[Polybius]

If the employer is going to hand Joe the whole $117.95, then that implies that Joe's gross annual income remains the same as before. All the taxes passed to the government on Joe's behalf are in his paycheck. The employer has no net savings in his labor costs (wages and salaries) except the cost of tax compliance. ............Myrddin

Seriously, do you understand the payroll tax at all? For every penny taken out of the employee's paycheck for FICA, the employer has to contribute an additional penny -- ..........kevkrom

So, instead of the empoloyer taking out one penny out of the business account, putting into Joe's check and then taking it right back out again and then taking another penny out of the business account and than mailing both pennies to the U.S. Government, the employer would put both pennies into Joe's account so that Joe can have Walmart take it out of him and send it to the U.S. Government.

The only thing the employer saves is a 39 cent stamp and the time it takes their computer to fill out the tax forms.

[lewislynn]

The only thing the employer saves is a 39 cent stamp and the time it takes their computer to fill out the tax forms

Sorry not even the price of the stamp let alone the tax forms would be saved AND the stamp would be 51 cents not 39 cents (39 cents + 30% tax).

`SEC. 903. WAGES TO BE REPORTED TO SOCIAL SECURITY ADMINISTRATION.