[Principled]

The employer and employee have agreed on $62,000.

Exactly. So how do I lower the costs of my goods if I am still paying my employees the same.

You can lower your prices by the amount of the payroll tax you no longer send to the feds - $4750.

[Your Nightmare]

You can lower your prices by the amount of the payroll tax you no longer send to the feds - $4750.

Then the employee will be paying it on his purchases through the NRST. So he will need a raise to pay it -- there goes your savings. Again, if the FairTax is revenue neutral, somebody has to pay the employer share of the payroll tax if the employer isn't. That's going to be the employee through higher prices.