Whether gotten from crystal ball, Magic 8-Ball, or other source, Carol shares her predictions for 2018 on the Bank of America Small Business Community in “What Small Business Owners Need to Grow Their Companies – and the Economy.” Carol begins:
“Instead of writing a typical New Year prediction piece I will focus on what you should be doing as a small business owner this year, based on what’s going on in the economy and beyond.
As a disclaimer, keep in mind I am not a psychic and I do not play one on TV, so I do not guarantee the outcome of these predictions.
Prediction: Small Business Owners Will Be Guarding Their Valuable Employees
The labor market has gotten very tight, with unemployment hanging around just over 4 percent. This means that it has become an employee’s market, giving them more choices and options when it comes to employment. And, with no clear economic catalysts to immediately derail the economic or labor trains, I predict more employees will be looking for new opportunities.
This leads me to further predict that savvy small business owners will pre-empt their best and brightest employees from leaving. This means raising wages, offering more competitive benefits and perks, and of course, giving employees clear opportunities to take on more responsibilities within the business.
Prediction: Small Business Owners Will Be Spending Quality Time with Their Tax Advisors
The end of the year saw the passing of tax reform and while it is touted as simplifying taxes, for small business owners, it actually makes things more complicated. If you have a C-corp, you will have new tax rates. The same goes for pass-through entities, but with all kinds of complications depending on if you are a service provider (and what service you provide), what you pay as W-2 wages to other employees and overall, how much you earn (again, varying on whether you file by yourself or with a spouse).”
You can read the rest of the post here.