What is this "cliff" about?

I know very little on this subject. My mom who is a HARDCORE Obama mama told me some things. I just want to know what this is really about. I know that its a tax raise, my mom says for only those making 400,000$ or more. So, why are people so upset about it? I know nothing about this really, and would like it explained... thanks!

http://news.yahoo.com/congress-oks-cliff-deal-signaling-future-fights-080422547--finance.html

yah but social security taxes are going up across the board.

I was about to ask this question myself. It's all over world news and I have no idea what everyone is talking about. Watching for someone to explain lol...

Quoting Click Me Click Me!!!:" yah but social security taxes are going up across the board. "

the way i figured it out, is SO will get 40 bucks more taken out of each monthly salary.. like 10 dollars a check.

Quoting Ellena's mommy:" I know very little on this subject. My mom who is a HARDCORE Obama mama told me some things. I just want ... [snip!] ... like it explained... thanks! http://news.yahoo.com/congress-oks-cliff-deal-signaling-future-fights-080422547--finance.html"

First, 77% of americans will see a tax increase.
Second, for each dollar of tax increases, the "fiscal cliff bill" increases spending by $41 dollars.
It's a REALLY bad deal.
And, taxing the rich significantly more that the average income earner is not only unfair, it is counterproductive.

it rases taxes on people with income more then 400,00.... It also save milk prices from going up. Extends unemployment benifits for long term job seekers, and some of it will be revisited in 2 months, because thats all that it was extended to, and i saw they they will have to ask to barrow more money so it will raise the debit ceiling.

Quoting TheNuge:" First, 77% of americans will see a tax increase. Second, for each dollar of tax increases, the "fiscal ... [snip!] ... And, taxing the rich significantly more that the average income earner is not only unfair, it is counterproductive. "

My uncle is a high income earner and was fine with paying more taxes but i agree.

Quoting TheNuge:" First, 77% of americans will see a tax increase. Second, for each dollar of tax increases, the "fiscal ... [snip!] ... And, taxing the rich significantly more that the average income earner is not only unfairIt really is. , it is counterproductive. "

It's like they panicked and made some crazy deal to make it appear to be better for the moment. I hope they're still discussing ways to help long term

Quoting TheNuge:" First, 77% of americans will see a tax increase. Second, for each dollar of tax increases, the "fiscal ... [snip!] ... And, taxing the rich significantly more that the average income earner is not only unfair, it is counterproductive. "

damn....

Quoting Crystal Marie S.:" It's like they panicked and made some crazy deal to make it appear to be better for the moment. I hope they're still discussing ways to help long term"

Some of it was only extended for 2 months so yes.

Quoting TheNuge:" First, 77% of americans will see a tax increase. Second, for each dollar of tax increases, the "fiscal ... [snip!] ... And, taxing the rich significantly more that the average income earner is not only unfair, it is counterproductive. "

The BBC worldnews are saying that if the States didn't come up with such a deal it would face a recession.

Quoting momento mori:" The BBC worldnews are saying that if the States didn't come up with such a deal it would face a recession."

either way its gonna happen in the next few years..

tax increase is the only way we can hopefully fix this. i mean i dont see another way? the government should stop just handing out money all the smurfing time to other countries and people here and military has a "black budget" which is like a never ending budget... they need to fix some smurf here before they go building a bunch of billion dollar things

<blockquote><b>Quoting Click Me Click Me!!!:</b>" it rases taxes on people with income more then 400,00.... It also save milk prices from going up. Extends ... [snip!] ... all that it was extended to, and i saw they they will have to ask to barrow more money so it will raise the debit ceiling."</blockquote>




Did they finally make a deal? I've been avoiding the news on the subject. It's too scary for me!

Quoting ☮ Phuket:" either way its gonna happen in the next few years.. tax increase is the only way we can hopefully ... [snip!] ... which is like a never ending budget... they need to fix some smurf here before they go building a bunch of billion dollar things"

I hope a recession doesn't happen. America has so much influence over the world it will bring everyone down with them.
I agree with what you're saying.

The "Fiscal Cliff" itself was the cutoff for when the terms of the Budget Control Act of 2011 would go into effect. Basically, starting at midnight December 31 2012, last year’s temporary payroll tax cuts were going to end, which would have resulted in a tax hike on all US workers. Also, changes in the alternative minimum tax and a rollback of the Bush era tax cuts from 2001-2003 would have meant another huge tax increase on the average citizen. There also would have been sweeping spending cuts in areas like unemployment and social security. What the "Fiscal Cliff deal" does that was passed last night is avert many of the tax increases on lower and middle class Americans, and raise taxes on the wealthy. It also averted a huge increase in raising dairy prices, which would have resulted in milk prices doubling!! Now, a lot of these fixes are temporary, and instead of cutting spending like they should they're spending more, so I don't know how much good this "deal" is going to do in the long run. But for us average Americans, it at least saves us a huge hike in taxes for now.