Betting on America’s Workers
Las Vegas is a city built upon optimism and hope.
Each day, hundreds of thousands of Nevadans welcome tourists from all corners of the globe, demonstrating how American hospitality, entrepreneurship, and work ethic continue to represent some of the greatest strengths that our country possesses. In casinos, restaurants, hotels, and small businesses, the service-based economy of Nevada continues to flourish because millions of Americans believe that hard work can make their dreams a reality.
President Trump's visit to Las Vegas represents an occasion to acknowledge a philosophy of economics that places more trust in the worker than in Washington. His administration recognizes that the first step toward economic success is keeping money in Americans' pockets.
Federal tax policy has a history of taxing success instead of rewarding it. The American who worked overtime, the server whose income was reliant on tips, and even the retiree who contributed for decades to Social Security all too often found themselves giving more money away to the federal government from each check instead of using it towards their families or their future.
The Working Families Tax Cuts change this.
The wildly-popular “No Tax on Tips” measure has provided real relief for over 440,000 tipped workers just in Nevada. In the state where the policy gained national prominence, workers have saved an average of $10,000 in this year’s filing season alone. For many families, this is more than just a tax break. It is debt repayment, savings, a college fund, or even a long-overdue family vacation.
The same logic is applied to overtime pay, where around 150,000 Nevada workers received an extra $3,000 due to the federal government compensating extra work rather than taxing it. An additional 500,000 Nevada senior citizens did not have to pay federal income taxes on their Social Security checks, making it possible for the retirees to enjoy a bigger chunk of what they earned throughout their lifetime.
The effect is clearly visible from a broader perspective as well, where the average federal tax refund for the residents of Nevada increased by 15 percent to reach $4,193 per taxpayer. In addition, the Working Families Tax Cuts saved Nevada from losing $10 billion of economic production and $5 billion in wages.
Companies will make investments when the government develops a climate where growth is encouraged, not penalized. Employers in hospitality, construction, transportation, and small business alike have dealt with years and years of red tape, permitting delays, and regulatory cost burdens that prevented them from using their time or resources on hiring more workers or better serving customers.
Simplifying unnecessary bureaucracy is not about getting rid of all safety measures. Rather, it is about acknowledging that every minute wasted filling out forms is a minute that could have been better spent taking care of customers, growing the business, or helping workers. Free enterprise succeeds when entrepreneurs focus on being innovative rather than on following regulations that do not add much value.
It has always been a cornerstone of the economic development model developed by the Lafayette Partnership. The market works most efficiently when the government provides sound regulations, enforces property rights, and lets companies and workers succeed through innovation and competition. Prosperity is achieved through bottom-up, individual choices, not through top-down regulation by federal agencies.
Las Vegas has always been a place that rewards hard work. It is a community where grit, determination, and optimism play a part of everyday existence. These traits have long characterized the U.S. economy.
A visit by President Trump serves as a reminder that when government reduces taxes, cuts the bureaucracy, and lets people take home more of their earnings, prosperity not only comes in the form of economic numbers but by transforming lives.