Global News Radio 640 Toronto had questions about the Minimum Wage Increase

Jan 11th, 2018 – Comment

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Andrew wanted to know how many people were earning minimum wage in Ontario?

 

According to the research from the Wellesley Institute which might be a bit dated but the information is informative

 

Share of Minimum wage earners (MWE) in 2003 – 4.3% increasing to 9% at the end of the survey period which I believe was 2011

Composition of MWE – Women  – Minorities – Immigrants

60% are students

40% are 25+ for a total of 183,000 over the survey period

OF NOTE! THERE WERE ANOTHER MILLION WORKERS earning  between $10.25 and $14.25 per hour over the survey period

It looks like the 1 million workers were the real target of the increase in minimum wage – bump them up and buy their votes would be the analysis.

 

What about the governments scrape on the increase?

 

Simple math conducted by yours truly using this calculator

 

https://www.paymentevolution.com/payrollcalculator

 

Please feel free to crunch the numbers your self

 

Assume 35 hours a week @ $11.60

Gross income = $406

Tax ( FED AND PROV) = 53.91

NET = $352.09

Employer Remittances ( CPP + EI + Withholding) = $80.12

 

@ 14.00

Gross Income = $490.00

Taxes = $79.67

Net Income = $ 410.23

Employer Remittances = $111.97

 

Increase in Taxes Collected   79.67 – 53.91 = $25.76

25.76/53.91 X 100 = 47.78%

Increase in Employer Remittances =    $111.97/ 80.12 X100 = 31.85%

 

Increase in Net income for The MWE = $410.33 – 352.09X 100 = 16.54%

 

FOLLOW THE MONEY AND THE STORY TELLS ITSELF!

 

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