Another great pro to the system would be simplicity. This means that there would only be one payment and that would make all the work and stress that goes along with taxes would be gone because of straightforward payments, making the tax system easy to understand. Converting to a flat tax system would mean that everyone would give the same amount of percentage of their income for tax. This seems to be fair to most people. Flat tax is used across the world, so if the United States of America converted to a flat tax system we would be able to compete more evenly in the Global Market (Smith
In order to maintain their net earnings, the business look for a number of alternatives, that includes cutting employment and making other similar decisions. Thus the results that policy makers expect form the fixation of minimum wages doesn’t turns out to be the same due to the behavioural responses of the employers. The supporters of minimum wage imposition believes that minimum wage imposition is the technique to boost the incomes of full time adults who belong to low income families in order to better off their situation. But in contrast to the assumptions, in reality the data indicates that mostly the part time workers are young workers and are generally not from the low income background. Hence the policy ends up resulting in creating
Insurance policy will be the contract for the security provided. Also, insurance will be the first and foremost requirement to manage any risk involvement. 1.1.2 Meaning,Definition,Importance & nature of insurance Defining Insurance: An arrangement enforceable by law by which one party undertakes to provide guarantee or compensation for specified unforeseen loss, damage, illness or death of any person or property in return for specific payment. Financially, Insurance is a protection cover for all the losses incurred due to either death or possessions. Legally, Insurance is a contract between two people or entity, one being under the risk of loss and other lending the recovery measure.
LLC Pros: Presents the opportunity for an individual to be taxed as a sole proprietor, partnerships, along with S and C Corporation. This type of business entity also has less paperwork along with filing costs. The members are exempt from any liabilities or legal issues the company may experience. The most beneficial may be that owners’ responsibility for any debt is limited despite having control the company Cons: Typically corporations are more expensive to startup compared to sole proprietorship or partnerships. At times an LLC business may find when starting up this type of business their budget is tight leaving them not able to pay themselves wages.
Even more, since a 401(k) plan is not insured, it is possible to lose money based on the investments you have invested in. Risky investments are meant to either result in a large capital gain or a large capital loss; however, remaining conservative will not guarantee you payout you desire. Therefore, it is recommended to spread out your investments to minimize the possible capital losses (Advantages and Disadvantages to 401(k) Plans, (n.d.), p. 1). Consequently, employers are able to limit employees on how much they would like to contribute; with this intention, the employee would not be able to save as much as he or she wants
The disadvantages of the non for profit organizations However, one can conclude that non for profit firms face some disadvantages when compared to for-profit firms. They have a harder access to capital, the (lack) efficiency in their operations when compared to the for profit, and the speed with which they enter and grow expanding markets just to name a few. Agency theory in non for profit organizations Contrary to for-profit organizations, the non for profit organizations do not possess a variety of shareholders who can expect high returns from their investments and are financially motivated to control their agents. Because of this, finding the suitable principals
Also older employees sometimes are less flexible compared to younger ones because of their schedules, families and a less flexible life-style. Some employers also prefer employing people that can discard easily without remorse or concerns. Another sad cause is that an employer may think of an older person as lessworth investing into. On the other hand, what companies often fail to consider is that older employees are often an advantage because they offer a range of experience and accountability that are not found in younger ones. Also, they tend to remain in the company for longer periods as they are more consistent
Although the use of third-party arbitration____**, different factors may affect either sides abilities. Industries with high union representation may be a more beneficial position during work disruptions, as they typically have extended resources to better withstand a strike or lockout (SOURCE). Additionally, industries in which employers cannot ‘stock-pile’ resources, such as policing and nurses, will have increased pressure to see their employees back to work sooner than manufacturers who may have additional stock, extended the time they can survive without production (SOURCE). According to (source from class), there are typically lower rates of work disruptions in the public sectors compared to the private. This may be due to the greater resources for larger unions and prevalence of public service jobs, such as teachers, in the unionized public sector.
Businesses and insurance companies like to avoid court because it is expensive. It is usually cheaper to settle out of court. Certainly it is a calculation on the part the company you are demanding compensation from, but court costs can add up quickly. In addition, the stronger your case is, the more likely they will want to settle the
A public option would meet the wants of certain people and go there, causing a decrease demand of private ones, but again more profit for the private firms. A single payer system to some would considered a monopoly on the healthcare industry because of the government resources and power. However that is not the case. A single system would incentive more people to change to private insurance because the potential strain it might cause the individual. Mark E. Litow, publish the fears of a single payer system in “Benefit Quarterly”.
Although raising their prices is an option it does not necessarily have to go in that route. Business can save money if they increase the wages because they would have less training to do meaning they spend less money on training new employees. Even if businesses raised their prices people would have more money so they could afford to buy the things at the higher prices and there is always the option of price controls to keep things from being too much. Then there is the motivation for advancement. This argument is reasonable in that some people would lack advancement but most would want better jobs as minimum wage paying jobs are not the most decent.
This could lead other shops and industries to raise their prices as well. This would result in a higher cost of living and eventually lead to another push to raise minimum wage once again. It could be argued that by raising the minimum wage people will have more money to spend and therefore businesst activity will increase. This theory is not valid because the weakening of the workforce would greatly outweigh any benefit obtained by people whose wages were raised by just three dollars. “Some policymakers may believe that companies simply absorb the costs of minimum wage increases through reduced profits, but that 's rarely the case.