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[eRepublik] 2090 - Work Tax impact on Work As Manager option

Day 2,090, 03:01 Published in Serbia Argentina by elbandido



"Fix the economy!" is the phrase most often called out by citizens in shouts and articles. But most of them have no idea what this sentence means, what changes might be and what implications would follow, in case of some changes in the economy module. When someone talks about economics thinks only profit from his own pocket, which should be daily, larger and if possible from day one, without too much calculations and less effort.

Very few actually know their profit is influenced by other players, soldiers and politicians, friends or enemies, commanders or presidents. In my opinion, a big step in this direction was made yesterday. Plato introduced tax for working as manager (WAM) option, called Work Tax.


What is Work Tax? The Work Tax is similar with the current Income Tax but it will apply not only for employees but also for the ones that Work as Manager. Until now, managers can work in their own companies without paying any tax, creating overproduction with minimum investments.

Who decides the level of this tax and how is calculated? The Work Tax will be set by the Congress, and can have a value between 1% and 25%. The tax will be calculated based on the average salary in their country in the last 30 days. The actual of the Work Tax is the percentage set by the Congress applied to the average salary.

Example: In country A the average net salary paid in the last 30 days is 10 currency and the voted Work Tax for the country A is 10%. In this case, the value of the Work Tax for Work as Manager will be 1 local currency. The Work Tax will be applied for each company in which a player works as manager. Therefore if a citizen owns 5 companies and works as a manager in all of them, he will pay the value of the Work Tax multiplied by 5. If the citizen doesn’t have enough money to pay the Work Tax, he will not be able to start production in his companies.

How is the average salary calculated? The average salary is calculated based on all the salaries paid by employers from a specific citizenship country in the last 30 days (the citizenship of their employees doesn’t matter, what matter is the citizenship of the employer).



Ok, that being said, let's see the impact on your profit with this new tax, impact influenced by other players (politicians and soldiers).


I will take the example of Serbia, as this article is published in Serbia. You will see below in a table, that income of Serbia increased, with this new tax, from 40,708 CC to 149,190 CC, almost 4 times more. It may not be that income every day, but we will use as an example. We have an increase of 109,000 CC, money that did not exist before, in 1 day.

And here comes the interesting part. Let's say the current serbian government decides that this money be used to stimulate the soldiers to win battles. Also Serbia must defend simultaneously 6 RW's, and decides to set Combat Orders (soldiers will be able to accept Combat Orders set by MU's and receive currency for dealing damage in battles) for these battles.
- I'm a division 4 soldier, a little one soldier (not tank)
- With a hit with q7 of 35,629 damage
- Can I give a maximum damage of 4,275,456 at once without Guerrila Fights (because in this example we use RW's)
- Also my MU Combar Orders is set to 'Fight if: Domination under 52%', paid with 50 RSD for every 1,000,000 damage inflicted.
After I fought, I received 213,7728 CC, almost 1 gold. With 109,000 CC, 511 soldiers like me can have 1g/day.

Certainly older soldiers (tanks) can get more money from this. Also lower divisions can be paid with increased amounts of CC from Combar Orders. The point is that money collected from Work Tax can be paid very easy to soldiers who will fight at Combat Orders. My personal suggestion/opinion, a higher level of Work Tax bring higher incomes, don't set this Tax to 1% because you lose income.

This new tax will provide countries with a supplementary source of funding and will give the Congressmen and Presidents a new tool that can help the countries make a step toward improving the state of the economy.



Enough with the words, let's get to numbers and see what was the income difference before and after the Work Tax, keep in mind that the numbers are only for one day. You can see World Income before Work Tax was 621,681 CC and after Work Tax was implemented World Income is 1,739,011 CC, triple. Of course, countries that have recorded the highest growth have most players with companies.



Let's see also an estimated daily income (if every active citizen from a country have at least 1 company and work in it) depending of average salary and actual level of Work Tax. Data collected on Day 2089 at 23:30 eRep time.



Regards,
elbandido


 

Comments

Lostkingdom
Lostkingdom Day 2,090, 03:09

nice job

costel_t
costel_t Day 2,090, 03:13

great article - now lets put a strong mature team on the lead of the country, who knows numbers and mechanics

great job once again

AtomskiMrav
AtomskiMrav Day 2,091, 01:28

Yeah, great, But how to deal with corruption??? Only few people are in control of all those money and now,there is more money to steal. Nothing about that in the article...

Paul T. Craciunescu
Paul T. Craciunescu Day 2,090, 03:16

Thanks, but I do believe they shoul've implemented more diversity into the economy before applying this tax.

KHAN68
KHAN68 Day 2,090, 03:17

vv

JohnCV
JohnCV Day 2,090, 03:19

holly s. i didn't realized where my money went:D

great article as usual!

razvvy
razvvy Day 2,090, 03:22

Good ! o7

BigAnt
BigAnt Day 2,090, 03:26

voted

tasos maximous
tasos maximous Day 2,090, 03:29

v

Jussi Putin Jernkuuk
Jussi Putin Jernkuuk Day 2,090, 03:30

Voted, always nice to read analytical articles.

Darkslowstar
Darkslowstar Day 2,090, 03:33

great article, but I think this is not enough. Admins shouls remove their wrong decisions, which contributed to the actual economic chaos, like removal of work skills, free companies for rookies (at least make them expire after a few months), etc

Paul T. Craciunescu
Paul T. Craciunescu Day 2,090, 03:37

Also the removal of house, tickets and gifts sectors were a big mistake in my opinion..

SimeonCe
SimeonCe Day 2,090, 05:33

I sended i ticket that included that... they need to take away that 4 companies

Satyre Reynes
Satyre Reynes Day 2,092, 05:58

problem with the most recent changes, at least for me, was that they were imposed from above without warning and without any time to prepare. The change itself is not actually bad even if I dislike the 'based on the average salary thing'. Instead of the tax they should have, after some time of preparation - limited in how many GM-Factories you can work or given the govs an opportunity to specify how many companies are 'tax-free'

Online Rambo
Online Rambo Day 2,090, 03:41

This is good change at last, but strong and rich countries will be stronger and richer (:

Darkslowstar
Darkslowstar Day 2,090, 03:58

yes, Serbia and Poland will benefit the most and it will be easier to them to set CO on their RW and by this, easier to keep their empires

Riyusaky
Riyusaky Day 2,090, 03:49

Great article !

Vogon Jelc
Vogon Jelc Day 2,090, 03:50

This tax is not fixing game economy its fixing admin budget.

eisenmutter2
eisenmutter2 Day 2,090, 03:53

now people who worked for self supply, who worked and sell on black market and who just produce raw (which often had no tax for the coutry) will pay tax

but if the worktax is too high you will kill lower quality producers and may lose citizens to countries with lower tax - this would have a negative effect on tax-income of the state


problem of the economy is managerworking but admins don't want to delete it because 2click economy is easier for newbies than real managing - and newbies should concentrade on fighting, training and buying of gold (at least until they reach div4 and rage quit because they can't do anything against guys like Romper and friends)

eisenmutter2
eisenmutter2 Day 2,090, 03:56

*concentrate

problem2 would be to compensate the industrial big bosses with 50+ companies. because with real management it would be quite hard to manage this number of companies admins would have to pay loads of money (for the companies that then would be not needed) which would flood the market

eisenmutter2
eisenmutter2 Day 2,090, 04:11

btw

higher worktax will also have an effect on newbies who produce their own food. if the tax is too high low quality foodraw companies will produce with deficit but newbies often don't calculate profit - so many will lose money. many low quality companies would close and foodraw + foodprice would go up. and who has to buy food - right newbies.

same with weapons prices will go up and just compensate at least the taxminimum of 1%. in countries with higher woktax prices will go up more. so if you keep VAT the same importers from high boni + low worktax countries will make good money -> they don't have the problem of the higher worktax like the producers in the country where they sell

eisenmutter2
eisenmutter2 Day 2,090, 04:16

also a higher worktax will kill communes of MUs who let people work for tanks

so worktax for WAM might effect the big bad guys with hundreds of companies. but these guys can also stop the production if they don't like to pay high tax (many have enough money for years) - or just change the citizenship.

but it would also effect the newbies and so what you are proposing is like collecting from newbies and big economy guys and then sending it back in combatorders where the big goldbuyer tanks get most of the money...

eisenmutter2 Day 2,090, 04:27

Comment deleted

eisenmutter2
eisenmutter2 Day 2,090, 04:28

+ the additional tax makes it even harder to calculate profits. not only is it influenced by congress decision but also the always changing average of the wages.

in erepublik it feels like ~70% of newbies are NOT calculating profits - and even when you contact them and tell them that they are losing money by working in some companies - they won't listen. this tax will make that only worse

eisenmutter2
eisenmutter2 Day 2,090, 04:32

and low quality products will become less profitable - because the worktax is the same for q1 as for q7...
who owns low quality companies? newbies

with this maybe high quality products will become cheaper in comparison to low quality food and weapons...
who will profit from higher demand of high q stuff? oldfag-companyowners

Tokuda Kai
Tokuda Kai Day 2,095, 07:55

I'm already losing money as Q6...and i'm a 2-clicker noob.

Marmaroth
Marmaroth Day 2,090, 04:07

v

Marmaroth
Marmaroth Day 2,090, 04:08

But it doesn't mean the % WT doesn't stimulate the economy and don't bring benefits. High WT is for High countries.

Stucna
Stucna Day 2,090, 04:20

"with minimum investments." Yeah right

ayush121212
ayush121212 Day 2,090, 04:27

nice o/

eDLD
eDLD Day 2,090, 04:56

La fel ca in RL, taxele sunt oglinda impotentei.
Daca ati avea c***oaie, ati desfiinta de tot lucrul in calitate de manager. Dar nu aveti, asa ca mai puneti o taxa. Adica un alt rahat cu perje!

19dzg86
19dzg86 Day 2,090, 05:10

Croatia work tax is 1% now.

SimeonCe Day 2,090, 07:48

Comment deleted

iGuy
iGuy Day 2,090, 08:01

Lower tax means higher citizen earnings, which means more Govt money. Taxing at anything higher than 1% is ludicrous.

apprehension
apprehension Day 2,090, 08:15

"We have an increase of 109,000 CC, money that did not exist before, in 1 day." so wrong, this CC came from accounts of company owners.

15% tax would kill new players with Q1-3 raw companies, higly increased return times on all raw companies.

1% is only way to have it to save newbies from beeing even more screwed over by plato.

Vogon Jelc
Vogon Jelc Day 2,090, 11:58

or 3 % but with country giving back by regular CO.

apprehension
apprehension Day 2,090, 12:39

Well depends on country here in Poland with 10/10 we can keep 1% and we should get more income into treasury due to amount of RAW and Q7 weapon companies. Newbies have VERY hard start in this game, we cant make it even worse for them.

Vogon Jelc
Vogon Jelc Day 2,090, 13:29

Don't get me wrong I love the 1% tax. But with Combat orders now country can give back some money. This tax system needs some tweaking, for example different tax depending on quality of companies and so on...

Detharon
Detharon Day 2,090, 10:34

"We have an increase of 109,000 CC, money that did not exist before, in 1 day." - on the contraty, it was taken from the players, like any other tax, so it existed. The money simply changed the owner.

If it's an economy fix, then why do you calculate the profits for... fighters? Perhaps because from company owners' point of view it isn't that optimistic. It's yet another boost for war module.

theillusionist
theillusionist Day 2,090, 13:29

Good article but still economy is not fixed.

theillusionist Day 2,090, 13:34

Comment deleted

theillusionist
theillusionist Day 2,090, 13:35

Fix the economy!" is the phrase most often called out by citizens in shouts and articles.

We very much know what that sentence means. If I need to explain that to you in very few words it goes something like this:

We want to be able to produce weapons, foods, hire employees and when we sell these goods to be able to make some money. It doesn't matter if that is 10cc or 100cc as long as my Q7 weapon factory is getting me something. My q7 costed me around 1000 golds and that is around 300 euros... So yeah... ECONOMY IS NOT FIXED!

eisenmutter2
eisenmutter2 Day 2,090, 18:11

hue hue
q7weapons with 200raw consumption was best joke of Plato ever - still laughing about it today when i trade my q4-raw (companies built with ~4g each) for the high quality product

cc1432
cc1432 Day 2,091, 01:50

q7 with 2x raw modifier, was not a joke. no one said that premium items should have linear cost increase.
THe joke was the q7 food which indeed made no sense with 20 raw / food.

Even so, as long as they can increase average consume for the base of players (base of the pyramid) it should be fine.

I am yelling since the fix economy shout started, pls guys we need product differentiation. If we can't consume more weapons then why not reduce weps production by giving the possibility to produce smth else....

cc1432
cc1432 Day 2,091, 01:50

good article, bandit !

TurokAnap
TurokAnap Day 2,091, 10:27

foarte bun! o7

cristi4seby
cristi4seby Day 2,092, 01:59

o7

sadfire
sadfire Day 2,092, 05:46

Problema e ca noua taxa ma pune in imposibilitatea (economic vorbind) de a munci in anumite firme pentru ca voi cheltui mai mult decat produc. Asta nu ar insemna nimic daca nu investeam gold in ele. Atata timp cat schimbati regulile in timpul jocului si nu imi oferiti posibilitatea de a renunta la ele la pretul de achizitie mi se pare magarie.

 
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