Closer look at the fiscal cliff deal - 21 News Now, More Local News for Youngstown, Ohio -

Closer look at the fiscal cliff deal

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WASHINGTON, DC - Most of Ohio's Congressional delegation voted with the majority to pass the agreement that avoided the so called fiscal cliff.

Seven Ohio Republicans voted against the agreement. Democrat Tim Ryan and Republican Bill Johnson, both from Ohio, voted for the measure.

All of Pennsylvania's Congressional delegation voted yes including Republican Mike Kelly and Democrat Jason Altmire.

Congress finally did go bipartisan to pull the country back from the brink of the fiscal cliff, but it will only delay new budget battles and set the stage for the next fiscal cliff.

Financial experts say when average middle class Americans look at what Congress did, they will see an immediate 2% reduction in their paycheck because the withholding tax holiday expired, but the deal did avert some new taxes and protected the middle class from the alternative minimum tax.

"My tax rates didn't go up. They could have gone up much more but they didn't go up. That would be one of the positives to take away. Also the alternative minimum tax fix that could impact about 32-million Americans actually went away," said Joe DePascale from Farmers Trust.

The plan delays for two months severe military and federal spending cuts. So there are other battles on the near horizon; the debt ceiling, more tax and entitlement reform.

Financial consultant Roger Faubel feels that for anything else to work, spending has to be addressed. "If you're going to spend a trillion and a half more than you take in what are we doing? We're going in the wrong direction," Faubel said.

Congressman Tim Ryan says there needs to be a long term plan for debt reduction and he's optimistic that this new deal will lead to more compromise. "I'm hoping that this deal gives us some momentum to go into that negotiation over the debt ceiling and entitlement reform and do it in a responsible way," Ryan said.

Republican Congressman Bill Johnson believes that next fiscal battle may also come down to the wire as Republicans push for spending limits. "To hold the administration accountable and to stop the out of control spending that mortgages the future of our children and grandchildren," Johnson said.

So this pause in Washington will soon be followed by more wrangling.

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