So what about raising the minimum wage?

[Dargil]

I understand the intent of the minimum wage (sort of.) At present, increasing the present minimum wage at the same rate that the consumer price index has increased since 2009 would make the minimum wage at $11.83 per hour. That alone, would produce an annual income of $24,600. That is halfway between the federal poverty line for two people and for three people.

Deducting $2,000 for the government deduction for Social Security and Medicare, That leaves $22,600, which is exactly the federal poverty rate for two persons. I would sign off on that. Since they will pay no other federal taxes. And if they live in a state that doesn't have a state tax, They'll have no additional tax burden except for sales tax.

That condition alone would be an incentive for persons to consider marriage and even not aborting a child. Even a small contribution of income from the other party would bring that family completely out of poverty. And since nowadays many people can work from home, the pregnant mother would be able to work online have an income and contribute to family income. She could even take online education courses and improve her work skills.

I think the Trump administration should do this because it would be an incentive for families to stay together instead of separating and drawing welfare. I think it would also plant the seeds for ambition on the part of the family to increase their income and work skills. Many two person families live on Social security, Which is $11 an hour for a full work year. And they get by.

The purpose of the minimum wage is not to reward people for not achieving. But it gives them breathing space to develop themselves and improve their lives.

If you do not like my opinion, I don't care. So don't bother.

Updates

4 d

Honest opinions either way. But some people have to start from scratch and raising it can prevent them from descending into welfare. Cut that off to give them "incentive to succeed" and you will get poverty, anarchy, crime and vagrancy. They will succeed to that.

[genericname85]

I think a big reason small local businesses are dying out is that they don't have the cash buffer to absorb sudden minimum wage hikes like big chains do Especially in low-margin trades like independent restaurants. The big, well-capitalized players who can eat the cost or automate around it come out ahead of the local guy even more thank to minimum wages.

Even the government's own numbers admit the wage floor throws people out of work. Congressional Budget Office estimates the last major federal proposal would've cost roughly a million jobs while raising pay for everyone else. Defenders wave that off because the aggregate math still nets positive, but try saying "it nets positive in our calculation" to someone a lost paycheck and their job or their business and their livelyhood thanks to minimum wage labour price hikes. I'll even argue the price increases that follow a rise in minimum wage eat into even that "net gain" for low-income households, since everyone pays higher prices but only some workers get the raise. And the workers most likely to be the ones priced out of their jobs entirely are the least-skilled... exactly the people the policy claims to help most.

[Twalli]

The Trump admin won't do this, and I agree with most of what you're saying. The minimum wage law is written to provide a minimum standard of living without curtailing employment. Studies show that a 10% increase in minimum wage equal a 1% increase in prices, meaning that wage increases are vastly more beneficial than detrimental. I would say that the problem most people ignore is that the minimum standard of living is different in each state. It is far cheaper to live in Mississippi than California. So making a wage that is possible for MS residents wouldn't work in CA.

[Agape93]

Fine by me. The current minimum wage at 7.25, you'd need to work 120 hours per week to be self sufficient

[Dargil]

$45 grand a year? I could get by, And I would have only 48 hours to spend the money.

[Ariesman81Nshiiit]

I view it as irrelevant. The ones making below poverty lines are doing so of their own volition. Either to remain below the welfare limits or just pure laziness and complacency. I see no reason for the employer or taxpayers to have to bail out such behavior.

[strateguy632]

let the economy balance itself. when company was forced to pay more per worker they fired half the workers or closed.

[exitseven]

The Federal minimum wage is $7.25. However most states have minimum wages set well above $7.25. Personally I would be okay with raising it.

[NathanDavis]

it means... nothing

[Grond21]

I want to abolish the minimum wage completely

[Paige2006]

I don't think it should be

[Anonymous]

7.25 is definitely archaic