[lewislynn]

This would still not add 30% to the current cost of government employees, however, as LL implies.

Currently, a $50K salary costs $50K * 1.0765 to include the SS/M on the employer side. So $53,825 is the current cost of the $50K employee

`(17) WAGES AND SALARY-

The terms `wage' and `salary' mean all compensation paid for employment service including cash compensation, employee benefits, disability insurance, or wage replacement insurance payments, unemployment compensation insurance, workers' compensation insurance, and the fair market value of any other consideration paid by an employer to an employee in consideration for employment services rendered.

You want to include the employer half into the wage? Then the tax is $53,825 plus 30% or $69,954 not 65,000. Thanks for the clarification.

[Kellis91789]

Lewis,

I refuse to believe you aren't smart enough to have seen the correct point, but you are either very confused or your sarcasm is very subtle.

The Federal government is ALREADY paying a 7.65% tax on their employees' salaries. So the ADDITIONAL cost of the FairTax is not 30%, but only 21%. Because it REPLACES the SS/M tax the government was paying before.