Tax Reform ATR believes that all consumed income should be taxed one time, at one low and flat rate. Link
GET INVOLVED
ATR ON TWITTER
FOLLOW US-
Groups who advocated for the IRS to prepare tax returns sure look foolish these days: http://t.co/oKvpIofu7Y
May 13, 2013 06:30 PM
taxreformer -
"We don't need the federal government mandating additional taxes..." -@MarshaBlackburn on MFA: http://t.co/lAuLJtr5t3 #NoNetTax
May 13, 2013 06:00 PM
taxreformer -
Health insurers and businesses are already feeling the iron-clad grip of regulations in #Obamacare: http://t.co/J6dfnKqFYZ
May 13, 2013 05:30 PM
taxreformer -
Virginia Governor Bob McDonnell Signs Largest Tax Hike in Virginia History into Law http://t.co/Qd6KOFfaPv
May 13, 2013 03:46 PM
taxreformer -
Under #Obamacare, mothers have had a tougher time purchasing non-prescription, over-the-counter medicine: http://t.co/dJuaGAT9LE
May 13, 2013 02:01 PM
taxreformer -
9 out of 20 #Obamacare tax hikes have not even been implemented yet: http://t.co/opFkyf1guJ
May 13, 2013 01:30 PM
taxreformer -
.@GroverNorquist on MFA: "[The Senate] didn't ask all of the questions that needed to be asked": http://t.co/wXfkIR2Ca9 #NoNetTax
May 13, 2013 01:01 PM
taxreformer -
"When architects of #Obamacare are worried about it creating a trainwreck, you know something's gone terribly wrong": http://t.co/J6dfnKqFYZ
May 13, 2013 12:30 PM
taxreformer -
Conservative and Free Market Groups Applaud Move to Delay a Vote on Gina McCarthy: http://t.co/lNQYmJAB12 #EPA
May 13, 2013 12:02 PM
taxreformer -
The #Obamacare train wreck will derail the American economy: http://t.co/opFkyf1guJ
May 13, 2013 11:30 AM
taxreformer
Email
Print
Updated: How Much More Does It Cost to Hire a Federal Bureaucrat?
How much does it really cost taxpayers to hire one new federal employee? Conversely, how much do taxpayers save by eliminating one federal bureaucrat position?
When politicians claim that they will save money by “in-sourcing” federal functions from contractors, or will respond to some new need by expanding the federal workforce, that has a cost to taxpayers. How much is that cost?
In order to determine the cost of hiring a new federal bureaucrat, ATR has calculated the “all-in” cost of hiring a new federal employee. We include salary as well as benefits, pension contributions, training and other expenses, and payroll taxes. We assume a 40-year federal career. The numbers presented are both nominal and inflation-adjusted.
Here are the results for a low-cost, medium-cost, and high-cost employee:
| Low Cost (GS-7) | Intermediate Cost (GS-11) | High Cost (GS-15) | |
| Nominal | $4.8 million | $7.1 million | $14.1 million |
|
Inflation-Adjusted |
$2.5 million | $3.8 million | $7.5 million |
-
The federal general pay schedule for the Washington, DC area is used
-
There are separate estimates for low-cost (GS-7), intermediate-cost (GS-11) and high-cost (GS-15) employees. This was recommended as appropriate levels by former administration officials to give a sense of scope
-
The employee is assigned a “Step 5” in the GS table for a 40-year career. As employees move up the GS-scale, their steps bounce up and down.
-
In order to account for benefits, pension contributions, training and other expenses, and payroll taxes, the GS salarylevels are increased by 33 percent, which was standard budgeting practice in the Department of Labor in the Bush Administration
- The dollar value is expressed in nominal terms and after-inflation (3% historical average)
Posted by Ryan Ellis 
on Tuesday, September 25, 2012 2:37 PM EDT
on Tuesday, September 25, 2012 2:37 PM EDTTo follow Ryan Ellis's RSS feed click here. To follow them on Twitter, their handle is @ryanlellis
