Believe it or not, most people can start saving money with just one penny. The intuition is similar to Couch to 5K: Start with an insanely small amount and work your way up. Instead of nine weeks, this entire activity will take you a year to complete. If you follow the goals that I set for you, you will have saved over $1,700! The secret is simple: Literally start saving with just a penny. (more…)
We often hear that big corporations need to pay their employees more. Income inequality is the result of these kinds of businesses, at least according to some people. The truth is that big corporations really don’t cause income inequality. On top of that, big corporations don’t get to keep everything they make in sales.
There seems to be this false notion amongst minimum wage supporters that revenue means income. Revenue is simply a fancier word for sales. If anybody thinks of it as income, it should only be thought of as gross income.
After reading into Oregon’s 10-year plan outcome areas for the economy, I noticed something that really worries me. It mentions closing the income inequality gap and getting the per capita income above the national average. Trying to close the income inequality gap is a nice idea, but raising the per capita income isn’t a good indicator of economic success. This is because it can be raised by the rich getting richer or, worse, the poor getting poorer.
Many people in the past have told me that they refuse to live in Oregon just because of a state income tax as well as other taxes. They said they would much rather pay 9.5% (Seattle, WA) in sales taxes. I think it’s about time that these people got the rude awakening that they deserve by looking at this a little closer.
Just to clarify, this would only be an increase to a tax that already exists. Income tax is only taken out here and there throughout the year and you don’t have to worry about having enough for tax. However, when you have a sales tax it’s much more than just worrying about having enough money to cover the tax. You also deal with the lack of control that the people have over the increases and decreases in your sales tax. When I moved to a place nearby Seattle called Kent, the sales tax rate was about 6.5%. Now it’s up to 9.5%? Politicians lied to us, saying that it was only going to be a temporary increase.