You Might Get a Pay Raise Even Though You Didn’t Get a Raise

Who doesn't want to make more money? You might notice a small increase in your 2024 paychecks even though your boss didn't give you an actual raise.

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Who Doesn't Want a Pay Raise?

I don't know anyone who wouldn't say yes to a pay increase. This is something that seems to be harder and harder for workers to get these days.

Unless you were a part of the UAW strike increase that was recently settled or worked for one of the few companies that still offer pay increases, you probably didn't start the year with a pay increase.

COVID kicked off a lot of price gouging for all the things we need from gas, groceries, and building materials, and even though the price of eggs and gas has come down slightly, not much of anything else has. Not getting more money when everything costs more is hurting most Michiganders.

You May See More Money on Your 2024 Paychecks

Let's face it, not too often does the federal government do anything for the average working American when it comes to lowering taxes. The politicians all talk about lower taxes while their campaigns are getting funded by big corporations so we all know to who they pledge their allegiances too.

With inflation at an all-time high in 2023 while trying to fight off a lingering recession the federal government did a few things that may benefit the working class. I know, sounds unbelievable, doesn't it?

Everyone freaked when the Fed raised the interest rates but it slowed things down and kept us from going into a full recession. There was something else that was put into place that may have a real benefit to the working class on each paycheck and for their 2024 income taxes.

According to WOOD, the Internal Revenue Service made some inflation adjustments to the tax code that included changes to the standard deduction and individual income brackets. This reduces the standard deduction but also lowers the amount of income that is taxable. This means a little less will be taken out on the federal side of taxes on your paycheck giving you a small piece of your money back each check. This is the government's way of offsetting inflation.  So don't spend it all at once but enjoy your secret pay raise.