The first paycheck of 2013 contained a nasty surprise for many workers: a tax hike that shrank their take-home earnings by 2 percent or more.
While the "fiscal cliff" compromise spared most Americans an increase in their income taxes, Congress allowed a temporary cut in payroll taxes for Social Security and Medicare to expire. The tax increase comes at a time when worker paychecks are already under pressure from rising health care premiums and ongoing furloughs in the public sector. For many, it is big enough to offset any recent pay raise.
Matt Anhaiser, a Lexus of Roseville employee, said he and his wife, a nurse, are losing a combined $283 a month.
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