(February 12, 2013 at 6:43 pm)Ryantology Wrote: 1. Minimum wage earners still pay income taxes in the US.
(I am not in disagreement with your post, just wanted to clarify this point).
Some (perhaps most?) don't. The situation is more complex in reality.
A single (no kids) filer working full time at the US Federal minimum wage will owe 10% tax on about $5300 in taxable income.
A single parent with one qualifying child who can file as head of household will pay no tax, but will instead get a check of about $4000 in the form of the Earned Income Credit and Child Tax Credit.