The answer to restarting the economy has been right in front of you for 3 years. You have ignored it, opposed it, and tried everything that had no chance of working. So DO NOT FAIL US NOW. I am not the only one to recommend, and support payroll tax suspension for both workers and small businesses. Granted, I proposed suspending the whole 6.2% until we saw improvement, but I will take half this late in the game.
Did anyone in Washington notice what happened last month when partisan temper tantrums and tussling sent world markets through the guardrails and into the ditch? Please, I beg you, get on board, throw all this “I am right, you are wrong,” stuff out the window.
Do you believe you can fix the long-term problems from the bottom of a well? Ask any EMT about the long-term benefits of a tourniquet or a shot of atropine; not good, but they keep the patient alive so they can be treated.
The payroll tax suspension is the fastest cheapest way to leave money where business earns it. The payroll tax suspension requires no bureaucracy, forms, or clerical costs, and it does not dilute the money available for spending and hiring.
Leaving business out of the first payroll tax cut was a slap in the faces of the small business owners. Think of the jobs that small business could have created with 6.2% of current payroll costs. They could have kept 6.2% of their workforce or hired more people.
For those who cry out that the payroll tax suspension jeopardizes Social Security, what universe have you been living in? The Federal government has dumped payroll taxes in with all the other revenues for decades. Do you think there is actually a trust with money in it? No, just IOUs with terms that change without notice. The tax impact is exactly the same as any other tax cut, just cheaper, faster, and more effective.
We have wasted three years by withholding the fastest, most powerful tools to reverse our economic woes. Let us not waste even three more weeks. Suspend payroll taxes now.