[SolidSupplySide]

He will either take some or the entire amount he had been withholding for federal income and payroll taxes and add it to your weekly check, or he will readjust your pay figures so that your entire paycheck will be equal to what you used to call "take home pay" before the FairTax. The employer may also decide to do a little of both. Either way, you can see that the amount of money you actually receive as pay – the amount you can put into your bank account – will not decrease, and may actually increase.

Ouch. Boortz is finally admitting what I've been saying all along. Gross pay under the so-called Fair tax is likely to go down. (The employer will base his decision on what to do on what the Federal Reserve does with the money supply.)

I wonder how Fair Tax proponents will react to this startling confession.

[TChris]

Ouch. Boortz is finally admitting what I've been saying all along. Gross pay under the so-called Fair tax is likely to go down. (The employer will base his decision on what to do on what the Federal Reserve does with the money supply.)

I think it only stands to reason. I don't see it as an "ouch" at all, but simply making sense. Take-home pay stays the same. That's fine with me.

The Fair Tax has an obvious long term benefit: The cumulative costs of current taxation to our economy are monumental. Elimination of that, if the Fair Tax accomplishes nothing else, will produce a long term benefit to the economy. I think that's very clear.

Fair Tax is good. The status quo is bad.

[Eagle of Liberty]

Gross pay under the so-called Fair tax is likely to go down

I think what he is saying is that to keep things revenue neutral, the employer has a few options. The employer's cost for products or services will go down along with his share of the SS taxes going away. He currently budgets for your Gross salary. If the employer will not see a decrease in revenue, I don't think employers will adjust Gross pay just so that he can avoid the possible riots or mass exoduses from employees.

[Always Right]

I wonder how Fair Tax proponents will react to this startling confession.

3 or 4 of them already accepted the error. 5 or 6 of them may remain in denial. The article which debunked this claim in Money Magazine was simply blown off as some liberal rag owned by CNN. It was work done here on FreeRepublic which lead to this, especially RobFromGA who actually got Dr. Jorgenson to respond to his e-mail a month before Money Magazine's article.

[Dead Corpse]

Gross pay under the so-called Fair tax is likely to go down.

Really? You aren't seeing that money NOW. You will see it with the NRST. How is this a bad thing? You have more money in your pocket at the end of the month.

What is your problem with this?

Example. I make around $1200 a week, but due to taxes my current take home pay is about $900. After the NRST, if my pay is re-adjusted to $1100 a week, but I'm taking home ALL of it, I'm $200 a week to the positive.

This isn't startling at all. What is startling is that so many of you are still against it. That you will use the thinest excuses to keep your precious Federal Leviathan IRS.

Pathetic.

[Mind-numbed Robot]

I wonder how Fair Tax proponents will react to this startling confession.

Not at all most likely. I my own little self pointed this out several times on these threads and that had little impact on support for the plan. The elimination of the cost of withholding, the cost of complying with the present system, and the elimination of business decisions made strictly for tax purposes more than offset that. With the elimination of those costs it is possible for prices to be lowered. It most fields competition will see to it. Add to that the prebate on the taxes paid for necessities and the consumer is back even in his everyday life but with a much improved attitude toward the world and our government.

[steve8714]

Cheap a$$holes who do that will get the turnover they deserve. These are the same kind of people who hire at minimum wage, then complain that they cannot get a full day's work out of "these people" as they drive home in the Lexus.

[MortonMark]

Solid — how will Fairtax fans react to finding out the entire math scheme of FT is to CUT the wages of all workers, simlutanousely?

I can answer that, I blog this. They either 1) deny it 2) say Im a liar 3) say so what, it would be a great deal for workers anyway.

Human nature, being what it is, people can’t admit they are wrong, once they have invested any ego or status into a position.