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rudder

rudder

Lifer
Nov 9, 2000
19,441
86
91
A new tax credit has been announced to persuade small businesses to hire more employees.

http://www.foxnews.com/politics/2010/01/28/obama-unveil-plan-b-tax-breaks-spur-job-growth/

Then expect the unemployment rate to go back up when businesses realize they spent $30,000 for an employee to get a $5,000 tax credit. However I do think most business owners realize that employees should be hired when they actually have a need for them. If they have the business and the business is making money and need another set of hands to me it seems to make sense to hire someone at that point.

So I don't own a small business... so what do business owners think.. will this spur some hiring?
 
P

PokerGuy

Lifer
Jul 2, 2005
13,650
201
101
Yet more stupid government spending. The businesses that were going to hire anyway are going to get a nice credit. The ones that were not going to hire are still not going to hire. Exactly the same scenario as with the cash for clunkers program. We're going to pay an exorbitant amount for each actual incremental job created.
 
sandorski

sandorski

No Lifer
Oct 10, 1999
70,705
6,261
126
PokerGuy said:
Yet more stupid government spending. The businesses that were going to hire anyway are going to get a nice credit. The ones that were not going to hire are still not going to hire. Exactly the same scenario as with the cash for clunkers program. We're going to pay an exorbitant amount for each actual incremental job created.
Click to expand...

Wow, more whining.
 
waggy

waggy

No Lifer
Dec 14, 2000
68,143
10
81
Its a good start. but i agree $5k is just not enough.

edit: i think helping small business is a far better idea then helping huge ones that are mis-managed.
 
highland145

highland145

Lifer
Oct 12, 2009
43,973
6,337
136
sandorski said:
Wow, more whining.
Click to expand...

What whining. I own my own business and there's no way I'll hire someone I don't need for a paltry $5k. Even a one for one wouldn't cut it. No benefit if I can't use them. Give me the $5k in tax breaks and I would be more than willing to be required to spend it on expansion/equipment/advertising.
 
sandorski

sandorski

No Lifer
Oct 10, 1999
70,705
6,261
126
highland145 said:
What whining. I own my own business and there's no way I'll hire someone I don't need for a paltry $5k. Even a one for one wouldn't cut it. No benefit if I can't use them. Give me the $5k in tax breaks and I would be more than willing to be required to spend it on expansion/equipment/advertising.
Click to expand...

I wasn't replying to you.
 
cubeless

cubeless

Diamond Member
Sep 17, 2001
4,295
1
81
highland145 said:
What whining. I own my own business and there's no way I'll hire someone I don't need for a paltry $5k. Even a one for one wouldn't cut it. No benefit if I can't use them. Give me the $5k in tax breaks and I would be more than willing to be required to spend it on expansion/equipment/advertising.
Click to expand...

ditto-ish... the main thing i want is to not have to be worried about what the next shoe to drop is... this is like the 'oh wow, look, jcpenney is having their biggest sale of the year again this week!!!' advertisements... why should i commit to something today when they'll change the plan again tomorrow???

and just get the hell out of my way and let me run my business... give me a stable tax/regulatory environment, and give my customers some money to spend if you have to give something away, and i'll take care of the stocking and hiring...
 
C

Craig234

Lifer
May 1, 2006
38,548
350
126
It's a good program. It isn't designed to buy every small business a complete government-funded new person. It's to help.

If they're close, it can make it work. If they're already hiring one, it gives them that $5K bonus for expansion/advertising.
 
sandorski

sandorski

No Lifer
Oct 10, 1999
70,705
6,261
126
cubeless said:
ditto-ish... the main thing i want is to not have to be worried about what the next shoe to drop is... this is like the 'oh wow, look, jcpenney is having their biggest sale of the year again this week!!!' advertisements... why should i commit to something today when they'll change the plan again tomorrow???

and just get the hell out of my way and let me run my business... give me a stable tax/regulatory environment, and give my customers some money to spend if you have to give something away, and i'll take care of the stocking and hiring...
Click to expand...

A year has passed with no Market interference, yet the problems have not gone away. Though you 2 may not benefit from such a thing, I suspect many others will and will take advantage of the Program. It may or may not work, but if nothing was done many of you would still be whining about it.

In fact, many of you have been whining about Obama not doing anything for awhile now. So everybody has to make up their minds: Should Obama attempt to fix these problems or should he not?
 
sandorski

sandorski

No Lifer
Oct 10, 1999
70,705
6,261
126
PokerGuy said:
Wow, very insightful, especially the part where you show exactly what part of my post was factually incorrect. Oh wait, you're too stupid for that... :rolleyes:
Click to expand...

See the end of my previous post. Make up your damned mind already.
 
R

RyanPaulShaffer

Diamond Member
Jul 13, 2005
3,434
1
0
Eh, I don't know...this tax break might give some companies incentive to hire more people if they were 50-50 about it initially, but I just don't see it accomplishing...much, really.
 
S

soccerballtux

Lifer
Dec 30, 2004
12,553
2
76
This isn't going to persuade any businesses to hire employees they weren't going to hire anyways.
They'll hire someone and lay them off next year after the tax benefit is gone.

Obama has the worst understanding of economics I've ever seen.
 
P

PokerGuy

Lifer
Jul 2, 2005
13,650
201
101
Craig234 said:
It's a good program. It isn't designed to buy every small business a complete government-funded new person. It's to help.

If they're close, it can make it work. If they're already hiring one, it gives them that $5K bonus for expansion/advertising.
Click to expand...

It's the same as with the cash for clunkers program: in the end, there will be a slight increase in the number of new people hired by eligible small businesses, but we'll end up paying a lot of money for it because all the other ones that were going to hire anyway are also getting the credit.

The correct measure of success for a program like this is not how many were hired during a specified period, it's how many were hired over and above the number that would have been hired had the program not existed. Then you see how much each incremental hire really cost. It's not always a cut-and-dried analysis, but in the case for cash for clunkers it showed that we got ripped off. This will be similar.
 
J

Jhhnn

IN MEMORIAM
Nov 11, 1999
62,365
14,685
136
When Dems don't move fast enough, they're blamed for inaction. When they do, it's obviously the wrong thing, anyway, right?

If it wouldn't cause total collapse and untold misery, I'd be all in favor of giving Righties exactly what they think they want, just so they'd have nobody left to blame but themselves...
 
rudder

rudder

Lifer
Nov 9, 2000
19,441
86
91
Jhhnn said:
When Dems don't move fast enough, they're blamed for inaction. When they do, it's obviously the wrong thing, anyway, right?

If it wouldn't cause total collapse and untold misery, I'd be all in favor of giving Righties exactly what they think they want, just so they'd have nobody left to blame but themselves...
Click to expand...

When the dems solutions consist solely of throwing so much money around that they have to continually raise the debt ceiling... I see a problem with that. Even if it was a good idea... it is just sending the problem down the road for another administration to worry about.
 
sandorski

sandorski

No Lifer
Oct 10, 1999
70,705
6,261
126
PokerGuy said:
It's the same as with the cash for clunkers program: in the end, there will be a slight increase in the number of new people hired by eligible small businesses, but we'll end up paying a lot of money for it because all the other ones that were going to hire anyway are also getting the credit.

The correct measure of success for a program like this is not how many were hired during a specified period, it's how many were hired over and above the number that would have been hired had the program not existed. Then you see how much each incremental hire really cost. It's not always a cut-and-dried analysis, but in the case for cash for clunkers it showed that we got ripped off. This will be similar.
Click to expand...

Where do you get this info? The hard data I've seen says it likely at least Doubled Sales.
 
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