Minimum Wage Increase: They Never Talks About the SALES

[Toddsterpatriot]

Overall, a good portion of the economy would have more disposable income, so yeah, business in general would see an increase in demand.

And the increase still leaves them less profitable.

You like setting up scenarios. Now it's my turn.

1. Business ABC has 2 MW workers. MW goes up.

2. 100,000 MW workers now have more than double the disposable income they had before. And ABC is not going to profit from this ?

100,000 MW workers now have more than double the disposable income

How much is MW increasing in your scenario?

 

[Toddsterpatriot]

I'm outta here. I, et al also, have already made our points. Crystal clear.

Run away, Robin.

If you read an Econ book, feel free to come back and admit your errors.

 

[OnePercenter]

Company has $1,000,000 in sales. $500,000 COGS and $300,000 wage expenses.
Increase wage expenses and sales by $100,000.
How does your new profit compare to your old profit?

Maybe you can ask your accountant? LOL!

Typically 3% to 5% increase in net profit. Overall cost of goods will decrease due to volume discounts and a reduction in tax liabilities due to workers pay.

 

[Toddsterpatriot]

Company has $1,000,000 in sales. $500,000 COGS and $300,000 wage expenses.
Increase wage expenses and sales by $100,000.
How does your new profit compare to your old profit?

Maybe you can ask your accountant? LOL!

Typically 3% to 5% increase in net profit. Overall cost of goods will decrease due to volume discounts and a reduction in tax liabilities due to workers pay.

Typically 3% to 5% increase in net profit.

LOL!

a reduction in tax liabilities due to workers pay.

Well of course your taxes went down, your profit decreased by 25%.

 

[CrusaderFrank]

Company has $1,000,000 in sales. $500,000 COGS and $300,000 wage expenses.
Increase wage expenses and sales by $100,000.
How does your new profit compare to your old profit?

Maybe you can ask your accountant? LOL!

Typically 3% to 5% increase in net profit. Overall cost of goods will decrease due to volume discounts and a reduction in tax liabilities due to workers pay.

Wow.

Just fucking wow

 

[OnePercenter]

Wow.

Just fucking wow

An increase in sales WON'T bring supplier discounts?

An increase in 100% deductibles WON'T decrease your tax liabilities?

 

[OnePercenter]

Typically 3% to 5% increase in net profit.

LOL!

a reduction in tax liabilities due to workers pay.

Well of course your taxes went down, your profit decreased by 25%.

Keep thinking that and you'll die stupid.

 

[CrusaderFrank]

Wow.

Just fucking wow

An increase in sales WON'T bring supplier discounts?

An increase in 100% deductibles WON'T decrease your tax liabilities?

You left out saving 15% from switching to GEICO.

 

[Toddsterpatriot]

Typically 3% to 5% increase in net profit.

LOL!

a reduction in tax liabilities due to workers pay.

Well of course your taxes went down, your profit decreased by 25%.

Keep thinking that and you'll die stupid.

Based on your faulty math, you're the stupid one here.

Tell me again about your state trust lowering your Federal taxes to 4%.
That's always good for a laugh.

 

[Care4all]

Todd, disposable income can double or more so, with a small minimum wage hike....see, these few million people at the bottom, in general have very little in disposable income, because most all goes towards their fixed monthly expenses...ie rent, utilities, food, gasoline....So, as an example, they could have just a dollar an hour worked in disposable income....if their wage went up $2 an hour, then with their fixed expenses staying the same, they could theoretically increase their disposable income 3 fold.

 

[OnePercenter]

Wow.

Just fucking wow

An increase in sales WON'T bring supplier discounts?

An increase in 100% deductibles WON'T decrease your tax liabilities?

You left out saving 15% from switching to GEICO.

Have nothing so you bloviate. Figures.

 

[Toddsterpatriot]

Company has $1,000,000 in sales. $500,000 COGS and $300,000 wage expenses.
Increase wage expenses and sales by $100,000.
How does your new profit compare to your old profit?

Maybe you can ask your accountant? LOL!

Typically 3% to 5% increase in net profit. Overall cost of goods will decrease due to volume discounts and a reduction in tax liabilities due to workers pay.

Wow.

Just fucking wow

He just may be dumber than professor protectionist. Close run.

 

[OnePercenter]

Based on your faulty math, you're the stupid one here.

Tell me again about your state trust lowering your Federal taxes to 4%.
That's always good for a laugh.

Bloviating.

 

[Toddsterpatriot]

Todd, disposable income can double or more so, with a small minimum wage hike....see, these few million people at the bottom, in general have very little in disposable income, because most all goes towards their fixed monthly expenses...ie rent, utilities, food, gasoline....So, as an example, they could have just a dollar an hour worked in disposable income....if their wage went up $2 an hour, then with their fixed expenses staying the same, they could theoretically increase their disposable income 3 fold.

Fine. So if total disposable income increases by $1 billion, they can buy, at most $1 billion more in goods and services. And total profits still fall.

 

[Toddsterpatriot]

Based on your faulty math, you're the stupid one here.

Tell me again about your state trust lowering your Federal taxes to 4%.
That's always good for a laugh.

Bloviating.

I know, all your lies about taxes are bloviating.

 

[Dirk the Daring]

Overall, a good portion of the economy would have more disposable income, so yeah, business in general would see an increase in demand.

And the increase still leaves them less profitable.

You like setting up scenarios. Now it's my turn.

1. Business ABC has 2 MW workers. MW goes up.

2. 100,000 MW workers now have more than double the disposable income they had before. And ABC is not going to profit from this ?

Do all 100,000 MW workers shop at ABC? Do any?

 

[Flipper]

I'm not surprised you support increasing the minimum wage because you are a socialist moron, and you are certainly no conservative.

You've already been instructed that most Conservatives SUPPORT a MW raise, so don't try to slip that foolishness by us again. You got burned with it before. Now you're burned with it again. Maybe you're a masochist ?

Bwa ha ha ha ha.

Hey idiot?

Just because YOU told us most conservatives support it in no way makes it true.

Most Conservatives do NOT support it and YOU are not a Conservative.

 

[OnePercenter]

Based on your faulty math, you're the stupid one here.

Tell me again about your state trust lowering your Federal taxes to 4%.
That's always good for a laugh.

Bloviating.

I know, all your lies about taxes are bloviating.

The inflation and emptiness comes from you.

 

[JoeMoma]

Most of the time when the minimum wage is raised, it is so slight that it affects only a small percentage of the work force. That being said, labor costs are part of the cost of every product and service. A universal doubling of the minimum wage would have a huge effect on the labor costs of almost every product or service. If the minimum wage were to be raised from $7.25 per hour to $15.00 per hour over a short period of time, it will tend to drive the wages of the more skilled workers up also. For example, the shift supervisor who was happy with making $15 per hour to work with and supervise a group of people making $10.00 per hour will not be happy making only $15 per hour supervising those making the same amount, and rightly so since his work is worth more. The supervisor's wage would probably be pushed at least to two or three dollars above minimum. A hamburger joint that sells hamburgers will not only be affected by the increased cost of the labor of its workers, but it will also be affected by the increased labor costs of its suppliers. The cost to produce a product is a very important factor of the market price of a product. If the cost to produce a product changes, then the market price for that product will also change. Apple is not going to sell iPads for $500 they cost $600 to produce.

If low wage workers have more money in there pockets, then this will increase sales. However, if labor cost go up, the cost to produce products and services go up. If the sales price of the products and services are not increased, then the profit margin for each product sold will decrease, and some products may even have negative profit margins. Thus, an increase in labor costs will cause a reset in the market prices of product and services.

 

[Toddsterpatriot]

Based on your faulty math, you're the stupid one here.

Tell me again about your state trust lowering your Federal taxes to 4%.
That's always good for a laugh.

Bloviating.

I know, all your lies about taxes are bloviating.

The inflation and emptiness comes from you.

Tel me again how your tax rate is zero, because you don't actually touch any cash.
I love the "corporate credit card" loophole. LOL!