Higher Payroll Taxes: Less Spending, Longer Renting

This is putting a drag on general economic growth but will keep more people renting longer.

Nearly half of Americans are cutting back on their spending in response to higher payroll taxes, according to a survey released yesterday by the National Retail Federation. Common saving strategies include dining out less, using coupons more and watching for sales.

“We cannot grow the nation’s economy until consumers consume,” Matthew Shay, NRF president, said in a statement, but smaller paychecks, higher gas prices and political uncertainty are curtailing spending and hurting U.S. businesses.

via Higher Payroll Taxes Crimp Spending | Millionaire Corner.