And then multiple total base salaries by, say 1.5, to obtain fully loaded salary costs, which also include, social security, medicare, medical, vacation, holiday, sick leave, etc.
Actually, I went online and did some research. His company has 120 employees who currently make an average of $48,000 a year, and he is increasing that wage to $70,000. So, $22,000 more per employee times 120 employees is about $2,640,000 in increased payroll a year. He claims he is paying that increased expense out of the firm’s 2.2 million profit, and by reducing his own salary by $930,000. So, contrary to what the posted article claims, the math more or less adds up.