Wells Fargo CEO admits he won’t use his tax windfall to create more jobs

Can you still picture that money trickling down?

In an interview with CNN Money, Wells Fargo CEO Tim Sloan made it clear what he plans to do with the corporation’s tax windfall — and it doesn’t benefit the average American worker.

“Is it our goal to increase return to our shareholders and do we have an excess amount of capital? The answer to both is, yes,” Sloan told CNN Money. “So our expectation should be that we will continue to increase our dividend and our share buybacks next year and the year after that and the year after that.”

And it’s not just Wells Fargo that stands to benefit. Goldman Sachs could also see a tax break worth up to $6 billion dollars from the GOP tax bill.

thinkprogress.org...

That $1.5 trillion deficit is looking like a giant bottomless pit I tell ya. There's already a wide consensus among various economic groups, individuals, that this tax plan will do little to nothing to benefit the economy as a whole let along the lower classes. This is just a kickback for the rich.... plain and simple. Not sure what more evidence people want. Straight from the horses mouth.

originally posted by: Southern Guardian
Can you still picture that money trickling down?

In an interview with CNN Money, Wells Fargo CEO Tim Sloan made it clear what he plans to do with the corporation’s tax windfall — and it doesn’t benefit the average American worker.

“Is it our goal to increase return to our shareholders and do we have an excess amount of capital? The answer to both is, yes,” Sloan told CNN Money. “So our expectation should be that we will continue to increase our dividend and our share buybacks next year and the year after that and the year after that.”

And it’s not just Wells Fargo that stands to benefit. Goldman Sachs could also see a tax break worth up to $6 billion dollars from the GOP tax bill.

thinkprogress.org...

That $1.5 trillion deficit is looking like a giant bottomless pit I tell ya. There's already a wide consensus among various economic groups, individuals, that this tax plan will do little to nothing to benefit the economy as a whole let along the lower classes. This is just a kickback for the rich.... plain and simple. Not sure what more evidence people want. Straight from the horses mouth.

I'm saving at least $3k next year it this passes. That's not chump change.

We are talking about a bank here, not a manufacturing business. He may invest the savings into more technology to replace jobs of workers though. That money will definitely create jobs in China or increase salaries at technology companies..

a reply to: Southern Guardian

Of course the major portion of tax savings to corps will not create US jobs, it will increase already very very good profits.

The jobs left the US because of cheap labor-doesn't matter if it is factory or computer programmers. Cheap labor, with the profit driven Corps it is the only logical steps to increase profits and keep share holders smiling.

It is called race to the bottom, and it will not change as our system is set up for never ending debt and we are neck deep in it ($20,000,000,000,000). In my opinion cutting taxes is irresponsible til the the US is in better financial shape. This shows us how piss poor our leadership is.

.

a reply to: Throes

I'm saving at least $3k next year it this passes. That's not chump change.

Assuming this is indeed true, good for you. I'll assume you're not wealthy and you'll actually put that money to use and back into the economy?

The argument isn't that this tax plan won't benefit many outside the rich. The issue is, this tax plan puts the bulk of the financial benefit on the wealthy, the group that needs it the least. It's resulting in a $1.5 trillion deficit. That money won't go back into the economy.

You want to talk about supporting economic plans that support the middle and lower classes, not heavily catered to the wealthy and corporations? More than happy to jump aboard that plan.

Wow!!! an article from Clinton News Network.... worth a 2 peso bill on my book... got anything that is NOT FAKE NEWS ?

a reply to: Southern Guardian

Lower and middle class also benefit highly... have you not read the bill?

a reply to: Southern Guardian

According to polls, Trump's tax plan is less popular than Bill Clinton's tax increase.

a reply to: rickymouse

Because that $7 million tax break given to Carrier last year really did a wowzer for Indiana right? Or did Carrier continue to cut and ship jobs to Mexico in the end?

How many excuses?

a reply to: angeldoll

According to polls HRC had a 95% chance of winning on election night

a reply to: Southern Guardian

If im being honest, the banks need to do this. They were so beat up after 2008 and all the QE that the most sane decision for their business is buying back shares and decreasing risk.

A one time shot into operating cash is great. But the returns you get from paying out higher dividends (their value increases with the stock value, as they hold stock in their own company as well) creates a net gain in value that pays out for years.

There is something to be said about keeping employees employed by using sane business practice and keeping the doors open.

a reply to: avgguy

First page of the thread and we're already hearing about Hillary Clinton and the 2016 election.

Has nothing to do with the thread.

...The cuts will buy them a million dollar yacht, or a second Italian villa. But more than likely it will wind up hidden in an off shore bank account so as to be tax-free. la dee da.

He who hath ears, let him listen.

At least when you see those who believe you also see those who are out of touch with reality.

In other words, some people will believe anything if told by the right person.

Your source is complete garbage.

Read the T&C's for that website. For $50 they will publish your story, but only of the story doesn't seem partisan, you can talk about anything, like our wonderful immigrants, global warming etc....

You have been scammed.

a reply to: Southern Guardian

The biggest impact of "trickle down" is investment. Wells Fargo pays out higher dividends, which drives a higher market valuation for their stocks. This allows their investors to benefit from the dividend as well as the appreciation in stock value.

That money is likely to be flipped back into further investment, supporting more businesses as they try to grow. Without investors, new businesses would disappear and established businesses would stagnate, then begin cannibalising each other to gain market share. WHich is kinda what has happened over the past 10 years: stagnation.

You need investment money to begin moving cash down the stream, otherwise it will all just trickle into bonds and low yield returns where its locked away for a generation earning interest.

originally posted by: seasonal
In my opinion cutting taxes is irresponsible til the the US is in better financial shape. This shows us how piss poor our leadership is.

Leadership for how long? They spend what they get and then a few trillion more... Looking at two scenarios of either Trump saves us 1.5 trillion in taxes or Bush/Obama spends 3 to 5 trillion over what we can afford I would say I would rather keep my money more than watching it all get spent with no chance to affect the deficit.

originally posted by: avgguy
a reply to: Southern Guardian

Lower and middle class also benefit highly... have you not read the bill?

Benefit highly?

No.

Overall, the tax plan does appear to give tax breaks to around 70%-75% of the nation, but for the "average" American income, it's fairly insignificant.

Without the child tax credit stipulations that Rubio held-out for, this tax plan would have been even more insignificant to the American people in general.

In the end, this tax plan is nothing but fluff. It helps the business interests while giving the people just enough to make them stomach what they have been served.

Lemme guess;

Strippers and Drugs.

I woulda done the same.

a reply to: introvert

Sounds about par for the course since at least the 70's.