Tuesday, March 03, 2009

Look at all the money I found

I got notice from my employer that the recently enacted American Recovery and Reinvestment Act of 2009 revises the Wage Withholding and Advanced Earned Income Credit (AEIC) payment tables. Spiffy. I think the end result is that there will be less federal tax withholding in my coming paychecks. This is not a bad thing, but it causes an inintended consequence - I'm not really sure I'll actually be paying less tax, so the drop in the withholding can mean I get to write a bigger check to the US Treasury come April 15, 2010. I understand I gotta pay them taxes, but writing that check kinda sucks.

I really can't say I'll be buying a new car, or HDTV, or making an extra mortgage payment with my now not withheld federal tax amount. The total amout per pay period is probably not going to stimulate me much. But if I got a check back for the accumulated amount on April 15th 2010, I actually might. So here's the plan: a new W-4 to up the withholding. Yes, I'm giving the government an interest free laon. Right. If I took that weekly money and invested it in the stock market now, I'd lose money. Leave it with the feds, and let them do some stimulating with it. When I get it 4/15/2010, I'll use it to make a down payment on a Chevy Volt. Or buy an HDTA. Or pay off my mortgage. Or give it to the DNC to tell them how much I love my new president.

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