As we wait to see if the Washington deadlock on extending the payroll tax cut gets resolved, it's interesting to note that a lot of businesses are getting screwed by the delay. Here at UCLA, for example, we were informed today that:
As of today, Dec. 20, no legislation has passed extending the lower rate.
The University of California has processed the Jan. 1 payroll using the 6.2 percent employee contribution rate, to be reflected in your Jan. 3 paycheck. If any change in legislation occurs before the end of the year, UC will implement the newly revised rate as soon as possible, including retroactive corrections to paychecks calculated at the higher rate.
One wonders just how much the computer programming and so on necessitated by the uncertainty is going to end up costing businesses.
