The Sa Wasteland

[PREISS]

On another note.

someone remind me im cooking something.

Ill probably burn the house down cuz I wont check it.

[heslo]

You're cooking something Craig

[kralster]

Sorry for the coming long post, but I received this excellent 'on topic' email from my Mum just yesterday .... unfortunately I think a lot of guys on here will experience this in the coming 2 years of recession under the Krudd government.

The moral of the story is that rather than give below average income earners $1k to blow on pokies, booze, turbos etc (which is exactly what happened last handout and only benefited the hoteliers of Adelaide, not the economy in whole whatsoever), the govt should ease tax on businesses, so that 1. they manage to stay in business through the tough times, and subsequently 2. many people actually keep their jobs as a result of the businesses not going under and massively effecting the economy.

The story goes like this :

"A Boss Who Tells It Like It Is"

Date: Sat, 03 Jan 2009

To All My Valued Employees,

There have been some rumblings around the office about the future of this company, and more specifically, your job. As you know, the economy has changed for the worse and presents many challenges. However, the good news is this: The economy doesn't pose a threat to your job. What does threaten your job; however, is the changing political landscape in this country.

However, let me tell you some little tidbits of fact which might help you decide what is in your best interests.

First, while it is easy to spew rhetoric that casts employers against employees, you have to understand that for every business owner there is a back story. This back story is often neglected and overshadowed by what you see and hear. Sure, you see me park my Subaru Outback outside. You've seen my big home at last year's Christmas party. I'm sure all these flashy icons of luxury conjure up some idealised thoughts about my life.

However, what you don't see is the back story.

I started this company 28 years ago. At that time, I lived in a 2 bedroom flat for 3 years. My entire living area was converted into an office so I could put forth 100% effort into building a company, which by the way, would eventually employ you.

My diet consisted of baked beans, stew and soup because every dollar I spent went back into this company. I drove a rusty Toyota Corolla with a wonky transmission. I didn't have time to go out with women. Often times, I stayed home on weekends, while my friends went out drinking and partying. In fact, I was married to my business -- hard work, discipline, and sacrifice.

Meanwhile, my friends got jobs. They worked 40 hours a week and made a modest $50,000 a year and spent every dime they earned. They drove flashy cars and lived in expensive homes and wore fancy designer clothes. Instead of hitting the David Jones for the latest hot fashion item, I was trolling through the discount store extracting any clothing item that didn't look like it was birthed in the 70's. My friends refinanced their mortgages and lived a life of luxury. I, however, did not. I put my time, my money, and my life into a business with a vision that eventually, some day, I too, will be able to afford these luxuries my friends supposedly had.

So, while you physically arrive at the office at 9am, mentally check in at about noon, and then leave at 5pm, I don't. There is no "off" button for me. When you leave the office, you are done and you have a weekend all to yourself. I unfortunately do not have the freedom. I eat, and breathe this company every minute of the day. There is no rest. There is no weekend. There is no happy hour. Every day this business is attached to my hip like a 1 year old special-needs child. You, of course, only see the fruits of that garden -- the nice house, the Subaru, the vacations... you never realise the back story and the sacrifices I've made.

Now, the economy is falling apart and I, the guy that made all the right decisions and saved his money, have to bail-out all the people who didn't. The people that overspent their pay suddenly feel entitled to the same luxuries that I earned and sacrificed a decade of my life for.

Yes, business ownership has is benefits but the price I've paid is steep and not without wounds.

Unfortunately, the cost of running this business, and employing you, is starting to eclipse the threshold of marginal benefit and let me tell you why:

I am being taxed to death and the government thinks I don't pay enough. I have state taxes. Federal taxes. Property taxes. Sales and use taxes. Payroll taxes. Workers compensation. Unemployment taxes. Taxes on taxes. I have to hire a accountant to manage all these taxes and then guess what? I have to pay taxes for employing him. Government mandates and regulations and all the accounting that goes with it, now occupy most of my time. On Oct 15th, I wrote a cheque to the Australian tax Office for $288,000 for quarterly taxes. You know what my "stimulus" cheque was? Zero. Zip. Zilch.

The question I have is this: Who is stimulating the economy? Me, the guy who has provided 14 people good paying jobs and serves over 2,200,000 people per year with a flourishing business? Or, the single mother sitting at home pregnant with her fourth child waiting for her next welfare cheque? Obviously, government feels the latter is the economic stimulus of this country.

The fact is, if I deducted (Read: Stole) 50% of your pay you'd quit and you wouldn't work here. I mean, why should you? That's nuts. Who wants to get rewarded only 50% of their hard work? Well, I agree which is why your job is in jeopardy.

Here is what many of you don't understand ... to stimulate the economy you need to stimulate what runs the economy. Had the government suddenly mandated to me that I didn't need to pay taxes, guess what? Instead of depositing that $288,000 into the Canberra black-hole, I would have spent it, hired more employees, and generated substantial economic growth. My employees would have enjoyed the wealth of that tax cut in the form of promotions and better salaries. But you can forget it now.

When you have a comatose man on the verge of death, you don't defibrillate and shock his thumb thinking that will bring him back to life, do you? Or, do you defibrillate his heart? Business is at the heart of Australia and always has been. To restart it, you must stimulate it, not kill it. But the power brokers in Canberra believe the poor of Australia are the essential drivers of the Australian economic engine. Nothing could be further from the truth and this is the type of change you can keep.

So where am I going with all this?

It's quite simple.

If any new taxes are levied on me, or my company, my reaction will be swift and simple. I fire you. I fire your co-workers. You can then plead with the government to pay for your mortgage, your 4WD and your child's future. Frankly, it isn't my problem any more.

Then, I will close this company down, move to another country, and retire. You see, I'm done. I'm done with a country that penalises the productive and gives to the unproductive. My motivation to work and to provide jobs will be destroyed, and with it, will be my citizenship.

So, if you lose your job, it won't be at the hands of the economy; it will be at the hands of a politicians that swept through this country changed its financial landscape forever. If that happens, you can find me sitting on a beach, retired, and with no employees to worry about ....

Signed,

Your boss

Hahahahah thats such a high horse.

If he like ask him if he'd rather own his business and pay all this tax and whatnot OR alternatively give him the choice to be a single pregenant stay at home mum on the dole. I think I can guess what option he will choice.

Rich people always complain about all the tax they have to pay. I'd be more than happy to swap my salary with someone on 100,000+ and pay their tax. And they can pay my lower tax rate.

[PREISS]

You're cooking something Craig

Cheers. just got it in time.

[gtrkiet]

i have a R34 rb25neo Blitz pod filter and was wondering if it would fit on a RB20det bracket??

[AndrewJZX100]

I think you misunderstood his point Karl, he is saying his BUSINESS has to pay a rediculous amount of taxes, not his personal income. He is annoyed with this, not (entirely) because it takes away from his income, but because it makes it hard for his business as a whole to stay afloat. This affects his employees, who in turn watch their money because of job insecurity, which affects other businesses who are now losing some of their income from those who would normally spend freely.

The trickle down effect of this is much greater than a few mothers struggling.

Put it this way, a lot of those mothers would have been employed before they fell pregnant yes? The reason they may be struggling is because they were laid off/had to take unpaid leave because their employer wasn't in a position to pay them maternity leave (due to having to pay so many taxes). If the businesses were looked after, they would be in a better position to offer maternity leave and a lot of those sturggling mothers wouldn't be in the position they are now.

Please note, this is a simpleton's thought process and is no way meant to imply extended knowledge of the economic climate in Australia

[PREISS]

^ This big letter . What sort of business was it ?

50% of small business go bust in the first year. Maybe some busienss starters should gather more information before jumping into ownership.

[AndrewJZX100]

Not entirely sure what type of business it was, I don't think he mentioned it actually.

[Damo_R34]

anyone watching wipeout Australia? FUNNAY!!!

[Nightcrawler]

Hahahahah thats such a high horse.

If he like ask him if he'd rather own his business and pay all this tax and whatnot OR alternatively give him the choice to be a single pregenant stay at home mum on the dole. I think I can guess what option he will choice.

Rich people always complain about all the tax they have to pay. I'd be more than happy to swap my salary with someone on 100,000+ and pay their tax. And they can pay my lower tax rate.

Yeah, I have it sooooo easy having foregone 3 years of salary and accumulated a $30k debt to put myself through Uni (after doing year 13 to boost my Uni entry scores - sacrificing another years income). For the privilege of now working 80+ hours a week (for a very nice income) - but, only to pay around 35% of it straight back to the Government to blow how they please. So my first 52 hours of work a week I actually get income for - the other 28 hours I work to pay tax. How many hours total do you work in a week Karl? And how many years of income did you forgo to get an education to be where you are now?

I am still working as we speak, and have around 4 hours more of reports still to type tonight. Still want to trade places with me? What time did you get home from work and what have you been doing since then? I have seen my wife and child or a total of 30 minutes tonight while I scoffed down some dinner. This is how a normal day for me pans out .... yeah, I am soooo lucky and rich ....

But yes, I do have a nice house, great toys and go on great holidays. But it comes at a huge lifestyle cost.

So, you should go out and not earn any income for years and years to get a degree, and finally you may one day be in a position to earn plenty of money and become just as jaded as me

[PREISS]

Yeah. I went of topic abit. Im not saying this guy in the letter didnt know his stuff.

I agree the taxes do seem over the top.

Just wanted to bring up the point of owning a business. 50% bust in first year.

supply and demand

[AndrewJZX100]

Well, this is where I get off the serious train.

I work < 20 hours a week at a cruisey job and get enough to keep myself alive and have some fun and thats all I need for now

Edited February 3, 2009 by AndrewJZX100

[Nightcrawler]

Some very interesting points made here (I think/hope people can see this without having a Facebook account):

http://www.facebook.com/group.php?gid=2243511035

[typevu]

When is the next election? Anyone know?

[heslo]

Hehe, I'm a member of that group Andrew... in all seriousness though, you are right. You've busted a nut to get where you are today, nothing has been handed to you and you are doing well for yourself (deservedly so) but it still seems as if because of all this hard work you are being penalised so to speak by the government for actually having a work ethic and getting off your ass to better your lot in life.

While I haven't gone to uni for 3 years (I did do one full year) I dropped out and did 4 years of trade school and have been very lucky to have an awesome boss who has entrusted his legacy (business) upon me. Sure, that part came easy to me, but I work 6, often 7 day weeks, 10-12 hour days (between work and setting up for other jobs) Only problem is, it all seems in vain, sure I have nice toys, good prospects but it really hurts when you see a great portion of your money pissed away in taxes.

I have lots to say on this matter, too much to post here and I don't really feel like going into it and boring those who don't want to listen. Those who agree with me know how I feel and why I feel it...

[Damo_R34]

yep i agree Heslo, a third of my fortnighly pay goes to tax.

[Import S13]

i rekon everyone should get the extra 1k. i dont see why just the lower income earners should.

my parents have been shafted everytime with this kinda stuff because they earn to much and my dad hardly gets to see his family becasue he working way to much.

ill be using this extra 1k (if i get it )to get the rest of my licences to better myself and get a decent job. i understand that some families mess this up and spend it on drugs, pokies or booze but some will use it to better themselves to get to a decent earning job to buy a house or something along those lines.

Edited February 3, 2009 by Import S13

[SLED]

Hahahahah thats such a high horse.

If he like ask him if he'd rather own his business and pay all this tax and whatnot OR alternatively give him the choice to be a single pregnant stay at home mum on the dole. I think I can guess what option he will choice.

Rich people always complain about all the tax they have to pay. I'd be more than happy to swap my salary with someone on 100,000+ and pay their tax. And they can pay my lower tax rate.

"shakes head" lol Karl, such a simplistic response..........you clearly have never run a business that you personally built from the ground up with several employees otherwise you would have a better appreciation for your employer.

As I said before, the majority of Aust is employed by small business (fact)....shaft small business and you'll have nothing to complain about.....cause you'll be on the dole queue.

http://www.news.com.au/adelaidenow/story/0...8-22202,00.html

here it is

that's a brilliant article.....I'm keeping it. I love how Rudd criticizes other leaders that have the runs on the board when he should consider retiring at a cabin on the Murray to write his memoirs.....he seems to be a good author judging by his priorities last Christmas.

Here's an excerpt from that article that relates:

He condemns Mrs Thatcher and Reagan (and of course John Howard) for their economic policies, which is interesting. He wants to re-regulate the economy and get politicians back in tighter control of our lives. This is Mr Rudd's first major political mistake.

but what can we do about it? the Majority of the population voted him in!

and I'd love to say I told you so..........but no one listened, they were more concerned about the 'people overboard' saga

[Dohmar]

i rekon everyone should get the extra 1k. i dont see why just the lower income earners should.

my parents have been shafted everytime with this kinda stuff because they earn to much and my dad hardly gets to see his family becasue he working way to much.

ill be using this extra 1k (if i get it )to get the rest of my licences to better myself and get a decent job. i understand that some families mess this up and spend it on drugs, pokies or booze but some will use it to better themselves to get to a decent earning job to buy a house or something along those lines.

I'm still pissed I didnt recieve a baby bonus.

-D

[skyhighR33]

kye when you do jump into a decent job i suggest you get yourself a citb number it allows you to get licenses and do courses really cheap, a truck lidcense say costs you 1800 with this it will cost you bout 900. have a look at it it should help you out a fair bit, even as an apprentice you can get one, im only 2nd year soon to be 3rd and im going to use it to get every liscense i can.

cheers... michael http://www.citb.org.au/ i hope this is to some use for you and good luck