The ruling Conservatives brought down their budget. This document does little or nothing for eighty five percent of Canadians.
I would like to be able to compare the major party platforms but so far only two of the parties have issued their platforms, the Conservatives and the New Democratic Party.
What I would like to do is compare the platforms against each other.
Wages: 40 hour work week.
The Conservatives did not introduce a minimum wage. The BC minimum wage is $10.75 an hour. Basted on a 40 hour work week computes to $21,560 per year gross. Also add four per cent holiday pay of $862.40 give us a yearly gross of $22,422.40.
The New Democrats introduced a minimum wage of $15 an hour which computes to $31,200 per year also 40 hour work week, plus four per cent holiday pay of $1,248. This person under NDP government will gross $32,448. Under present tax acts this worker will pay $3,747.20 federal and $1,816.08 provincial tax.
Costs:
income Tax: The individual making $10.75 an hour. Revenue Canada told me this person would pay 15 per cent tax so this would calculate out to $3,363.36 federally and $1,255.55 provincially.
Under the NDP wage policy of $15 per hour, this worker will pay $4,866.20 federal tax and $1,817.09 provincial tax per year.
Canada Pension Plan: The person grossing $22,422.40 will pay $1,109.89 per year. The person grossing $32,448.00 will pay $1,596.07 per year.
Unemployment Insurance Premiums: The worker making $22,422.40 will pay $321.54 per year. the worker making $32,448.00 will pay $880.04 per year.
Yearly Net Income: The worker making $10.75 per hour will have $6,050.34 deducted off his or her pay cheque, giving them an annual income of $16,372.06.
The worker making $15 per hour will have had $8,603.34 deducted, giving them an annual income of $23,844.66.
Lets give this person a yearly budget:
Rent $700 per month works out to $8,400 per year.
Food $400 per month $4,800 per year.
Communication $100 per month $1,200 per year.
Utilities $100 per month $1,200 per year.
Transit $100 per month $1,200 per year.
Other items that need to be budgeted for clothing and oral health: $200 a year.
The worker with the net income of $6,372.06 bills come to $17,000.
The worker with a net income of $23,844.66 after the bills are paid will have $6,000 left over.
With this budget, starting in July parents of children will start receiving $200 per child per month. This will be added to your gross income tax.
According to many economists, the only people to have tax reductions from this budget are the top fifteen per cent of Canadians.
They also increased the Tax Free Savings Allowance from $5,500 to $10,000. According to these same experts most Canadians hold TFSAs have not maximized the $5,500 a year. The only people being able to do this are the top fifteen per cent. These same individuals likely have maxed out their Registered Retirement Savings Plan. Well good on them.
To this budget I give a failing grade.
Stan New
Prince George
