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Update: This article was updated on August 10, 2020 to include comments by President Trump concerning his plan to reimburse Social Security from the general fund.
This weekend President Trump took executive actions on a number of measures designed to offer Covid-19 relief. One of those measures, in the form of a memorandum, instructed the Treasury Department to defer the withholding of certain payroll taxes from September 1st through the end of the year.
* This is a deferment, not a forgiveness, of employee payroll taxes. You may eventually need to pay back the amount you see here. Calculations are based on information from President Donald Trump’s Aug. 8, 2020 executive order.
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While it’s referred to as a “payroll tax holiday,” it’s best not to think of it as Christmas in August. There are no presents under this tree. A more apt analogy would be the unadorned aluminum pole of Festivus. Here’s why.