Forced FICA Deferral

Military Discussion.

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Ericdelee
Posts: 211
Joined: Thu May 30, 2013 7:09 pm

Forced FICA Deferral

Post by Ericdelee »

How do you feel about the forced FICA Deferral that just rolled out? Most of us plan well; so it won’t be a large issue to us when we repay it back next year. However, a lot of the Soldiers don’t know squat about financial planning and are likely going to be in a hardship when this hits Jan-Apr. yep; they “should” just save the increase for the remainder of the year, but you know they won’t.

I just hate that I can’t opt out of it.

tspwizard1
Posts: 272
Joined: Sat Jan 23, 2016 5:33 pm

Re: Forced FICA Deferral

Post by tspwizard1 »

It is a terrible plan by a pea brained President.

crondanet5
Posts: 4324
Joined: Tue Aug 19, 2008 8:51 pm

Re: Forced FICA Deferral

Post by crondanet5 »

Perhaps a parting gift?

jdeacon
Posts: 134
Joined: Fri Mar 05, 2010 4:38 pm

Re: Forced FICA Deferral

Post by jdeacon »

Actually, I do not think it is so "pea brained". Congress has failed to act and there are many people out there struggling to make ends meet. This should help those with short term cash flow problems due to Covid. I realize we must pay it back next year so it is only a band aid. Regardless, if Congress could resolve their differences, this band aid would not be necessary.

PhilJohn
Posts: 336
Joined: Tue Apr 25, 2017 10:38 am

Re: Forced FICA Deferral

Post by PhilJohn »

i like it. I can pay down higher interest debt and max out my contributions. Ill end up saving.

User avatar
stilljammi
Posts: 167
Joined: Sun Dec 01, 2019 3:59 pm

Re: Forced FICA Deferral

Post by stilljammi »

I hear payday loans are also very helpful in the short term.

Regularguy
Posts: 187
Joined: Tue Sep 24, 2013 11:39 am

Re: Forced FICA Deferral

Post by Regularguy »

I agree that an opt out option could have its benefits.
But repaying stimulus at income tax time is not a new concept.

crondanet5
Posts: 4324
Joined: Tue Aug 19, 2008 8:51 pm

Re: Forced FICA Deferral

Post by crondanet5 »

You people really believe this money will make that much difference? For many people it will be extremely difficult to pay this pea brain loan back beginning the month after Christmas. Let's call a spade a spade: it is another attempt by the ultra right Conservatives to break Social Security. JDeacon, the non government employers have been smart enough to not stop paying the FICA tax. Their employees will owe nothing more in January. This is another example of how POTUS feels about the troops. Not a good plan, never should have happened.

JJTorrico
Posts: 7
Joined: Sat Mar 14, 2020 7:29 am

Re: Forced FICA Deferral

Post by JJTorrico »

I am taking advice someone gave as response to my post of a few days ago. I will increase my TSP contribution the amount of this windfall and then decrease my contribution next year until they stop with the double FICA with-holdings.

jdeacon
Posts: 134
Joined: Fri Mar 05, 2010 4:38 pm

Re: Forced FICA Deferral

Post by jdeacon »

I think it will make a difference for those starting out at the entry level of civil service. However I also think the 4k per pay period is too high a threshold. I still think the real issue is inaction by Congress to help those who are truly in need. I long for the days when politicians were able to find some common ground for compromise in support of the greater good versus partisan politics.

Midway
Posts: 206
Joined: Tue Feb 28, 2012 6:09 pm

Re: Forced FICA Deferral

Post by Midway »

jdeacon wrote: I long for the days when politicians were able to find some common ground for compromise in support of the greater good versus partisan politics.
When was that?

ProduceMan
Posts: 512
Joined: Thu Jan 18, 2018 12:01 pm

Re: Forced FICA Deferral

Post by ProduceMan »

crondanet5 wrote:Perhaps a parting gift?
That’s messed up!

I don’t understand how this is Government assistance since we have to pay it back. I wish we had a choice to opt out.

What’s next, payback unemployment!
Moneys’ Money Making Money (4M)

User avatar
bloobs
Posts: 1096
Joined: Tue May 21, 2019 8:00 pm

Re: Forced FICA Deferral

Post by bloobs »

ProduceMan wrote:
crondanet5 wrote:Perhaps a parting gift?
That’s messed up!

I don’t understand how this is Government assistance since we have to pay it back. I wish we had a choice to opt out.

What’s next, payback unemployment!
The concept (which is clearly flawed) is that the Administration (since this is an Executive Order--not Congressional statute) wants to offer you payday loan.

It is bound to fail because quite a few people who resort to these payday loans are unable to pay it back fully.

Also, to address the massive elephant in the room, the Administration (since this is an Executive Order--not Congressional statute) wants people to get artificially bigger paychecks now through election day, then conveniently stops just after that date.

Stating facts FWIW.

ProduceMan
Posts: 512
Joined: Thu Jan 18, 2018 12:01 pm

Re: Forced FICA Deferral

Post by ProduceMan »

bloobs wrote:
ProduceMan wrote:
crondanet5 wrote:Perhaps a parting gift?
That’s messed up!

I don’t understand how this is Government assistance since we have to pay it back. I wish we had a choice to opt out.

What’s next, payback unemployment!
The concept (which is clearly flawed) is that the Administration (since this is an Executive Order--not Congressional statute) wants to offer you payday loan.

It is bound to fail because quite a few people who resort to these payday loans are unable to pay it back fully.

Also, to address the massive elephant in the room, the Administration (since this is an Executive Order--not Congressional statute) wants people to get artificially bigger paychecks now through election day, then conveniently stops just after that date.

Stating facts FWIW.
Exactly, just messed up!
Moneys’ Money Making Money (4M)

Ericdelee
Posts: 211
Joined: Thu May 30, 2013 7:09 pm

Re: Forced FICA Deferral

Post by Ericdelee »

Midway wrote:
jdeacon wrote: I long for the days when politicians were able to find some common ground for compromise in support of the greater good versus partisan politics.
When was that?
Not when Burr shot Hamilton...

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