119th Congress · H.R. ____ · CA-2
Worker Asset Recognition Act (WARA) You're Not a Cost. You're an Asset.
Companies count their buildings, machines, and computers as valuable assets. But they count their workers as an expense to cut. This bill changes that — and makes sure workers share in the profits they create.
$2.3T+
10-Year Revenue
92
Legal Score / 100
94
Fiscal Score / 100
245+
Projected House Votes
$500
Minimum Per Worker
↓ Read the bill
★ Why This Bill Exists
The Rulebook Is Rigged Against Workers.
Right now, accountants follow a set of rules that forces companies to list their workers as an expense to minimize — the same category as electricity bills and supplies. A machine is an "asset" that gets protected and invested in. Workers are a "cost" to cut. WARA rewrites that rule.
✗ The Old Way (Right Now)
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Workers are listed in company books as a cost to minimize — like a utility bill
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A company can increase its stock value by cutting jobs — even when the business is healthy
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A CEO's years of skill and experience don't appear anywhere on the company's balance sheet
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Workers get no share of profits tied to the value they helped create
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Wealth goes to financial capital (investors) automatically; workers have to fight for every raise
✓ What WARA Does
✓
Workers are listed as a Human Capital Asset — an investment to grow and develop
✓
Companies must count your skills, education, tenure, and performance on their balance sheet
✓
Workers receive a Worker Capital Dividend — a share of profits tied directly to their value
✓
The more the company is worth because of its workers, the bigger the dividend
✓
Minimum $500 guaranteed per worker, even at small profit years
#1
Human capital is the #1 driver of value in the modern economy
Congress finds this directly in the bill. Workers' skills, creativity, and experience create more value than physical equipment — yet accountants treat them as a cost.
0%
Of standard accounting rules require companies to list workers as assets
Current GAAP (accounting rules) treat all worker costs as expenses. WARA requires FASB to fix this within 18 months — or the SEC takes over in 24.
$35T+
National debt — a burden WARA helps pay down
WARA generates $2.3–$2.6 trillion in net new revenue over 10 years. 70% goes to debt reduction. 30% goes to making community college free.
★ The Simple Idea
Count Workers as Assets. Pay Them Like It.
The bill does two things. First, it tells companies to put their workers on the balance sheet — giving every worker an official dollar value based on their education, experience, performance, and years on the job.
Second, it uses that number to calculate a Worker Capital Dividend — a payment every worker receives each year from the company's profits.
Think of it like this: if a company's workers are worth 40% of everything the company owns, then workers receive 40% of the net profits as their dividend. The more valuable the workforce, the bigger the check.
This payment is on top of your salary. The bill makes it illegal for companies to cut your 401(k) match, your pay, or your benefits to cover the dividend cost. It's extra — not a trade.
Companies with less than $1 million in profit are exempt from the dividend requirement. For everyone else who qualifies, the minimum check is at least $500 per worker per year.
★ The Worker Capital Dividend Formula
Dividend = Net Profit
× ( Worker Value ÷ Total Assets )
× ( Worker Value ÷ Total Assets )
Net Profit = what the company actually earned after paying all its bills
Worker Value = the official dollar value of the entire workforce, calculated from education, tenure, performance, and skills
Total Assets = everything the company owns: buildings, equipment, cash, workers
The bigger the share of a company's value that comes from its workers, the bigger the dividend pool.
Minimum guarantee: If the formula gives each worker less than $500, the company pays $500 anyway — prorated for part-year workers. No payment if profits are under $1 million.
★ Does This Apply to Your Company?
WARA Covers Large Employers — Two Ways to Qualify.
WARA applies to "Covered Entities" — large companies engaged in interstate commerce. If your employer qualifies, you're eligible. The accounting rules start in Year 4 of the platform rollout; dividend payments begin in Year 5.
Type 1 — Public Companies
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Registered with the SEC under the Securities Exchange Act of 1934 — meaning they sell stock to the public
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Applies to any size public company — if you're traded on a stock exchange, you're covered
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Reporting applies to all SEC filings, proxy materials, and company valuations
Examples: Apple, Walmart, your regional bank — any company you can buy stock in on a public exchange.
Type 2 — Large Private Companies
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250 or more full-time equivalent employees
AND
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$50 million or more in average annual gross revenue
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Both conditions must be met — a large employer with under $50M revenue is not covered
Small businesses, startups, and nonprofits below these thresholds are not covered. The bill is targeted at large enterprises that have the capacity to pay.
Large Employers (500+ workers)
24 months
to complete Human Capital Asset accounting after the bill takes effect
Medium Employers (250–499 workers)
48 months
to complete Human Capital Asset accounting — more time to adjust systems and processes
★ How Your Value Gets Calculated
Your Skills, Years, and Character All Count.
Every worker gets an official dollar value — their Individual Human Capital Asset (HCA). That number is calculated by adding up four things, then multiplying by how long you've worked there, your experience, and how well you perform. Here's exactly how it works.
Step 1: Education Value
High school diploma / GED$5,000
Trade / vocational certification$15,000
Associate's degree$12,000
Bachelor's degree$25,000
Master's degree$40,000
Law (JD) or Medical (MD)$60,000
Doctoral (PhD)$50,000
Post-doctoral$65,000
Major professional cert (CPA, PE, CFA)+$10,000
Technical certifications+$5,000
If your degree is directly relevant to your job, it's multiplied by 1.5×. Somewhat relevant = 1.0×. Unrelated = 0.75×. Trade certifications are valued higher than a two-year degree — because hands-on skills matter.
Step 2: Tenure Multiplier
0–1 year at this company1.0×
1–3 years1.15×
3–5 years1.30×
5–10 years1.50×
10–15 years1.70×
15–20 years1.85×
20+ years — loyalty recognized2.00×
The longer you've stayed loyal to a company, the more your base value is multiplied. A 20-year employee is worth twice as much on the books as a brand-new hire with the same education.
Step 3: Character & Service Multiplier
Top 10% — exceeds expectations1.50×
Top 25% — frequently exceeds1.30×
Meets expectations — solid contributor1.00×
Needs improvement0.85×
Below expectations0.70×
+ Wellness Leadership bonus+0.05×
Performance matters — but the bonus for Wellness Leadership (organizing peer support, promoting mental health, improving work-life balance for colleagues) adds +0.05× on top of your base rating. Volunteering for this is always optional.
Step 4: Special Talent Recognition
Athletic talent (e.g., sports team employees)$50K–$500K
Artistic talent$15K–$100K
Technical innovation / invention$30K–$150K
Executive leadership talent$40K–$200K
Industry experience (0–2 yrs)1.00×
Industry experience (20+ yrs)1.70×
Unique, God-given talents get recognized. A master welder, an innovative engineer, a gifted teacher — their special abilities add directly to their HCA value and thus their dividend. The anti-concentration cap means no single worker can receive more than 5% of the total dividend pool.
★ Your Worker Capital Dividend
How the Profit Gets Split.
Once the company calculates the total Worker Capital Dividend pool, that money gets divided among all workers using a three-part formula designed to balance fairness with recognition for experience and performance.
★ How the Dividend Pool Is Split
Anti-Concentration Rule
No single worker can receive more than 5% of the total dividend pool — so top executives can't vacuum up the entire fund. It's designed to spread the benefit across the full workforce.
For Workers: Favorable Tax Treatment
Your Worker Capital Dividend is treated as qualified dividend income — meaning it's taxed at the lower rates: 0% (low income), 15% (middle income), or 20% (high income). It is not subject to Social Security or Medicare payroll taxes. This puts more money in your pocket.
✓ Qualified Dividend Rates
For Companies: No Tax Deduction
Companies cannot deduct Worker Capital Dividends from their taxable income. This is intentional — the bill is designed to come from real profits, not to create a new tax avoidance loophole. Companies pay Corporate Responsibility, not just taxes.
Closes a loophole
Distribution Timing
Companies must pay dividends at least once a year, within 90 days of the end of their fiscal year. The money must be held in a separate trust fund with full fiduciary duties to workers — companies can't borrow from it or use it for other purposes.
✓ Protected Trust Fund
★ Amendment 4: Time & Mental Health
Having Time to Live Your Life Matters as Much as Money.
Research from Harvard, published in the Proceedings of the National Academy of Sciences, shows that people who buy back their time are happier than people who buy more stuff. And the American Psychological Association says work overload is one of the two biggest sources of chronic stress. WARA addresses both.
★ The Time Affluence Index — How It's Measured
=
Total hours in a week
168 hrs
−
Average work hours (including overtime & after-hours emails)
your hrs
−
Commute time (remote days = zero)
your hrs
−
Sleep (8 hours/night × 7 days)
56 hrs
−
Household obligations (childcare, cooking, eldercare)
your hrs
✦
Your Time Affluence Index
= Free time
25 hrs
Minimum threshold — the "floor" for a livable life
Research shows people with fewer than 25 free hours per week report sharply higher stress, lower civic participation, and worse life satisfaction. If a company's workers fall below this threshold, the company must publish a public Time Affluence Improvement Plan within 120 days — with specific targets to add at least 2 hours of free time per week within 24 months.
Qualified Mental Health Benefits
Companies that invest in worker mental health get a 125% tax deduction — meaning if they spend $1 million, they can deduct $1.25 million. Eligible programs include: Employee Assistance Programs, on-site counseling, mindfulness and stress reduction workshops, substance abuse support, grief counseling, and manager training in mental health first aid.
Must Be Available to All Workers Equally
To qualify for the tax bonus, mental health programs must be available to every employee — regardless of their job title, pay level, or how long they've worked there. A program only for executives or managers does not qualify. The benefit only counts if it reaches the whole workforce.
Paid Volunteer Time — 8 Hours Per Year
Covered companies must give every worker a minimum of 8 hours of paid time per year to volunteer in their community. Research shows that helping others is one of the strongest predictors of life satisfaction — more powerful than buying things. This is about building communities, not just companies.
The WHO estimates depression and anxiety cost the world $1 trillion per year in lost productivity. Deloitte found that every $1 companies invest in mental health returns $4 through less absenteeism and turnover. The 125% deduction reflects that math.
★ The Money Trail
WARA Doesn't Cost the Government Money. It Makes Money.
Here's the key fact: because Worker Capital Dividends are not tax-deductible for corporations, companies pay taxes on the full amount of their profits before giving out dividends. This creates a net revenue gain for the federal government — which goes to paying off the national debt and making college more affordable.
Period
Revenue Increase (annually)
Net Surplus (annually)
Years 1–5
Non-deductibility generates ~$624B/yr; qualified dividend treatment costs ~$384B/yr
+$220–270B/yr
Years 6–10
Temporary capital gains reduction costs ~$25–35B/yr additional
+$200–240B/yr
10-Year Total
Revenue-positive by design — deficit-neutral minimum, surplus expected
+$2.3–2.6T
★ Capital Gains: A Temporary Reduction
For 10 years, the bill lowers the maximum capital gains tax rate to 15%. This is designed to unlock trapped capital — money sitting in old investments that wealthy people haven't sold because the tax was too high. By temporarily lowering the rate, the bill encourages people to sell, pay some tax, and reinvest. There's also a 5% rate for proceeds reinvested in qualified funds within 180 days. After 10 years, rates return to current levels.
70%
Of Net Surplus → Debt Reduction
Deposited into the Unified Debt Reduction Trust Fund. Over 10 years: $1.6–$1.8 trillion toward paying down the national debt. This honors the principle that every generation should pay its own way.
30%
Of Net Surplus → Public Higher Education
Goes to the Public Higher Education Trust Fund. Goal: eliminate community college tuition entirely and reduce 4-year public university tuition by 75%. Over 10 years: $690–$780 billion for education.
$100B
Market Stability Fund (Cap)
A one-time fund to protect retirement savings during the WARA transition — like the FDIC protects bank deposits. Managed by Treasury, the Fed Chair, and the SEC. Any profits go to debt reduction. The fund winds down within 15 years.
★ The Bill's Own Grades
We Graded Our Own Work. Here Are the Results.
Every score below is taken directly from the bill's fiscal summary. WARA scores the bill itself against legal standards, fiscal responsibility, and projected impact.
92
Legal Score / 100
Tested against Commerce Clause, Spending Clause, Tenth Amendment, severability, and judicial review standards. Accounting and profit-sharing are firmly within Congress's authority.
94
Fiscal Score / 100
Revenue-positive design. Hard caps, PAYGO compliance, market stability fund, debt-reduction allocation, and no deficit spending. Among the highest fiscal scores in the platform.
93
Combined Score / 100
Overall design grade. The bill is both legally sound and fiscally responsible — a rare combination for a bill this ambitious in scope.
88
CA-2 Impact / 100
Exceptional projected impact for California's 2nd District workers — "Signature Worker Bill" designation. Just Wage and Meaningful Work framework directly addresses North Coast economic needs.
35
Gov't Overreach / 100
Moderate — limited to large covered entities only. No small business mandates. No government direction of business strategy. States may decline. Compared to the overall platform, this bill does require more corporate action.
House vote projection: 245–285 votes — Bipartisan Potential.
Workers getting a share of profits, money going to debt reduction and free community college, no new government bureaucracy. That's a coalition that crosses party lines.
★ Constitutional Protections
What WARA Cannot Do.
The bill includes a full Constitutional Safeguards title. Here's what the law explicitly prohibits — built right into the text.
No Government Control of Business
Nothing in WARA allows the federal government to direct business strategy, operations, management, who gets hired or fired, or where the company invests. The bill is limited to accounting rules and profit-sharing calculations — period.
States Can Opt Out
Tenth Amendment protections are explicitly written into the bill. States may decline participation without consequence. No state is commandeered into enforcing federal requirements against their will.
Severability — Partial Survival
If a court strikes down any part of the bill, the rest keeps working. Each section is designed to stand on its own. You don't lose the whole law if one provision is challenged.
Built-In Expiration Dates
The capital gains reduction expires after 10 years. The Market Stability Fund winds down after 15 years. A full GAO review happens at Year 12. The accounting and dividend requirements are permanent — because workers always deserve to be counted as assets.
Courts Can Review Everything
Every agency action under WARA is subject to full judicial review. Consistent with the Supreme Court's Loper Bright decision — courts don't just defer to agencies. They examine the actual law.
Platform Coordination
WARA is one of several coordinated bills in the "An Honest Economy for All" platform. The Total Federal Corporate Obligation Cap (40% of taxable income) ensures that the combined weight of all platform bills never crushes a business. Worker dividends count toward that cap, with a $500/worker floor guaranteed.
"The American Founders envisioned a Natural Aristocracy of talent, character, wisdom, and service — not an Artificial Aristocracy of birth and wealth. That is what WARA restores: the idea that your work, your loyalty, and your character are worth something on paper."— Gregory Burgess, Candidate for U.S. Congress · CA-2 · No Party Preference
★ Read Every Word
Ready to Read the Full Bill?
The complete Worker Asset Recognition Act — all seven titles, fiscal summary, and constitutional analysis — is in the full platform download. Nothing hidden. Nothing vague. Every number shown here is in the actual bill text.
✓ Show Your Work · $100 Donation Limit · $100,000 Budget Cap · No PACs · No Corporate Money · FEC ID C00938837