You Won't Believe Obama's Response

[somarco]

I do feel a livable wage increase is a valid option.

Define livable wage.

$20k?

$50k?

$100k?

 

[unic.consulting]

Honestly, it depends on where you live. Here in MA, a cheap 1-bedroom runs about $1k/month. Add in utilities and food and you're probably looking at around $18-20k/year. In Tucson, the average is $625/month. So $12k should be enough. A state-specific minimum wage would be great, but if the feds have to get involved, maybe deal with a national average at $16-18k?

 

[Yagents]

I'm calling it now..................social security trust fund solvency will be extended out 5-10 years. Why? people delaying SS at age 62 as it's counted as income for subsidy calculation. I have some clients that would lose over half of their SS to lost subsidies if they take it at age 62-65.

Unic, This is a couch potato law, the marginal tax on making more money is anywhere from 5-10% when losing their subsidy. The less you work, the more subsidy you get. Employees will be begging NOT to get a raise, not to work overtime, not to cover a shift, not to take the second job. Run some numbers........moron. If I were lower income getting subsidies, I wouldn't work more or harder since I know the "game". Tax write off manipulation will also escalate for the self employed.

 

[unic.consulting]

I'm calling it now..................social security trust fund solvency will be extended out 5-10 years. Why? people delaying SS at age 62 as it's counted as income for subsidy calculation. I have some clients that would lose over half of their SS to lost subsidies if they take it at age 62-65.

Unic, This is a couch potato law, the marginal tax on making more money is anywhere from 5-10% when losing their subsidy. The less you work, the more subsidy you get. Employees will be begging NOT to get a raise, not to work overtime, not to cover a shift, not to take the second job. Run some numbers........moron. If I were lower income getting subsidies, I wouldn't work more or harder since I know the "game". Tax write off manipulation will also escalate for the self employed.

First of all, let's avoid the name calling. I don't mind people disagreeing with me, but you lose points for that. There are going to be people trying to "game" the system no matter what we do. They'll just find a different way of doing it. It's no different than Wall Street gaming the system from the other end. Having worked retail for most of my adult life, those people will be out of a job sooner than later and lose their entire subsidy as they fall to the Medicare pit.

 

[Yagents]

Remove the "system".........eliminate the games.
I guess medicaid is free to the tax payor in your eyes.
Wolf of Wall Street is my favorite movie now.......penny stock anyone?

I'm not here to score points

 

[unic.consulting]

Everything is a system. Anarchy is the only way to remove all of them. It's simply a matter of defining which systems are worth implementing. My personal beliefs are based around the concept of "Do unto others". I know that there are people who will try to take advantage of me for that, but I am confident enough in my abilities that I'll own that slight risk.

 

[Quotebroker]

Increasing the minimum wage cannot make someone's work worth more money. If a worker is worth 6.75 and you make the minimum wage 10.10, does the worker suddenly increase their ability commensurate with that increase in pay? We're asking businesses to take a loss on every hour they employ these workers. The quickest way to disincentivize someone to do something is to increase the cost. The more likely outcome is an increase in unemployment.

We'd be better served assisting these low skill workers in acquiring the attributes that will make them worth 10.10 or more.

 

[djs]

Increases in minimum wage are actually pretty self defeating and actually tend to hurt the people that make a bit above minimum wage the most.

Minimum wage increase = increased inflation.
Increased inflation = less purchasing power

All of this means an increase in minimum wage just wiped itself away from reality. Yes, pennies improve, but its not as effective as it sounds to raise minimum wage. Doing it in $0.25 increments is more useful long term.

Dan

 

[timsip]

I completely agree that the minimum wage is a touchy subject and $10.10 is pushing it too far, but I do feel a livable wage increase is a valid option.

Why do you feel a 'livable wage' should be legislated and not earned? You understand that if the lowest paid workers get bumped up, the bump will have to echo up the chain, right? You understand that raising the lowest wages just raises the poverty level, right? If what I am saying is not true, why not make the minimum wage $100 per hour? Then we all would have lots of money to spend!

Only 1/3 of the 3% decline since 2007 will come back with the economy, but that includes the 50% of baby boomers in that figure. A more accurate statistic would be that 2/3 of the decline that was not due to age or disability will return to the workforce

No, I think it is perfectly accurate as it was originally written.

(many with advanced degrees that will help the economy even more). My wife, for instance was laid off, went back and earned her MSW, and is much further along than she was 6 years ago.

Good for her, but how many is 'many with advanced degrees'? I don't believe I have seen how many have dropped out to earn an 'advanced degree' as you claim. My wife is an online adjunct and virtually all schools are cutting positions due to low enrollment.

As for Obamacare making people not want to work more, I feel that is a fallacy. At this point, I don't have the time to make my argument concisely, but I would be happy to discuss it with you at a later time.

The non-parisan CBO would disagree with you....and they specialize in these things. What do you specialize in?

 

[somarco]

Ygents must have read the CBO report.

President Barack Obama's healthcare law will reduce American workforce participation by the equivalent of 2 million full-time jobs in 2017,

In its latest U.S. fiscal outlook, the nonpartisan CBO said the health law would lead some workers, particularly those with lower incomes, to limit their hours to avoid losing federal subsidies that Obamacare provides to help pay for health insurance and other healthcare costs.

Obamacare to cut work hours by equivalent of 2 million jobs: CBO | Reuters