Employers to employees: Prepare for slimmer paychecks as Republican tax cuts run out

Employers Start Bracing for Higher Tax Withholding...

By Timothy R. Homan - Oct 27, 2010 12:00 AM ET

Employers in the U.S. are starting to warn their workers to prepare for slimmer paychecks if Congress fails to vote on an extension of Bush-era tax cuts.

“I’ve been doing payroll for probably close to 30 years now, and never have we seen something like this where it gets that down to the wire,” said Dennis Danilewicz, who manages payroll services for about 14,000 employees at New York University’s Langone Medical Center. “That’s what’s got a lot of people nervous. All we can do is start preparing communications with a couple of different scenarios.”