The Day of the Cost Increases for Businesses and Individuals in Washington State

July 1 is a very important day in Washington State. It is the day that costs increase, reliably, year after year, with no endpoint. First, the standout increase that affects every single resident of Washington State. That is the increase in the gas tax. Last year, the Democrat Legislature passed a law that increases the state gas tax 2% per year, every year, in perpetuity. And the legislature, in the design of the law, actually made the total increase larger every year, since the 2% increase calculates from a higher base each year. By Year 5, the total increase will be 8.3%.

Here are the new rates for the next few years: 2027: $.576 2028: $.588 2029: $.599 (Or $.60, depending on rounding)

So, regardless of the market price of gasoline, Washington’s yearly tax increases will continue to hit everyone with a higher cost of living. Even if you don’t have or drive a car, EVERYTHING you buy gets to market on gas or diesel-powered vehicles, and delivery companies will increase their prices accordingly.

The next Regular Increase is in the Minimum Wage. My city of Everett has just increased their City minimum wage. And there is a three-tiered wage rate table too, depending on business size. So if a business adds employees, their minimum wage rises accordingly, putting a penalty on employment. It has already been shown that that scheme holds back business expansion, especially for businesses in the Hospitality sector who employ lots of lower-wage workers. Instead of adding that additional employee (like #16 taking you from a small to medium-sized employer), those businesses automate processes or change work shifts for existing employees. Jobs are simply not added, and things stagnate instead of growing. Everett’s new minimum wage for medium-sized businesses is $19.77 per hour. The wage rate rises, but productivity does not. It simply adds to a firm’s costs of doing business, and adds to consumer prices at those businesses as they pass their higher costs along to their customers. Or they simply close. Since Washington and its cities have added above-market minimum wages, countless firms have closed, and the news shows more and more each day.

Also, Everett’s minimum wage is the fifth highest of all cities in America. The kicker? The top four are also in Washington State!

The State has done the same thing.

Welcome to Washington, the State with the ever-rising prices and cost of living. It’s baked in. You have no recourse. Because:

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