There's a lot of contextless scaremongering in the article. Here's one example.
> For instance, the payroll tax exempts employers with fewer than 50 resident employees, punishing small businesses for expanding and creating a meaningful tax cliff. Imagine, for instance, the overly simplified hypothetical of a company with 49 employees making $80,000 each. At 49 employees, the company has no payroll tax burden. Hiring one additional employee generates a tax bill of $90,000—more than that employee’s salary!
Wow! NINETY K, MAN! That's a lot of money, says Joe Q Public.
Except....revenue per employee is ~$100k for small businesses, with larger companies being $200k or more.
At 49 employees, your business has likely $4.9M in revenue or more.
That means that additional big scary $80k represents 1.6% of your revenue.
> For instance, the payroll tax exempts employers with fewer than 50 resident employees, punishing small businesses for expanding and creating a meaningful tax cliff. Imagine, for instance, the overly simplified hypothetical of a company with 49 employees making $80,000 each. At 49 employees, the company has no payroll tax burden. Hiring one additional employee generates a tax bill of $90,000—more than that employee’s salary!
Wow! NINETY K, MAN! That's a lot of money, says Joe Q Public.
Except....revenue per employee is ~$100k for small businesses, with larger companies being $200k or more.
At 49 employees, your business has likely $4.9M in revenue or more.
That means that additional big scary $80k represents 1.6% of your revenue.
Yawn.