As young, American women we have a duty to be informed of what is going on in the world around us. As business owners, on top of staying current in consumer, industry, and business trends we must also be actively involved in knowing what is being discussed in our government. Our livelihoods can depend on government policy: taxes, health care, regulations, and more. Last night President Obama addressed a joint session of Congress presenting the American Jobs Act. What is your plan for making sure your elected officials represent your best interests?
The following is a summary of a fact sheet from the White House that pulls some of the pieces that are more relevant to the young, female entrepreneur. However, it should be reviewed in it’s entirety for a more well rounded perspective. The plan came out to total $447 billion dollars. Watch for the President’s strategy for how we are going to pay for this and stay on track with his plans for reducing the defecit, which will be released on September 19th.
“The purpose of the American Jobs Act is simple: put more people back to work and put more money in the pockets of working Americans. And it would do so without adding a dime to the deficit.”
The American Jobs Act has five key components:
1. Tax Cuts to Help America’s Small Businesses Hire and Grow
- A payroll tax cut to businesses, with a focus on small employers ($65 billion in combination with the payroll tax holiday for new wages).
- A complete payroll tax holiday for new jobs or wage increases. In addition to the 3.1% payroll tax cut for all firms, the President’s plan provides a direct incentive to encourage firms to hire additional employees or raise wages for their current employees. The plan would completely refund payroll taxes paid on added workers or wage increases for current workers above the level of last year’s payroll.
- Extend 100 percent business expensing through 2012 ($5 billion). The President is proposing an extension of the 100 percent expensing provision that he signed into law in December 2010, which rewards firms for making investments by allowing them to deduct the full value of those investments from their tax obligations through 2012.
- Changing the Way the Government Does Business with Small Firms: The Administration will soon announce a plan to accelerate government payments to small contractors to help put money in their hands faster.
- The administration also supports establishing a “crowdfunding” exemption from SEC registration requirements for firms raising less than $1 million (with individual investments limited to $10,000 or 10% of investors’ annual income) and raising the cap on “mini-offerings” (Regulation A) from $5 million to $50 million. This will make it easier for entrepreneurs to raise capital and create jobs.
- Passing Patent Reform
2. Putting Workers Back on the Job While Rebuilding and Modernizing America
3. Pathways Back to Work for Americans Looking for Jobs
- …work sharing that would let workers receive pro-rated UI benefits as compensation for a reduction in hours at businesses that would otherwise lay workers off.
- The President is proposing to provide additional funds to allow states to introduce new programs aimed at long-term unemployed workers, including: Bridge to Work: A number of states have innovative programs that give workers the opportunity to take temporary, voluntary employment to keep up their skills and train at the workplace for a new job, while continuing to receive unemployment insurance. The President’s plan builds on what works in programs like Georgia Works or Opportunity North Carolina, while instituting important fixes and reforms that ensure minimum wage and fair labor protections are being enforced.
- …self-employment assistance programs that encourage and enable unemployed workers to create their own jobs by starting their own small businesses. The President’s plan would allow states across the nation to support programs like these with federal UI funds, rewarding dislocated workers willing to strike out on their own and removing barriers that discourage participation in existing programs.
- Tax credits for businesses that hire the long-term unemployed ($8 billion): The President’s plan includes a special bonus credit of up to $4,000 for firms that hire the long- term unemployed.
4. More Money in the Pockets of Every American Worker and Family
5. Fully Paid for as Part of the President’s Long-Term Deficit Reduction Plan
Earlier this morning I stumbled across a press release from Generation Opportunity of a poll that claims “67% of Young Adult Women (18-29) do not believe that today’s political leaders reflect their interests.” Generation Opportunity is a non-profit, non-partisan 501 (c)(4) organization that seeks to engage everyone from young adults, to early career professionals, college students, young mothers and fathers, construction workers, current service men and women, veterans, entrepreneurs and all Americans who find themselves dissatisfied with the status quo and willing to create a better tomorrow.
The organization goes on to report that “54% of Young Adult Women agree the economy grows best when individuals are allowed to create businesses without government interference, 33% disagree.”
Credible or not, YFE wants to know what your answers are to the topics Generation Opportunity’s poll brought up above. Do you believe that today’s political leaders reflect your interests?
What are your thoughts on the President’s American Jobs Act and what is your plan for voicing your opinions to your elected officials?
PS. To limit the likelihood that potential clients or partners will search for your name only to find information you would rather remain private, be sure to comment with a nickname or first name only.