Math doesn’t add up for teacher’s arguments

Dear editor,

Regarding Dominique McGrady’s letter: Budget offensive to teacher (Feb. 24 Comox Valley Record), Dominique is quoted as saying in her comments about education in the B.C. budget: “It does not cover the four per cent rise in MSP premiums.”

I find this comment amusing but also insulting. Dominique makes a comment that with the increase in medical service plan premiums, it is going to cost the school district more money that they cannot afford. She apparently does not know that there are two sides to the ledger. All MSP premiums paid on behalf of all school board employees must be added to their paycheques as a taxable benefit. The taxable benefit is added to their gross pay, and they will pay income tax, Canada pension and unemployment insurance on the total earnings. This is legislated law under the Canada Revenue Agency. As the total deduction amount will now increase, the total net earnings of the payroll will decrease. The payment of more medical service premiums offsets with the lower net earnings amount clearing the bank account. I suggest Dominique to sit down with the school board accounting department so that they can show her how this works, because her recent comments are bogus, and create propaganda, which seems to be the norm these days.

She fails to realize that the readers were not born yesterday.

Joe Sawchuk

Duncan

 

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