The House has rejected a bipartisan plan to extend the payroll tax cut, putting another important decision regarding Americans' money down to the wire.

Congress is edging closer to yet another showdown.  If no agreement is made by the end of the year, payroll taxes will increase for 160 million Americans.

The measure approved by the Senate Friday would cut the payroll tax, extend jobless benefits, and avoid cuts in Medicare payments.

Senators also passed a more than $1 trillion budget bill, financing the government until next September.

Click play to watch an updated report with CBN News Capitol Hill Correspondent John Jessup, followed by analysis from Seton Motley of LessGovernment.com.

President Obama wasted no time voicing his approval over the Senate's move.
    
But House leaders say they won't vote for the bill because the tax cuts and unemployment benefits expire in just two months, setting up another bruising battle over deficits and government spending in the New Year.

"I believe that two months is just kicking the can down the road," House Speaker John Boehner, R-Ohio, told NBC's "Meet the Press. "The American people are tired of that, I think. Frankly, I'm tired of it."

"On the House side, we've seen this kind of action before coming out of the Senate," he added. "It's time to just stop, do our work, resolve the differences, and extend this for one year."

The House is expected to vote on the tax cut bill Monday.