More money could soon be coming out of your paycheck
More money could soon be coming out of your paycheck. Thanks to a bill passed last year, two new taxes will help pay for $120 million in child care subsidies. One is a 0.44% payroll tax. Employers could pick up the entire tab or take some from your pay. It’s not a big burden on your take-home pay. A $1,500 paycheck would see a deduction of $1.65. The other tax is on self-employed Vermonters– a 0.11% payroll tax. Meanwhile, new fees on EVs are coming. Starting in 2025, EV drivers will need to pay $89 for a new EV infrastructure fee. Plug-in hybrid drivers will pay half that. The fee is temporary until Vermont lawmakers approve a mileage-based fee to help pay for road repairs. Those fees are in addition to typical state registration costs which have also gone up. It now costs $15 more to register your car and $11 more for your license. The money is helping to fill lost revenue as cars have become more fuel efficient.