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I am calling to people to vote for a lower minimum wage or against raising it.
he is my theory one lets lower both the minimum wage and income tax for lower end workers. He is how and why it works. if someone is getting payed 6$ an hour for 48 hours a week but is taxed 35% they end up making 187.20 a week. now lets lower minimum wage and tax 5$ an hour 48 with only a 20% income tax he makes 200$ So the employe makes more money the owner of the business has more money and can higher more people if he wants to and that creates more jobs. |
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Quote:
First if you're making minimum wage you're either doing it on the side while a student or something like that, or you're probably under the poverty threshold and functionally not paying taxes. Even if you don't have kids and aren't married you'd be paying taxes but still at a very low rate, It'd be something like 10% part time 13% full time. So you'd have to totally wipe that out to cover a significant reduction, which, again, would only be relevant to those actually paying income tax. Secondly America does not have a shortage, at least nationwide, of crappy minimum wage jobs. This is part of the reason why illegal immegrants have such an easy time finding employment here. |
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35% is a high tax bracket really. It is doubtful a minimum wage worker is anywhere near that. Unless you count social security... but that goes toward retirement and, provided the worker lives long enough to collect, will end up coming in handy later (especially since we're talking a low income worker).
If you lower the social security tax and then cut his income, he will appear to be making slightly more or the same but will likely be less able to put away for the future.
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