMO it doesnt sound right. Maybe someone will be along shortly to better help you. I am no tax expert either.
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lnomm34
USA Fan
Mississippi
Member since Oct 2009
7429 posts
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:11 pm to PurpleAndGold86)
I'm direct deposit. I haven't seen my stub yet. I'm on the road, can't wait to see the stub.
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wiltznucs 
South Florida Fan
Apollo Beach, FL
Member since Sep 2005
4353 posts
 Online
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:17 pm to lnomm34)
A $5K increase in your annual pay could certainly bump you to another tax bracket. As rule of thumb some say to expect to lose 40% to Federal, State, SS, etc. This usually overestimates what you'd lose but keeping 60% would put you at $258 per month.
Have you had changes to you health or dental insurance premiums? Any other allocation changes? FSA's? 401k's?
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C
LSU Fan
The Woodlands, TX
Member since Dec 2007
17391 posts
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:22 pm to lnomm34)
quote:
My net pay has increased by $166 per month
Remember SS kicked back up this year so you are paying up to $260 more in that. So that gets you to $426.
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lnomm34
USA Fan
Mississippi
Member since Oct 2009
7429 posts
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:25 pm to wiltznucs)
No. I didn't change anything.
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wiltznucs
South Florida Fan
Apollo Beach, FL
Member since Sep 2005
4353 posts
Online
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:31 pm to C)
quote:
Remember SS kicked back up this year so you are paying up to $260 more in that. So that gets you to $426.
There was a 2% increase in SS taxes for 2013 but for the average individual making $50K this should translate into less than $100 per month in additional taxation. If you are markedly higher than $50K this could be your explanation.
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PurpleAndGold86
LSU Fan
Houston, TX
Member since Jun 2012
5309 posts
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:32 pm to lnomm34)
quote:
No. I didn't change anything.
Regardless of whether or not you changed anything, if you are allocating to a 401k, that eprcentage is also going to come out of the paycheck in addition to the taxes. However, this still does not sound right that you are netting 1/3 of your gross.
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elposter
Alabama Fan
South Carolina
Member since Dec 2010
4750 posts
| re: Raise and New Taxes--Net Pay Question (Posted on 1/31/13 at 12:32 pm to lnomm34)
2% increase in payroll tax and possible increases in insurance premiums or other "benefits" could easily account for what otherwise looks like too little net pay increase for your raise.
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