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**eocavrWM** · 10-08-2011, 06:09 PM

Cut unemployment benefits back to normal, and people will find work at the level they are qualified for.

It's not difficult to understand. Let's say you're getting $400 a week in unemployment benefits. That's the equivalent of a fulltime job at $10 an hour. And, the only taxes taken are a flat 10% federal withholding. You aren't paying FICA or State or local taxes on that money.

So why would you go out and get a job, even if it was a few dollars more an hour? Or less, even?

It's a perverse incentive.

10-08-2011, 06:09 PM	#4
eocavrWM Join Date Oct 2005 Posts 520 Senior Member	Cut unemployment benefits back to normal, and people will find work at the level they are qualified for. It's not difficult to understand. Let's say you're getting $400 a week in unemployment benefits. That's the equivalent of a fulltime job at $10 an hour. And, the only taxes taken are a flat 10% federal withholding. You aren't paying FICA or State or local taxes on that money. So why would you go out and get a job, even if it was a few dollars more an hour? Or less, even? It's a perverse incentive.
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