- Jun 6, 2007
- 852
- 483
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When listening to and observing the behavior of government leaders in America and the European Union I am moved to think have half you people lost your damned mind it is like I am watching a Hollywood movie where half the population in the community is acting delusional. You have all these government leaders talking about rebuilding their economy we need to have this program and that program to restore the economy. Their talking like a bunch of fools we are in the midst of the pandemic we have consumer based economies people are not going to be consuming normally because they don't want to leave their homes and risk getting the virus and they want to conserve cash because the future is somewhat uncertain so they may need that cash! All this money government officials want to spend on rebuilding now you might as well have a big bonfire and just burn the money because most of it will be wasted, opportunity for sales revenue will and is sharply diminished by the pandemic that is essentially a fact. There will come a time probably at the latest during the end of 2021 where these countries will have defeated the virus thru vaccines and then will be the time to rebuild and to have big stimulus packages. This rush to do stimulus now is the height of irresponsibility because none of you countries have great finances if you blow the economic stimulus monies now when there is not the opportunity for success you will have significantly less when the pandemic is over and stimulus spending will be really fruitful. It is absolutely right the European Union's plan to spend $750 billion to help the economic bloc recover from Covid 19 but your timing is absolutely wrong wait until the virus is history. You Democrats in Washington that want to go big on recovery spending now you are going to regret it at the end of 2021 when the economy has a nine percent unemployment rate (CBO est.) and Republicans in the Senate are saying you had your big stimulus package for the novel coronavirus; there probably won't be any repeat of 2009 when Democrats were able to get a stimulus bill over the goal line because the Republican Caucus in the U.S. Senate doesn't have any Senator Olympia Snowe's or Senator Arlen Specter who put Country above Party!
Members of both parties in Congress are really being spendthrifts about trying to provide relief to keep people employed. In this new House bill HR 6800 they take a Cares Act program which tries to keep people employed the fiscally reckless wrong way (meaning it should be done by figuring out a business's expenses and deduct the sales revenue and then the government should come in and pay for the wage expense shortfall) and they make it dramatically worse. The Cares Act program had a wage assistance program where the government would give a refundable tax credit for fifty percent of an employee's wages up to !0,000 for calendar quarters where the employers gross receipts dropped over fifty percent for the same quarter in 2019, HR 6800 wants the federal government to pick up eighty percent of the wage tab up to forty-five thousand dollars and the drop in gross receipts only has to be below ninety percent of the gross receipts in the respective 2019 calendar quarter. This is reckless federal spending many businesses with gross receipts under ninety percent of last year's numbers are still making a good profit they don't need help from the U.S. Taxpayers similarly the federal government doesn't need to picking up the high percentage of eighty percent of an employee wages if such a program went through common sense would indicate that many employers would have record income as the federal government largely picks up their wage expense!
If Congress wants to responsibly help keep America's workers employed go back to the CARES Act PPP program and instead of limiting Small Business to get forgivable loans for two months of wage expenses allow these businesses to get additional forgivable loans for another two months of employee wages and allow these loans to be forgivable by these businesses cash flow loss for the year meaning these business add up all their expenses for the year and deduct their sales revenue for the year and the difference which is their cash flow loss they get that amount of the PPP loan forgiven. Recessions, hurricanes, tornadoes, fires and pandemics are hard people incurr hardships with loss of jobs and the corresponding wages why should victims of this economic crisis get special treatment over other why should America unduly dig a deeper financial hole for this crisis compared to others; "enhanced" unemployed compensation is the responsible way to go here for the entire time of the pandemic even if it goes thru December of 2021. Much legitimate complaints have been voiced that the $600 of enhanced unemployed compensation per week provided by the CARES act is giving many workers a windfall where they get more money being unemployed than they do working it disincentivizes these workers in going back to work and many of these workers in fact aren't going back to work. Pursuant to Treasury Secretary Mnuchin the additional $600 arrangement was done because there wasn't the software and computer system set-up to figure out what the Federal government enhanced payment should be for an individual employee to make it so that worker received one-hundred percent of their wages. The technology hurdle should no longer apply if the IT people in the Federal Government cannot get a contractor to get this job done they should be fired. This is the way the Unemployed Compensation system works under this Covid 19 crisis every two weeks a worker files an unemployment claim and the state system within two to three days pays that worker the state portion of the unemployment compensation and "one week" later the Federal government pays that worker twelve hundred dollars less the IRS withholding amount; "one" week time is plenty of time for the federal government to get from the states the states payout on the Unemployment compensation claim and for the Federal government to calculate how much they have to pay that indivdual worker to make that worker one-hundred percent whole; this is definitely technologically doable it is an insult to the intelligence ofthe American people to try to claim otherwise. The six hundred dollar enhanced payment ends at the end of July of this year Congress come August should set the enhancement so that the worker is receiving ninety percentage of their normal wages if one adds the state and federal governments compensation to that worker; ninety percent strikes a good balance so it incentivizes that worker to go back to work and then get additional income!
Members of both parties in Congress are really being spendthrifts about trying to provide relief to keep people employed. In this new House bill HR 6800 they take a Cares Act program which tries to keep people employed the fiscally reckless wrong way (meaning it should be done by figuring out a business's expenses and deduct the sales revenue and then the government should come in and pay for the wage expense shortfall) and they make it dramatically worse. The Cares Act program had a wage assistance program where the government would give a refundable tax credit for fifty percent of an employee's wages up to !0,000 for calendar quarters where the employers gross receipts dropped over fifty percent for the same quarter in 2019, HR 6800 wants the federal government to pick up eighty percent of the wage tab up to forty-five thousand dollars and the drop in gross receipts only has to be below ninety percent of the gross receipts in the respective 2019 calendar quarter. This is reckless federal spending many businesses with gross receipts under ninety percent of last year's numbers are still making a good profit they don't need help from the U.S. Taxpayers similarly the federal government doesn't need to picking up the high percentage of eighty percent of an employee wages if such a program went through common sense would indicate that many employers would have record income as the federal government largely picks up their wage expense!
If Congress wants to responsibly help keep America's workers employed go back to the CARES Act PPP program and instead of limiting Small Business to get forgivable loans for two months of wage expenses allow these businesses to get additional forgivable loans for another two months of employee wages and allow these loans to be forgivable by these businesses cash flow loss for the year meaning these business add up all their expenses for the year and deduct their sales revenue for the year and the difference which is their cash flow loss they get that amount of the PPP loan forgiven. Recessions, hurricanes, tornadoes, fires and pandemics are hard people incurr hardships with loss of jobs and the corresponding wages why should victims of this economic crisis get special treatment over other why should America unduly dig a deeper financial hole for this crisis compared to others; "enhanced" unemployed compensation is the responsible way to go here for the entire time of the pandemic even if it goes thru December of 2021. Much legitimate complaints have been voiced that the $600 of enhanced unemployed compensation per week provided by the CARES act is giving many workers a windfall where they get more money being unemployed than they do working it disincentivizes these workers in going back to work and many of these workers in fact aren't going back to work. Pursuant to Treasury Secretary Mnuchin the additional $600 arrangement was done because there wasn't the software and computer system set-up to figure out what the Federal government enhanced payment should be for an individual employee to make it so that worker received one-hundred percent of their wages. The technology hurdle should no longer apply if the IT people in the Federal Government cannot get a contractor to get this job done they should be fired. This is the way the Unemployed Compensation system works under this Covid 19 crisis every two weeks a worker files an unemployment claim and the state system within two to three days pays that worker the state portion of the unemployment compensation and "one week" later the Federal government pays that worker twelve hundred dollars less the IRS withholding amount; "one" week time is plenty of time for the federal government to get from the states the states payout on the Unemployment compensation claim and for the Federal government to calculate how much they have to pay that indivdual worker to make that worker one-hundred percent whole; this is definitely technologically doable it is an insult to the intelligence ofthe American people to try to claim otherwise. The six hundred dollar enhanced payment ends at the end of July of this year Congress come August should set the enhancement so that the worker is receiving ninety percentage of their normal wages if one adds the state and federal governments compensation to that worker; ninety percent strikes a good balance so it incentivizes that worker to go back to work and then get additional income!
