An increase in Social Security taxes is leaving Americans with less take-home pay — and a more negative outlook for the U.S. economy.
The Conference Board said Tuesday that its index of consumer confidence plunged 8.1 points in January from December to 58.6. That’s the lowest reading in 14 months and the third straight decline.
Congress and the White House reached a deal in January to keep income taxes from rising on most Americans. But the agreement did not extend a temporary cut in the Social Security taxes.
The private research group said the tax hike was the key reason consumers felt less confident in January.
News Tribune news services
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