Taxes The Good News and the Bad News For Increasing Business Productivity
Taxes The Good News and the Bad News For Increasing Business Productivity
$7,647 regulatory cost per employee (Source: SBA)
$767,000 annual payroll cost for absenteeism for largest employers (Source: CCH Inc)
From the 30,000 viewpoint, many of the costs within these two figures can be attributed to taxes in some form or another. The word tax has Latin origins and means to determine the value of something. Unfortunately today, taxes have gone beyond appraisal and now extend into all aspects of business.
Are all taxes necessary? The answer to this is No. Yes, some taxes are vital to ensure the necessary public services including law enforcement, fire protection, road repair, education, etc. However, many taxes are a way for government to fund itself, as government does not make money. It must redistribute the dollars generated by the productivity of businesses and individuals through a process called taxation.
For many firms, especially small businesses, taxes are viewed as a necessary evil. Hence, efforts to increase sales and profitability are not necessarily embraced with enthusiasm. The real issue of taxes is probably fourfold:
The first issue is that taxes are viewed as an unlimited resource. When government fails to act responsibly, its first action is to raise taxes.
Issue number two is the actual use of taxes. Is government using the taxes both efficiently and effectively? Waste in government from local to national has been documented over and over again.
Especially in difficult economic times, businesses are continually being forced to reduce or cut costs to stay afloat. Yet, government continues to expand. No wonder so many business owners have resentment regarding taxes.
Third, taxes negatively affect productivity. When taxes become oppressive, individuals start rethinking why should they be working so hard while others are not?
Also, business productivity research suggests that only 25% of the employees are actively engaged on the job. The other 75% are disengaged to actively disengaged on the job. When employees do not provide an hour’s worth of work for an hour’s work of pay, the taxes from payroll to regulations still must be paid.
Fourth, the public views taxes for businesses differently. There exists an almost “They (Corporate America) can afford taxes, but I cannot” belief. In the book “Corporate Canaries,” the author makes a very valuable point: When businesses make profits, they are paying taxes. Payment of taxes is corporate citizenship.
Taxes contribute to the cost of doing business and can dramatically affect productivity. To remain profitable, businesses must look at future growth (productivity) and balance it against increased taxes.
Bottom line is that in many instances businesses are today's real tax collectors. Unfortunately, many citizens do not understand that when corporate taxes are raised, the customers will be the ones paying the taxes and productivity will suffer because businesses will engage in reduction in force to outright terminations.
Taxes The Good News and the Bad News For Increasing Business Productivity - To learn more about this author, visit Leanne Hoagland-Smith's Website.
Like this article? Share it with your friends
Cost to do business extends far beyond the standard fix costs of rent, utilities, insurance, etc. Recently, I read of these two business costs:
$7,647 regulatory cost per employee (Source: SBA)
$767,000 annual payroll cost for absenteeism for largest employers (Source: CCH Inc)
From the 30,000 viewpoint, many of the costs within these two figures can be attributed to taxes in some form or another. The word tax has Latin origins and means to determine the value of something. Unfortunately today, taxes have gone beyond appraisal and now extend into all aspects of business.
Are all taxes necessary? The answer to this is No. Yes, some taxes are vital to ensure the necessary public services including law enforcement, fire protection, road repair, education, etc. However, many taxes are a way for government to fund itself, as government does not make money. It must redistribute the dollars generated by the productivity of businesses and individuals through a process called taxation.
For many firms, especially small businesses, taxes are viewed as a necessary evil. Hence, efforts to increase sales and profitability are not necessarily embraced with enthusiasm. The real issue of taxes is probably fourfold:
The first issue is that taxes are viewed as an unlimited resource. When government fails to act responsibly, its first action is to raise taxes.
Issue number two is the actual use of taxes. Is government using the taxes both efficiently and effectively? Waste in government from local to national has been documented over and over again.
Especially in difficult economic times, businesses are continually being forced to reduce or cut costs to stay afloat. Yet, government continues to expand. No wonder so many business owners have resentment regarding taxes.
Third, taxes negatively affect productivity. When taxes become oppressive, individuals start rethinking why should they be working so hard while others are not?
Also, business productivity research suggests that only 25% of the employees are actively engaged on the job. The other 75% are disengaged to actively disengaged on the job. When employees do not provide an hour’s worth of work for an hour’s work of pay, the taxes from payroll to regulations still must be paid.
Fourth, the public views taxes for businesses differently. There exists an almost “They (Corporate America) can afford taxes, but I cannot” belief. In the book “Corporate Canaries,” the author makes a very valuable point: When businesses make profits, they are paying taxes. Payment of taxes is corporate citizenship.
Taxes contribute to the cost of doing business and can dramatically affect productivity. To remain profitable, businesses must look at future growth (productivity) and balance it against increased taxes.
Bottom line is that in many instances businesses are today's real tax collectors. Unfortunately, many citizens do not understand that when corporate taxes are raised, the customers will be the ones paying the taxes and productivity will suffer because businesses will engage in reduction in force to outright terminations.
Taxes The Good News and the Bad News For Increasing Business Productivity - To learn more about this author, visit Leanne Hoagland-Smith's Website.
Like this article? Share it with your friends
 | |
 |
No article feedback found. |
| |
Leave Your Feedback |
 | |
| |||
George LudwigGeorge Ludwig is a recognized authority on sales strategy and peak performance psychology. An international speaker, trainer, and corporate consultant, he helps clients like Johnson & Johnson, Abbott Laboratories, Northwestern Mutual, CIGNA, and numerous others improve sales force effectiveness and performance. Though it's George's strategies and processes that help corporations increase productivity and performance, it's his tremendous energy and dynamism that spark the transformation. Again and again, clients remark on his amazing ability to unleash human capacity and inspire men and women to break out of their comfort zones. The result is a whole new type of salesperson. His customized presentations teach achievers to make stunning advances in their lives. From helping salespeople realize cherished dreams to helping corporations exponentially accelerate revenue streams, George Ludwig leaves audiences and individuals empowered, emboldened, and clamoring for more. George is the best-selling author of Power Selling: Seven Strategies for Cracking the Sales Code and Wise Moves: 60 Quick Tips to Improve Your Position in Life & Business. - Visit George Ludwig's Website |
|||
David BarrDavid Barr is the President of Venture Opportunities, Inc. David has been a professional business broker/intermediary since 1980 focusing on General Business Brokerage and Mergers and Acquisitions representing client transaction value from $400,000 to $20,000,000. Mr. Barr has handled the sale of over four hundred and fifty companies. David earned a university degree from the State University of New York majoring in economics and business. David holds the Mergers and Acquisition Master Intermediary and the Certified Business Intermediary designations from the International Business Brokers Association. He is also a Senior Business Analyst and a Texas licensed Real Estate Agent. For more information about David and Venture Opportunities, visit www.bizdealmaker.com. - Visit David Barr's Website |
|||
Anne BarrAnne Barr has over 26 years experience in sales and marketing, six years as a franchisee. She has assisted over 367 business owners and purchasers to achieve their goals in career change, transition and exit strategy. She holds the designation of Certified Franchise Executive from the International Franchise Association, Certified Business Intermediary from the International Business Brokers Association and Board Certified Broker from the Texas Association of Business Brokers. Anne is active in professional organizations, networking groups and volunteers for non-profit entities. As owner/operator of four successful businesses, Anne has proven people skills and enjoys helping clients find the right "fit" in business ownership. Visit www.FranchiseOpportunitySpecialist.com for more information about me and my company. - Visit Anne Barr's Website |
|||
Casey GollanCasey Gollan, Business Coaching & Mentoring Programs. Add $1 Million to $10 Million in the next 1 to 3 years. Since 1996 Casey has to added hundreds of millions of dollars to businesses. Watch a free video see client results Business Coaching website. - Visit Casey Gollan's Website |
|||
Kim CastleWith nearly two decades in the advertising and design business, with clients like Domino's Pizza, General Motors, Direct TV, Pedigree, Wolfgang Puck, Higher Octave Music, Hollywood Celebrity Products, Disney, and Paramount, as well as thousands of entrepreneurs around the world define, structure, communicate, and position their business for greater profits, BrandU(R) co-creators Kim Castle and W. Vito Montone discovered that entrepreneurs could experience the same power that big brands command for a fraction of the cost with the world's only process-based results-drive Integral approach to business creation. BrandU(R) is helping entrepreneurs grow with the power of extreme clarity from idea...to brand...to market(TM) and helping one million entrepreneurs become successful and whole so that they can make a difference in the world. Are you one of them? If you want to experience clarity all the way to the bank(TM), get started now at http://www.brandu.com. - Visit Kim Castle's Website |
|||
Jeff FosterWebBizIdeas.com is a Minneapolis website design company founded to help people start an internet business by providing them with website, business, and internet resources that help foster the growth of successful online businesses and develop innovative Internet business ideas. We specialize in internet consulting & internet marketing. - Visit Jeff Foster's Website |
|||
David AchesonDavid Acheson is the founder of DCJA Consultancy. DCJA Consultancy is a management consultancy business specialising in B2B sales consultancy. They offer bespoke and packaged sales consultancy including Sales Optimisation Review, Interim Sales Management, Sales & Marketing Review, 1:1 Sales & Management Staff Analysis, Management Training, Solution Sales Training, Creation of New Pay Plan, KPI's, run Customer Feedback Campaigns, assist with Recruitment, Coaching, Appraisals and set up Strategic Marketing Campaigns. David spent his early career in accountancy and then moved into sales in 1982, working in Office Equipment, IT, Advertising, Training, Outsourcing and Consultancy. He has held many Senior Positions in SMBs and Global Organisations including Head of Sales Operations & Head of Business Development. His knowledge, skills and great experience of the Sales Industry has led to David making keynote speeches and running educational sessions to key businesses through organisations including The Chamber of Commerce and Business Link. - Visit David Acheson's Website |
|||
Leanne Hoagland-SmithAre your sales where you want them to be? Will you be one of the few who achieves sales or business success or one of the many who have failed to change? Are you tired of being told you are like everyone else? Then you may find my first book on sales of interest. Be the Red Jacket in the Sea of Gray Suits, The Keys to Unlocking Sales available at Amazon or at http://www.processspecialist.com/red-jacket.htm. This book is a reflection of my no-nonsense approach to improving sales to overall business results. If you are truly committed to making sustainable changes, then I can help you secure a positive return on your investment because I focus on executable solutions not telling you the problems you already know you have. From training to corporate (group) coaching to executive one on one coaching, my approach is to assess, create awareness, build a goal driven action plan and then execute. The bottom line question is "Not do you or your employees know it, but do you or they want to do it?" Please call for a free strategy session at 219.759.5601. - Visit Leanne Hoagland-Smith's Website |
|||
|
To learn more about the Evan Elite Author Program please contact us. | |||
 | |
|  |
Subscribe to Leanne's articles
 | |
|
|  |
 | |
|
| |
 | ||
 |
||
 |
||
 |
||
|
| ||
 |
| Have you written articles that would be of value to entrepreneurs? Become an expert on our site by publishing them! Expose yourself to a wide audience, drive more traffic to your website and get more sales! Click Here for details. |
|
|
 |
| Modeling the Masters: Learn the true secrets behind Walt Disney's business success factors & grow your company! Video produced by Phanta Media |
|
|
 |
"Learn straight from Evan how you can Make a Full Time Income (And More) from a Website"
Click Here To Learn More |
|
|
|
|
Get advice & tips from famous business owners, new articles by entrepreneur experts, my latest website updates, & special sneak peaks at what's to come!
|
|
 |
 Best Cover Letter Dream Boards Explode Expo Results The Flowing Point Romance to the Dance |
|
 | ||
 |
Guide To ERP Software
Business Management Software | |
 |
Top 50 Political Blogs
Top Political Blogs of 2009 | |
| ||
 | ||||
| ||||
|
| ||||
| ||||
|
|
|
|
|
|||||||||
|
Email us your ideas on how to make our website more valuable! Thank you Sharon from Toronto Salsa Lessons / Classes for your suggestions to make the newsletter look like the website and profile younger entrepreneurs like Jennifer Lopez and Sean Combs!
|
|
|
| ||||||||||||
| ||||||||||||
|
|
||||||||||||