As the fiscal cliff deadline fast approaches there are still significant differences between law makers on Capitol Hill. It had been hoped that negotiators would have a deal ready to be voted on over the weekend, but this failed to materialize.

Democrats were unhappy about Republican plans to change the way benefits are calculated, leading to a gradual reduction in benefit payments; whereas Republicans were angered that the President’s plans appeared to use increased tax hikes in new spending plans.

“The biggest obstacle we face is that President Obama and Majority Leader Reid continue to insist on new taxes that will be used to fund more new spending, not for meaningful deficit reduction,” said Alabama Sen. Jeff Sessions, the ranking Republican on the Senate Budget Committee.

If a deal is not ready to be voted on, the President has told Senate Democratic Leader Harry Reid to present a bare bones plan to be voted on. This will see tax increases on families making more than $250,000 and extend unemployment insurance.

Wall Street traders are bracing themselves for volatility in the markets as the uncertainty increases.

Read more: FOXNEWS