For small business owners not up to date on new rules and regulations, 2014 could be a nightmare.
That’s because they will be contending with new ObamaCare rules as well as re-interpretation of some old work rules like the legal definitions of freelancers and full-time employees.
“Navigating all of the legislative and regulatory changes that occur throughout the course of the year can be challenging,” says Martin Mucci, president and CEO of Paychex.
The payroll business primarily works with small businesses of 1 to 15 employees.
These types of businesses usually can’t afford their own lawyer, benefits expert or accountants.
Most small businesses need some advice at a time of increasing (or more strictly enforced) rules and regulations, he adds.
And where will the regulatory problems come?
Paxchex said they will include government regulators pushing for more unionization and looking for potential health-care penalties under ObamaCare, and the IRS more closely monitoring those businesses that work with independent contractors.
Small businesses, which sometimes rely on such contractors, will also be operating in an environment in which the IRS pledges “to vigorously enforce” the rules governing independent contractors and those for organizing a union.
“Without doubt, those all will be challenges facing small business in 2014, but there are many places where small businesses without a large staff can go for help,” according to Helana Natt, executive director of the Greater New York Chamber of Commerce.
Natt says her group has many such help programs. She also recommends groups such as the US Small Business Administration and SCORE, a nonprofit association that helps small businesses get started and solve problems once they do.
Still, Natt contends that if the small-business person looks around, he or she can find affordable legal, benefits and accounting help, or make use of seminars that offer guidance in issues that “can really make or break a business.”
Even so, Natt concedes there still can be a problem of too much time devoted to regulatory issues and “not having enough time to [run] the business.”