Ray From Cleveland
Diamond Member
- Aug 16, 2015
- 97,215
- 37,439
Why didn't they do it before?Along with frozen salaries......declining healthcare coverage has also dominated the last decadeExactlyI don't know that there are many companies who ever said they can't afford anything. Salary increases are usually based on many other things than if a company can afford them or not.
This is why pretending that this huge tax cut will actually help employees is laughable
There are more ways to help employees besides pay hikes. Remember that costs of employees go up all the time, particularly those who are covered by a company healthcare plan. Money can be going so a larger employee contribution is not needed, or they may be expanding their employee base. If you read the articles, you see that many of those companies are promising larger charitable contributions, particularly to those charities that are supported by their employees.
Then there is the question whether all companies will see a decrease in corporate taxes. I don't know, just throwing it out there. If the effective tax rate for your company is currently 18%, does it stay that way or is your new effective tax rate 9%? I don't know.
What I do know is that if this tax plan leads to an economic boom, wages will increase naturally.
Now there is no reason to freeze either
I'll believe it when I see it
Take AT&T for instance. Besides bonuses and raises, they plan on investing one billion of those dollars in their own company.
Investing in your company is tax deductable
Most people don't understand what tax deductible even means. If you spend a billion dollars, that doesn't mean the government takes that billion dollars off of what you owe them. You wanted to know what they are going to do with the money and I'm explaining that to you. Only part of it is going towards employee pay/ bonus.