Minimum wage politics are really a stealthy tax grab
By Andrew Gruel
Published on April 4, 2026.
The article argues that minimum wage politics are often a stealthy tax grab, claiming that workers are struggling while business owners are profiting from profits. The author argues that when wages go up, payroll tax collections rise, these increases compound quickly. If the true goal is to help workers, the simplest solution would be to cut payroll taxes. This would put more money directly into workers’ pockets, reduce pressure on small businesses, and avoid forcing price hikes on consumers. However, this approach does not generate new revenue for the state. California has already been criticized for not reducing taxes on tips, which have resulted in thousands of dollars per year that could stay in workers' pockets instead going to the state and instead go to taxpayers. The article also notes examples of waste and mismanagement in public programs and public infrastructure projects.
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