Spreading Your Wealth Around
Under one scenario, the maximum amount of the new tax on a worker could be about $58 a year.
Doesn’t look like much, does it? We all chip in and help those who are down on their luck, just now. How could one object?
Well, $58 per year is a small amount. But so is an increase in the municipal water bill. So is another $100 or so for a local pay-as-you-throw garbage program. So is the incremental increase in taxes to pay teachers’ step increases. So is the annual increase in RIte Care. So is the per capita cost of the stimulus program. This list could go on and on.
Before you know it, that little bit of money to help out struggling families is creating disincentive to spend cash and thereby finance businesses. It’s raising the cost of hiring new employees. In short, it’s generating more struggling families.