Does your company make things? Do you run a restaurant or retail store? Maybe you build houses, mow lawns, or install drywall. If so, I wish you a great year in 2025! But there's also some bad news. That means you chose the wrong profession.
I wish I could become a tax accountant or a social and labor consultant. why? No matter how good a year 2025 is, I can guarantee that people and companies in those professions will make far more money than you will this year.
For example, consider a tax accountant. This year, most provisions of the 2017 Tax Cuts and Jobs Act were amended. Expires. That means huge personal deductions could be eliminated and tax rates could rise. Small businesses with pass-throughs or partnerships may also lose significant deductions. Other companies may see the tax benefits and deductions they have enjoyed from purchasing capital equipment or contributing to research and development permanently eliminated. Inheritance taxes may rise. Corporate tax rates may go back up. Withholding amounts may change, and some employees may no longer be subject to tax on tips or overtime pay.
All of these things can happen. Or maybe nothing happens. Maybe some of that will happen. The problem is, we don't know.
Our next president will be promised to extend or make permanent Many of these provisions. But he has only a slim majority in parliament and faces a huge budget deficit. There will be some negotiation and compromise. This will happen from winter to spring, and hopefully, hopefully! — will be resolved by new legislation by summer.
All of this is good news for your friendly tax accountant next door. Some naysayers complain that the changes require extra work to learn. But the more proactive and proactive businesses are watching what happens and are recognizing all this uncertainty as an opportunity, charging more advice and spending more time planning and preparing. It will be incorporated into the time. They go after individuals and businesses who have been ignored by accountants or who are willing to accept new recommendations based on these new developments.
If you are a positive and wise tax accountant, 2025 will be a great year for you. The same goes for labor lawyers. why? Because if you think businesses just need tax help, think again. Employment law has been a hot topic this year.
Over the past four years, the Biden administration has imposed a number of new rules regarding overtime pay, worker classification, corporate ownership reporting, union activity, discrimination, and harassment. Most of these rules have been challenged in court. Some have already been overturned. And while the current administration has appealed these rulings, the new administration is likely to drop most, if not all, of its appeals.
Or will it be? who knows? What should employers do if they have already started implementing these rules? What should employers do if they are planning to implement these rules?
Here's what they should do: Consult with a labor lawyer.
Sadly, it's not just the uncertainty surrounding these federal regulations and laws that we should be concerned about. Employers will have to contend with a number of new state laws impacting the workplace this year. Minimum wages will increase in 20 states. “Confinement meetings” are prohibited in California and Illinois. New pay transparency laws have been enacted in Illinois and Minnesota. California and New York are introducing new protections for freelance workers. In addition to these states, Connecticut, Minnesota, Rhode Island, and Washington state have also expanded paid leave eligibility.
Delaware and Maine currently require contributions to their state paid family leave programs. Illinois, New York, and California are imposing new rules that protect workers from an expanded list of discriminatory practices. Employers in New Hampshire must now allow employees to leave guns in their cars. Oregon employers must provide more protections for warehouse workers. Veteran and whistleblower notifications are required in California and Rhode Island. Businesses in Illinois must include more information on employee pay stubs.
More workplace rules and regulations will be issued by states starting in January, but internet space is limited. Thank you to the law firm. fisher phillips and Ogletree Deakins We have listed them all briefly.
But of course, if you're a business owner, you can't just do it, right? there is no time. You're busy creating, building, and delivering something to your customers. You can't keep up with all these new rules and regulations. So who do you turn to? Your friendly labor lawyer near you! Excellent people such as excellent tax accountants are supportive. They love this kind of thing. The more complex and onerous the laws and regulations, the louder the “clack!”
You can also blame your parents. or a university advisor. Or your spouse. But in reality, you just blew it. You chose the wrong career. I hope you're doing well. But 2025 could be even better.
Gene Marks is the founder of The Marks Group, a small business consulting firm.
