Income Tax & Minimum Wage
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by Kretschmar
[for subscribers - Kretschmar has fled the wars of eMitteleurop and is a refugee in the eUK - where he is trying to get to grips with the peculiarities here]
I do not understand the policy on income tax and minimum wage - they do not seem to be linked together.
Minimum wage is 1 GBP - kept deliberately low to keep industry profitable. Income tax is currently at 20% - making the net minimum wage 0.8 GBP.
Income tax is high so the government can build up resources to buy defence systems and hospitals - so that we have a strong army but still keep a healthy workforce.
Unfortunately - q1 food is just over 1 GBP - so our lowest paid workers cannot afford to maintain their wellness. And if they train so that the can support the eUK military - then their wellness will drop rapidly. And eCitizens with poor wellness make neither productive workers nor strong soldiers.
To be able to improve and recover wellness themselves, eCitizens must be able to afford food q+1 above the level of the company they work for - and if they are training regularly, they need q+2 food.
If we have an income tax rate of 20% - the minimum wage needs raising to 1.3 GBP
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You're working at minimum wage for around 3 days, then your wage rises as you reach skill 1. New citizens can afford food, as they receive a citizen fee of 5GBP, remember?
A little point less....
You can also raise wellness by fighting in the war we just had and healed at a hospital.
@Malta - Yeah, but how often are we involved in wars?
I agree: low wages and diminishing health are a problem. I worry that the initial diminishing health spiral may be partially responsible for the amount of new plyers we simply lose. However, as the national min wage can only increase in whole numbers, wage issues need to be addressed on an employer by employer basis.
@Chip - not sure that's true. eAustria minimum wage is 1.7 ATS, eSlovenia minimum wage is 2.50 SIT. Maybe you can't go below 1.0 currency - but you seem to be able to use tenths...
We were involved just last week.
You should have spent the 5 GBP citizen fee on food which would tie you over for the three days till you reach 2 skill and thus earn a better wage. Minimum wage is meant as a guide. Only citizens in their first three or four days earn 1 GBP a day.
This is an oooold article. Wow.
Yeah. I earn at least 85 GBP a day.