Showing posts with label Business. Show all posts
Showing posts with label Business. Show all posts

15 January 2013

Pain and Misery, a tax on one is a tax on all


A Tax on One is Tax on All

It’s time for an elemental lesson in economics and human behavior.  So, if you find this a little redundant just relax; I’ll get to the point when the less informed get caught up.

Taxes are misery and punishment to enthusiastic achievers.

They modify their behavior to avoid costs and misery.

Nearly all successful, productive, informed, caring people become reasonably well off, if not rich, eventually regardless of all obstacles, and are constantly learning and trying to improve.

They usually assume they are owed nothing they have not earned.

They work hard, live frugally, have permanent savings, invest carefully and conservatively, and pay close attention to costs, risks and rewards.

They learn a lot by observation.

Ignorant people are poor, foolish, and miserable, plagued by fate, often ill, and usually die young.

They rarely bother to learn anything new and useful throughout their lives.  And self improvement rarely occurs to them.

They nearly always assume they are owed something from everyone and everything, irregardless of what they may have tried to earned.  

They learn little if anything by observation.  They learn little from pain and misery.

Here’s as essential part of the economic lesson; productive, efficient, contributors and achievers are creative.  Their businesses and enterprises sell goods and services to the general public (mostly middle and lower income people, or foolish governments).  They invest their profits in stable incomes (interest and dividend producers) for themselves and their families for the future. 

If you increase their costs by increasing taxes, regulations, or other expenses; they will add those costs to the products and services they sell to us.

So, when you think in some juvenile fantasy you are punishing the rich by increasing their costs; you are actually punishing your family, your friends and yourself.

You are not and can not penalize the wealthy in any way they will not pass onto you, nor will you stop or delay noticeably any productive, creative, achievers from earning their just share.

You will significantly increase your own misery and expense.

A non-progressive, deduction-less, single, low, taxation rate for all would be Tax Justice.

Never wish for a tax on anyone else, you would not wish pay yourself.

A Tax on One is a Tax on All.  

08 February 2012

Government Jobs,

Are Not “Real” Jobs

Some government jobs are work and those who do them get paid, but they don’t make money.  There’s no profit made from the activities of government employees; not legally anyway.

The money used to pay them, comes all most entirely from taxes paid on the profits of businesses or the pay checks of their employees.  Government employees are supposed to pay taxes too, of course, but the money for their pay comes from taxes on business profits and the paychecks of the people with “Real” jobs. 

Non-profit and philanthropic employees pay income taxes, but from money donated by businesses and individuals either before or after taxes; so, again it’s money made by others.  If they were paying their employees from surplus revenue (profit); they would not be qualified as non-profit would they?

The only sort of “profit-like” revenue generated by governments is interest on deposits of surplus revenue, which they haven’t had since the 1990’s and rarely ever for many decades before.  Occasionally, but not for the past hundred years, the government sells enough surplus land to make a profit, but usually they’ve spent so much money “managing” it, that it rarely sells at a profit. 

The government also gets fees, royalties, and natural resource lease fees, rarely does it ever produce a profit, the government process and procedures all most always cost more than the revenue was worth.  Recycling and the sale of surplus equipment produce some revenue, but it always seems to cost more than it recovers.

So, although some government jobs recover part of their cost, none make a profit; and therefore are not “Real” jobs.

“Real” jobs are created by businesses to service current or expected demand for their products and services for a profit.  If the business and its employees do a good job of meeting the demand, the business makes a profit and pays taxes on it and for its employees; and the employees have a job and pay income taxes and payroll taxes on their pay checks, that the employer was willing to pay them for the chance to make a profit for the owners.

Without demand, there is no profit, without profit there is no real job, without real jobs there is no tax revenue to pay government employees for the time they spend at their pretend jobs.

So, get a real job helping business owners and managers make a profit, and you and your coworkers have a job and can pay your taxes; so, millions of people with pretend jobs can do the good things that help other people make money; so, we can help the ignorant and poor and government employees reelect Democrats; so, they can all pretend they have meaningful lives.

Get a Real Job.

Make some money for those who bother to save and invest in this country and its people.

Pay your taxes, so others have a job pretending to do something they think you might need or want.

Get a Real Job. 

Think ahead, save and invest in businesses and people; not governments.  

08 June 2011

Just Say No

To Price Control

Mostly Free Markets produce the lowest economic price fair to all.

Producers, transporters, sellers, and customers all pay and receive fair compensation when slightly managed market forces establish the price.

When non-purchasers seek to establish the price, they do not have a clue about the value to those who need or want a product or service. Everything they think or believe is just hearsay. They usually don’t even know if the product is in shortage or surplus, or what the production or delivery costs are; so they have no idea what the true market price is.

They are motivated to keep the price artificially low to curry favor with the voting public. With no profit opportunity, suppliers, distributors and sellers have no reason to supply more products; so, scarcities drive underground resale markets that will demand and get much higher than open market prices.

Government bureaucrats, Price Boards, Commissions, all use false indications and are completely ignorant of the fair price normally established through billions of individual transactions that reflect the contrast between supply, demand and costs, and customers’ wishes and perceived values.

All other methods of price fixing are false, and are illegal unless the government does it.

Some how the government is exempt from “price fixing” laws, imagine that. It is too bad the volume and the value of government services aren’t set by market forces.

Over-charging businesses are devastated by every failed sale because of price. A reputation of price gouging puts enterprises out of business very quickly.

Shortages of needed products forces users to offer more money. A slightly higher price initiates increased production and distribution, and if not satisfied, many more competitors, with competitive pressure and surpluses eventually driving prices lower.

If you want lower prices, many things can be done in the market place to drive prices down. Government price fixing isn’t one of them.

Here are some examples:

1. Buy cheaper stuff.

2. Buy less popular stuff, or wait awhile until it’s less popular.

3. Reduce taxes. All products, including foods and most services, have as much as 50% taxes and costs of regulation hidden in the price.

4. Stop taxing businesses and stop voting for those who want to, it’s stupid. Businesses don’t pay taxes, customers do.

5. Shop around, encourage competitors.

6. Discourage Unions. They’ve never made anything better, faster or cheaper.

7. Encourage people to start their own businesses. Make it easy.

8. Encourage businesses to come to your community with tax breaks and incentives. They create jobs for people.  People that do pay taxes.

9. Encourage more supply. Make increased supply easier. You want cheaper medical care, increase competition; not increase taxes and regulation. Encourage hospital, clinic and staff expansions.

10. Get rid of unnecessary permits and licenses.

11. Stop corruption and crime, it costs us all a lot of money.

12. Stop mandating employee benefits, ridiculous work rules, and childish so called “Safety” regulations. These things when needed will be offered by smart competitors without government interference, if customers are willing to pay for them. If customers won’t help pay for them, then they are not needed.

13. Stop minimum wages that rob young people and those with limited skills by keeping them out of starting jobs

Get big government out of our businesses, and out of the personal choices of legal, law abiding, hard working, taxpaying citizens; if you not working, not obeying our laws, not here legally, and living off corruption and government entitlements for decades, you are not entitled to any say just because you are here and sucking air.

Put some in, before you take any out, or get out; move to some failing socialist or communist country.

You are making our lives worse.

08 May 2011

You Do Get Paid

What You Are Worth

All enterprises pay their employees what they are worth to that enterprise. It is a natural law of economics.

People are paid what they prove they are worth. It’s a marketplace for effort, contribution, skill, talent, experience, judgment, wisdom, congeniality, and appearance.

Employees can work wherever offered more pay or desirable working conditions.

The free will of workers and open competition for human resources make it imperative they are offered pay, benefits, or conditions that will obtain their constructive contributions.

It’s a negotiated transaction. If you won’t contribute your skill and talent for the money offered, then you don’t agree to take that job.

Enterprises, businesses, and organizations evaluate each task for skills, talents, and energy required to meet their needs. Then, of course, they try to get an employee that will make the required contribution for what it’s worth to the objective.

Sometimes the enterprises objectives do not produce enough excess revenue (profit) to sustain it, to grow it, to pay more to employees aggressively sought by other organization in open competition; so they lose their under paid employees to others willing to pay more.

Those who don’t feel or actually are not being paid what they are worth should ask to renegotiate for more pay, and are free to seek better compensation elsewhere.

Workers are sometimes temporarily paid more or less than they are worth. It’s a condition that doesn’t last very long in small and medium sized enterprises. In large organization it can last far too long. It is a zero sum condition. Over pay to some requires equal underpay to others or enterprise failure soon follows.

Employees usually don’t know how to ask for reconsideration. Frequently don’t list and explain the value of their contributions. When seeking new employment, don’t know how to advertise and market their capabilities and contributions well. Or, in many cases, have done nothing to improve their skills, contribute their talents, or exhibit their value to the enterprises objectives.

It’s not about your value as a human being. It’s about your value as an asset to the organization. Are you contributing energy and achievement beyond your cost; or are you draining, distracting, diverting, and wasting, absorbing or sabotaging accomplishment; costing it far more than your worth.

In the long run people are always paid what they are worth.

If you want to get paid more, make yourself worth more:

Educate and train yourself;

Learn how to find desirable jobs;

Learn to market yourself well;

Look for ways to become a valuable asset to your organization;

Eagerly make valuable contributions beyond your cost;

Don’t ask for better pay until you are clearly worth more to them than they are paying you.

If you don’t put more in, don’t expect to take any more out.

You get paid what you've been worth recently; start making your contributions more valuable.

Negotiate your own deal. Don’t let the groups; Associations or Union contracts restrict your contribution and limit what you get paid. You want to be worth more as an individual; separate yourself from the uselessness of the group.

You get paid what you are worth; become the most valuable.