Apple Music Streaming Huge Hit

Via USA Today –

One month after unveiling its new streaming music service, Apple has locked in 11 million trial members, company executives tell USA TODAY.

“We’re thrilled with the numbers so far,” says Eddy Cue, Apple’s senior vice president of Internet software and services, adding that of that sum 2 million have opted for the more lucrative family plan at $14.99 a month for up to six people.

Apple Music, which launched June 30, costs $9.99 a month for individual access to 30 million songs as well as human-curation playlists and a live radio station. There is an initial free-trial period of three months. Assuming all the trial memberships are converted into paying customers come October, Apple would already boast half the paid memberships of reigning streaming champ Spotify, which launched nearly a decade ago.

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Indiana Business Face Tax Increases

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Story that is flying under the radar could mean higher taxes for Hoosier businesses and loss of jobs. The Journal Gazette is reporting federal unemployment taxes
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Indiana in Top 10 for Tax Climate

Via The Payroll Blog

10 best business tax climates can be found in:

Wyoming
South Dakota
Nevada
Alaska
Florida
Washington
Montana
New Hampshire
Utah
Indiana

The worst tax climate states for small business, according to the report, are:

New York
California
Minnnesota
Wisconsin
North Carolina
Maryland
Rhode Island
Connecticut
New Jersey
Vermont

Cummins to Build in Downtown Indianapolis

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Officials with engine maker Cummins Inc. debuted on Wednesday its design for the global distribution business headquarters that it plans to build in the heart of Indianapolis’ downtown.

The building, which will include a 10-story office tower with 15,000 square feet of retail on the first floor and significant public greenspace, will be built on four acres where Market Square Arena previously stood. The property is bounded by Market, Alabama, Washington and New Jersey streets. Cummins agreed to buy the property from the city for $4.3 million.

Read the rest here courtesy of IBJ.com

Why Government Supports Minimum Wage Increases

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Tuesday, five states voted to hike minimum wage for workers. The common theme is that government really cares for the people. Not exactly. Government likes minimum wage increases because it means more taxes collected. Here is example:

“The minimum wage increase is not just the dollar an hour, but it’s also a raise in our taxes,” said Jason Lerner of Little Learner Academy. His family owns five child care centers in New Jersey, where the minimum wage rose from $7.25 to $8.25 on Jan. 1.
In total, these taxes add an extra 10.5% to Little Learner Academy’s payroll expenses.
Take Social Security. Employees have 6.2% of their wages withheld from each paycheck for Social Security. But what they don’t see is that their employer also chips in, matching the 6.2%. For Medicare, both the employer and the employee pay 1.45% of the wage.

Payroll taxes are a big concern when running a business. This tax is also regressive when managing a business. On top of this tax, business owners must also pay to the state disability/unemployment taxes based upon amount of employees they have.

Many years ago I had a boss tell me that payroll is the #1 controllable expense. When payroll goes up and sales don’t, payroll gets slashed.

Indianapolis Star: Gas stations bring crime and unhealthy food

Sunday addition of Indy Star brought about some reveleations that even stunned me. Not so much of its trueness but of its complete idiocy of accusations. According to Indy Star writer Erika Smith, Gas stations bring crime. The plot of the article is some neighbors in the area on the West side are not liking the growing number of gas stations popping up.

For the past five years, these businesses have been moving into this urban core neighborhood and others at an alarming rate: 10 stations within a two-mile radius along the high-traffic corridors of West Washington, West Michigan and West 10th streets

So what are the main reasons to not like gas stations now?

The problem isn’t so much with the gas that the stations sell, but with the crime they attract and the convenience stores that come with them. Full of cheap, unhealthy food and paraphernalia that people use for illegal drugs, the businesses are easy money makers in neighborhoods bereft of grocery stores and wracked by poverty.

She goes on to state as an example Rural/New York Street where there is a gas station. It had 900 calls over 10 years Smith states. I looked at that area for the month of May/June. Closest crime listed there through Spot Crime is three blocks east and IMPD labeled that as “Other”. Smith also goes on to state that those gas stations builders are following those pesky zoning laws:

The hangup is a mix of outdated zoning laws, neighborhoods that for years have been empty of vocal stakeholders, and the profitable business model of opening gas stations and convenience stores in poor urban areas.

Read the rest of the article if you want to see Academy award winning emotions for “Social Justice”. My job on this blog is to use Austrian thinking to rip apart crap published like this. Overall Smith’s biggest problem is the profit side of these gas stations. I can’t explain why she doesn’t like them, she just doesn’t. She will go to great lengths to demonize them to her audience. What Erika Smith doesn’t address from an economic standpoint is the amount of investment from investors or banks that go into building, remodeling or stocking a gas station. It takes great preparation of studying the area to see what needs are to be met. If it’s a poor area, countless economic writers have written about grocery stores leaving those areas because it’s 1) Too Risky & 2) Not profitable. What Erika Smith needs to do is kiss the feet of gas stations that open up in poor areas. Because without them, those in the X number of square block area wouldn’t have access to supplies the gas station has in stock.

I really don’t debate the “unhealthy food” scapegoat anymore. In this day and age, if you haven’t picked up the difference of bad or good food, then there isn’t much hope for you. Smith has stated in other articles throughout the years that some sort of organization through government needs to teach people on how to cook. She basically went full communist mode at that point.