KNOXVILLE, Tenn. (WVLT)--As we awoke Wednesday morning fresh off the election we heard one term above all others "fiscal cliff". It's a phrase used to define the impending tax hikes and spending. Here's a look at the numbers and how they will affect your money.
Hours after President Obama won the election, millions of Americans turned their concern to the so called fiscal cliff. That economic edge experts say we will fall off in January Why? Expiring tax breaks and a new recession. Financial Advisor Chris Kittrell says, "The reality is we're going to be paying more taxes. It does means more money which is less money from what we like to spend or save."
With the payroll tax cut going away, the average American will lose about a thousand dollars a year. Plus, the highest tax bracket will pay 40% in taxes instead of 15%. Kittrell says, "Business owners have been very aware and cautious with hiring and even business plans. There's a hesitancy there."
We asked employers to tell us what they thought at a job fair in Maryville. They didn't want to speculate. Sergeant First Class Malcolm Campbell says, "We know people are struggling right now. I have put many people in the national guard who cant find a job."
And one guy looking for work told us he's living it. Douglas Harper says, "I'm looking for a job. I am already on loan debt just to pay the mortgage"
Congress has just two months to decide what happens. The first meeting is week away. If congress takes no action, the tax cuts expire. If tax cuts continue, we'll hit the debt ceiling again.
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