How the federal stimulus plan could affect your small business

Latest posts by Rich Sloan (see all)

 

Bill Rys, Tax Counsel of the National Federation of Independent Business, will be my guest this week on our Tips for Entrepreneurs podcast. We’ll be discussing the impact of the federal stimulus plan on you and your small business.

So, if you’re one of America’s 26.8 million small businesses or want to be among those ranks, you might want to tune in/subscribe.

 To foster continued small business growth, a stimulus package was just passed in Congress, equal to about 1% of the GDP.  There is solid evidence these tactics have worked in the past from the 2002 and 2003 stimulus proposals.  Key provisions of the deal include:

  • Increased dollar amount for small business expensing limits from $125,000 to $250,000. This will allow small business owners to immediately write off business purchases and will help small business owners expand their businesses and hire new employees.
  • Fifty percent bonus depreciation deduction. This provides an additional one-year depreciation deduction value to 50% of the value of the property. Bonus depreciation is an incentive for businesses to invest in their business now, providing an immediate deduction for half the cost of the investment.

 Small business owners, America’s job creators, are the engine of our economy. Small businesses are the only sector of the economy creating net new jobs. "It only makes sense that any stimulus package passed to boost the economy includes provisions that will assist small business owners," says Rys.

We’ll elaborate on this topic later this week on the Tips for Entrepreneurs podcast. Talk to you then!

Total
0
Shares
Previous Article

Business Licenses: A Necessity for Every Business

Next Article

Message Scheduling

Related Posts
the great resignation
Read More

How to Keep Flight-Risk Employees From Joining the Great Resignation

Throughout the last year, a myriad of U.S. employees quit their jobs, leaving many positions unfilled. And today, companies are still struggling to fill positions as we enter the new year. The reasons for the mismatch between labor offering and demand are multifold: People are increasingly handing in their notice because they want a better...
social media posts
Read More

7 Simple Reasons Your Social Posts Are Falling Flat

Each year, social media becomes more and more popular. While the platforms may change, the power that social has to grow your business remains steadfast. Let’s face it, if you’re not on social media, your business is most likely not even close to reaching its maximum potential. Social media has a catch though. You can’t...
physical products
Read More

Every Business Should Offer Physical Products. Here’s Why

In an effort to increase revenue and balance cash flow, many service businesses are now attempting to mix products with their services. Customers for services ranging from personal trainers to web designers are big on the personalization and convenience factors. Hybrid solutions—products and services combined into original offerings—can help your business attract new customers and...
Verizon Small Business Digital Ready
Read More

Q&A: How Verizon Small Business Digital Ready Can Help You

We reached out to Brianna Ellison, director of community engagement for Verizon, as part of our initiative to bring the Verizon Small Business Digital Ready program to Michigan entrepreneurs and aspiring business owners. From marketing tools to one-on-one mentoring, learn more about what Verizon is doing to help small businesses in Detroit and throughout Michigan...