2011 Proposed Jobs Creation Bill

Much of the business knowledge processes and technical ability that I have gathered over the last 30 years of my business career has been garnered through mistakes and errors.  It seems that if there is two ways to do something I inevitably pick the wrong way first time then figure out the right way and fix it.  Call it bad luck, lack of proper research or lack of adequate advice that is just the way it has been.  Even though this process is sometimes painful and time-consuming, the problem is eventually solved. 

 

Last year the government put together a jobs creation bill in which they gave companies tax credits for hiring new employees.  These tax credits could have accumulated into a nice bucket of cash, for small businesses.  Digit Payroll telephoned, emailed and sent letters to their clients notifying them of this potentially lucrative proposition.  Out of the thousands of small businesses that Digit Payroll is associated with and the tens of thousands of employees that these businesses employ, I am aware of maybe two businesses that the new employee credit was a factor in hiring a new employee.  Many other businesses took advantage of the credit, but the credit was just a gift to them.  These other businesses hired a new employee irrespective of the credit.   Therefore the government gave away an enormous amount of tax dollars for very little benefit of adding additional people to the workforce.

 

Flash forward to 2011.  A similar plan is being proposed.  Albert Einstein defined insanity as “doing the same thing over and over again and expecting different results”.  I think you get the point.

 

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