Maximum Wage

I was discussing this with a friend the other day, and was wondering how others felt about this. We here in the U.S. (and also other countries) have the Minimum Wage that workers must be paid. We were discussing a Maximum Wage, basically capping salaries at $10million a year, with bonuses. I find it fairly ridiculous that some people are making 40-50 Billion a year, while others are working 3 minimum wage jobs just to support their family.

An idea we came up with was the Wage cap, which would cap what any job could pay someone a year. This would not affect outside investments, ie, stock market and investments. The idea came about after talking about "Trickle Down Economics". We know that the lower paid workers generally spend all of their paycheck every month, with very little going in to savings. This would basically be the exact opposite, or "Trickle Up Economics". With the spending habits of the lower and middle class, would this not help stimulate the economy now, by more money being spent (instead of saved or invested) by these two classes?

I know the rich would freak out about it for sure. I am sure there are downsides as well as upsides to this idea. It was just something we were kicking around.

Originally posted by Vizzle
I was discussing this with a friend the other day, and was wondering how others felt about this. We here in the U.S. (and also other countries) have the Minimum Wage that workers must be paid. We were discussing a Maximum Wage, basically capping salaries at $10million a year, with bonuses. I find it fairly ridiculous that some people are making 40-50 Billion a year, while others are working 3 minimum wage jobs just to support their family.

An idea we came up with was the Wage cap, which would cap what any job could pay someone a year. This would not affect outside investments, ie, stock market and investments. The idea came about after talking about "Trickle Down Economics". We know that the lower paid workers generally spend all of their paycheck every month, with very little going in to savings. This would basically be the exact opposite, or "Trickle Up Economics". With the spending habits of the lower and middle class, would this not help stimulate the economy now, by more money being spent (instead of saved or invested) by these two classes?

I know the rich would freak out about it for sure. I am sure there are downsides as well as upsides to this idea. It was just something we were kicking around.

edit on 11-11-2010 by Vizzle because: (no reason given)

I got a great idea. Remove legalized counterfeiting in FIAT currency and remove the government. Ban private ownership of public infrastructures(unless they are a publicly owned coop). Re-institute the gold/silver standard to money.

you will get crucified on here for daring to speak out against the rich, after all, rich people worked hard for their money, and all poor people are just lazy democrats seriously tho, i think government needs to be more fiscally responsible. they need to cut out as much unneccesary spending as possible and reinvest into education. i also feel more profits should go to the "lazy employees" and stop giving all the profits to management, ceos and speculating investors.

It's a very interesting idea. In effect, you'd be cutting off the pyramid scheme at its knees.

This cap would include multiple incomes for one person too. Rich fat-cats like to be CEO's here, Board Members there, Rich investors over there, etc. ALL OF THAT INCOME would be capped at $10 million, and the rest goes to paying off the National Debt, School Teacher salaries, the general Social Security fund, and INCREASING salaries for the rest of us.

It would be AWESOME.

Originally posted by harrytuttle
It's a very interesting idea. In effect, you'd be cutting off the pyramid scheme at its knees.

This cap would include multiple incomes for one person too. Rich fat-cats like to be CEO's here, Board Members there, Rich investors over there, etc. ALL OF THAT INCOME would be capped at $10 million, and the rest goes to paying off the National Debt, School Teacher salaries, the general Social Security fund, and INCREASING salaries for the rest of us.

It would be AWESOME.

what happens when the you have thousands of equally greedy "maxed out" people try to leech off non-maxed people to create more maxed out people?

reply to post by Vizzle


even $10 million dollars a years is way more than it needs to be in my opinion...

stop paying actors and athletes millions of dollars a year and lower the cost of theater tickets, dvd sales, and seats at a local game.

as far as bonuses go, I think that a CEOs bonus should not exceed the bonuses that are given to all other emplyees of that company. then at least if he's given a 3 million dolar bonus a year, you know that at least 3 million dollars also went to the peon employee that did most of the work anyways


and while we are on the topic of wages, make it so that any public official is only earning minimum wage as well(salary @50 hours per week = approximately $21k a year, most of them already come from sucessful buisinesses and or rich families at this point) ... at least then we would know that they are in office to actually serve the people as opposed to just living a lavish lifestyle that most of our officials are living now

A cap at 10 million? GEE, HAVE SOME COMPASSION, will you!!!!

If you cap salaries at 10 million, how the HECK will those folks be able to survive, huh?

The NERVE of you to suggest that they live without being able to buy brand new yacht's, Mercedes, personal jets, and other other luxury items and toys every few months?? They cant survive living like that, THEY CANNOT!! Shame on you!!

If these folks are capped like you discuss, then they would not be able to buy their luxury items at the same pace as the commoners change their underwear!! How do you expect them to live like that, HUH? For every time you change your drawers, they need to buy something that costs your annual salary. If you cap them, then WHERE IS YOUR COMPASSION, HUH?

(Written with a wee bit of sarcasm, just a tad)

Maybe the Dallas Cowboys need a reduction in pay for such a horrid season...

The flaw is that if someone reaches a cap, his incentive to work more and improve his company further (and the whole economy with it) will be greatly reduced. Why not just progressive taxation based on continuous formula, not income brackets? That way, incentive to work more is still there (his income would always increase if he works more, albeit ascending at slower rate), and the whole society will get a share from the individuals excess wealth. Maybe coupled with (again continuous) negative income tax for poor and middle class, it would be far more effective IMHO.

10 million a year i could put a number of people to work.

100 million i could put many more people to work.
Yes i would make more money the more people i put to work.
yes i know of good ways to make money in the US.
Building and operating solar power plants in the desert of Calif would make good money.
and yes i would make even more money.
But those people working building and operating the solar plants would spend there income and that would put more people to work.

This is what the big corporations in the US do not understand when they export jobs to China or India.

The loss of jobs in the US means less income in the US this means less products made in the US and less jobs in the US and less income in the US to buy US products. and this means a loss of jobs in the US.

So far the US government does not understand this as they keep making rules regulations and laws that drive companies and money out of the US.

Now you have more jobs in China meaning more income in China meaning more products made in China meaning more income in China to buy products made in China.

You must know economics to understand why the US is not working.
This will tell you why the democrats have a plan that will drive more jobs and money out of the US.

Can anyone out there tel me how in hell the democrats making more environmental, cap and trade, anti business and regulatory laws is going to increase jobs in the US.
They may make a few but at the cost of many more.
In the long run we will lose more jobs then we gain.

Oh by the way no one should ever win the lottery and get over 1 million.
If the winnings are over 1 million all the money over 1 million should be giving to the poor.

Ok OK its MEN that are in the financial seats... I REALLY think if a group of really frugal poor WOMEN were put into a think tank... and then another "working womens group" above that, then ONE MORE professional womens group that is put into place all the way to the top, REMOVE THE FEDS then the countrys financial woes are gone... Tell me how many women at the top are responsible for these financial problems?????? I cant hear you......????????

So, again IMHO!!!! Put together a real real peoples group that has known poor, and understands that there
ARE OTHER DECISIONS TO MAKE RATHER THAN TO JUST SPEND SPEND SPEND.... men move over and give a tightwad housewife the chance to fix this country

(with real training... and assistance explaining why $1 billion is needed for funding on mosquitoes knee joint research) I think a few tightwad frugal woman will put usa back on track!!!! .. LOL... at least its something to consider!

I think the only way that would work is if you somehow sealed every loophole for people to swap equity. Yes, you can cap someone salary, but what happens when someone gives them a house, plane, or boat worth 20 million.

reply to post by Vizzle


This is the dumbest idea I have ever heard, and I've read a lot of dumb stuff on ATS.

First no one makes 40 billion per year. Not a single person.

As for the rest........

Welcome to a little something called freedom. Ever heard of it?

reply to post by bluestar.ranch


No women were involved because they are too busy nagging each other about trivial crap.

Thats exactly why.

So someone other than the individual gets to decide how much a person can make.

Does that mean I can arbitrarily decide that YOU make too much and cap your salary at 40K/year?

Communism, socialism, fascism. . . . .

A rose by any other name would smell as sweet.