NASE News

NASE Lauds Senate For Introducing Small Business Tax Extenders Act

NASE — Friday, 3 February, 2012 16:41:24 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

NASE Calls For Greater Emphasis On Self-Employed Businesses

Washington, D.C., February 3, 2012 – The NASE’s recent call to Congress to heed the Self-Employed Agenda focusing on taxes was heard this week in the Senate. Senators Olympia Snowe (R-Maine) and Mary Landrieu (D-La.) introduced the Small Business Tax Extenders Act of 2012, which would continue some popular tax breaks for the self-employed and micro-businesses (10 or fewer employees) for an additional two years.

The bill includes the following provisions:

Self-Employed Health Insurance Deduction – Whereas sole proprietors used to be the only business entity that could not deduct their health insurance costs as a business expense, the extension of this immensely popular provision would include 2012 and retroactively includes tax year 2011.
Startup Deduction for New Businesses – The self-employed can deduct up to $10,000 of their startup costs on their taxes. If left to expire, the deduction will reduce to $5,000.
Section 179 Increased Expensing – Micro-businesses can expense 100 percent of their equipment in the first year, up to $500,000.
Extension of 5-Year Carryback – The self-employed have the ability to report a loss in income tax for 5 previous years.
AMT Exemption for Small Businesses – The Alternate Minimum tax has never been adjusted for inflation, so this extender helps ensure that business owners do not get heavily taxed at decades-old levels.

“On behalf of the self-employed and micro-business owners, we applaud Senators Snowe and Landrieu for the continued support for the nearly 22 million Americans that would benefit from these tax extenders,” commented Katie Vlietstra, NASE Director of Government Affairs, “At a crucial time in our economy’s recovery, these tax deductions will allow the self-employed to expand their businesses which in turn supports their local and state economies. NASE will continue to fight for tax equity for the self-employed, this being a crucial first step.”

About the NASE
The National Association for the Self-Employed (NASE) is the nation's leading resource for the self-employed and micro-businesses, bringing a broad range of benefits to help entrepreneurs succeed and to drive the continued growth of this vital segment of the American economy. The NASE is a 501(c) (6) nonprofit organization and provides big-business advantages to hundreds of thousands of micro-businesses across the United States. For more information, visit the association's website at NASE.org.

NASE Supports Bill To Cut Excessive Paperwork For Small Businesses

NASE — Wednesday, 1 February, 2012 15:00:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

1099K Overreach Prevention Act Set To Dial Back Legislation Regarding Credit Card Reporting

Washington, D.C., February 1, 2012 – The National Association for the Self-Employed (NASE) announced its support today of a bill that would help decrease a potential paperwork nightmare for the self-employed and micro-businesses (10 or fewer employees). The 1099-K Overreach Prevention Act, introduced by Representatives Aaron Schock (R-Ill.) and Bobby Schilling (R-Ill.), would repeal the 1099-K reporting requirement on credit and debit card transactions.

Starting next year, the IRS would require business owners to reconcile the amounts they collect via credit and debit cards with the aggregate gross receipts amount from Form 1099-Ks, a new form this year to be sent to all business taxpayers who accepted merchant cards for payments or who received payments through a third party network. In preparation of this new reporting requirement, the IRS amended the tax forms for business taxpayers, including Schedule C filers to include Lines 1a -1d. The paperwork impact of having to reconcile actual gross receipts with information provided from Form 1099-Ks would be enormous on the self-employed and micro-businesses and result in a potential negative audit environment.

“As always, we are pleased when the self-employed and small business community concern over misguided regulation and reporting are taken seriously by Members of Congress,” said Katie Vlietstra, NASE Director of Government Affairs. “The legislation introduced by Congressman Schock and Congressman Schilling would alleviate significant confusion related to basic accounting procedures that could inadvertently cause an increase in audits for America’s smallest businesses. The IRS took steps in the 2011 tax year to defer this requirement and we hope to see further concerns on this misguided regulation alleviated with successful passage of this legislation this year.”

A companion bill in the Senate will be introduced next week.

NASE, Obama Administration Celebrate One-Year Anniversary Of Startup America Initiative

NASE — Tuesday, 31 January, 2012 16:12:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

NASE Calls For Greater Emphasis On Self-Employed Businesses

Washington, D.C., January 31, 2012 – President Barack Obama celebrated the entrepreneurial initiative enacted one year ago by asking Congress for additional tax breaks and assistance for small businesses. According to the White House, the Startup America Initiative seeks to merge public- and private-sector forces to help encourage business growth and job creation.

The new action plan calls for an extension of the $10,000 deduction for startup expenses and 100 percent depreciation for equipment in the first year of business.

“The NASE is happy to see the President highlight the pivotal role that small businesses play in the economy by sending his agenda to Congress,” said NASE President and CEO Kristie L. Arslan. “Tax incentives for startups and for businesses that have recently purchased new equipment are certainly a start, but we are concerned that so few of the policies suggested actually apply to the largest segment of small businesses – the self-employed and micro-businesses. That key demographic makes up more than 78% of the nation’s small business population.”

President Obama’s legislative agenda also included increasing access to capital through the creation of a national crowdfunding framework and expanding the yearly budget for the Small Business Investment Company Program to $4 billion.

Read the NASE’s tax wishlist, the Self-Employed Agenda, here.

NASE To The White House And Congress: Don’t Forget The Self-Employed Agenda This Year

NASE — Monday, 23 January, 2012 10:02:34 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., January 23, 2012 – As the President prepares to deliver his annual State of the Union address and Members of Congress prepare their talking points in response, the nation’s self-employed are looking for action, not just more words. With the economy showing signs of life, the 22 million Americans who are self-employed must not be forgotten in the back and forth over big policy changes.

While the self-employed struggle with a disproportionate tax burden, they are also trying to drive economic growth by building their businesses. With small and micro-businesses responsible for a significant part of economic growth in the U.S., the policy and regulatory changes required to help this sector are vital to broader national economic improvements.

“With all of the recent talk about jobs from energy production, pipelines or other big business, the jobs pipeline that we’re not talking about – the self-employed – is often forgotten,” explained Kristie L. Arslan, president and CEO of the NASE. “The President and Congress must check off the items on the Self-Employed Agenda if they want to ensure continued economic growth.”

The Self-Employed Agenda for 2012 includes action on several initiatives that will help level the playing field for the self-employed sector and help spur broader economic gains nationally:

Self-Employed Health Insurance Deduction: The payments that small-business owners make for health insurance premiums for themselves and their families won’t be as tax beneficial for 2011 tax returns as they were for 2010. The premiums paid for health insurance by the small-business owner will be still be deductible on page one of form 1040, but unlike 2010, those same premiums will not be included on Schedule SE, Self Employment Tax. That means net earnings from self employment will be higher and the related Self Employment Tax will be higher. This is in effect a 15.3% tax hike on the small-business owner. The self-employed need this deduction extended or made permanent to avoid the dramatic increase in tax burden that will otherwise take effect.
Payroll Tax Relief Extension: The payroll tax cut for 2011 expires at the end of February 2012. Small and micro-businesses need this cut to be extended for the full year to ensure they can continue to grow and contribute to overall economic improvement.
Standard Home Office Deduction: Entrepreneurs managing their business out of their home face added burdens at tax time. Bipartisan legislation has been introduced in Congress to allow business owners the option of a $1,500 standard deduction, but would not preclude taxpayers currently qualifying for the home office deduction from continuing to itemize their expenses should they choose. Congress should pass and the President should sign legislation simplifying the standard home office deduction.
Tax Deduction for Startups: Passed as part of the Small Business Jobs Act of 2010, it allowed individuals to take a $10,000 deduction for start-ups in 2011. In 2012, the deduction will decrease to $5,000. Maintaining the current level for this deduction is vital to encouraging individuals to continue to start new companies and contribute to the growth of our economy.
Alternative Minimum Tax (AMT) Exemption: For tax year 2011, the AMT exemption for a married couple filing a joint return is $74,450, and $48,450 for single filers, representing a $2,000 and $1,000 increase, respectively. For tax year 2012, the AMT exemptions are currently scheduled to decrease to year 2000 levels to $45,000 for a married couple and only $33,750 for a single taxpayer. Small and micro-businesses need this exemption to remain at 2011 levels to ensure the self-employed are not unfairly singled out for higher taxes by this reduction in the exemption.

Arslan added: “2012 is a pivotal year for our country, but if all we do is focus on politics, and forget tax and other policy changes that will support the self-employed, our economy will stagnate and we’ll suffer the consequences of ignoring these key drivers of our national growth and expansion.”

Small Businesses Support SBA Cabinet Level Status

NASE — Friday, 13 January, 2012 11:25:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C. – As news reports circulate that President Obama will recommend the Small Business Administration (SBA) be elevated to Cabinet-level status, Kristie L. Arslan, President and CEO of the NASE, reacted by supporting the effort saying “it signals the importance of the small business community to our national economy.”

“Millions of small businesses across the country will be well-served by President Obama’s effort to elevate the Small Business Administration to Cabinet-level status. It will provide a signal to millions of small business owners – including the self-employed and micro-businesses – that they are an important part of the national economy.”

NASE Grows Its Staff To Better Serve Small Business Membership

NASE — Monday, 9 January, 2012 13:34:41 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Brings On Marketing, Advocacy Personnel For 2012

Washington, D.C. – The National Association for the Self-Employed (NASE) is proud to announce the addition of two staff members to its Washington, D.C. office. We welcome Ron McNally, CAE, Vice President of Membership & Marketing and Katie Vlietstra, Director of Government Affairs to our team.

“The NASE has added key staff members to its team, which will help us move the association into its next phase of growth, ensuring that we continue to be responsive to the needs of our members and that we continue to have a strong presence on Capitol Hill,” said NASE President & CEO Kristie L. Arslan.

Ron McNally is an accomplished Certified Association Executive (CAE) with over 30 years of experience in membership recruitment and retention, marketing, customer service and volunteer relations. Prior to the NASE, Ron served as chief community officer and vice president of Membership and Marketing with the American Society of Association Executives (ASAE), where he helped orchestrate a membership turnaround, as well as improving the performance of the marketing and volunteer relations functions. Ron also revamped the marketing function resulting in increased program registration and product sales. He also served as senior vice president for the National Fisheries Institute in Arlington VA. Serving as the number two executive, Ron established a new office infrastructure and association management system, increasing productivity and membership recruitment in the first twelve months.

Ron enjoys volunteering at the local food bank and participating as an instructor for the First Tee Program. Ron holds Masters and Bachelor’s degrees from the University of Maryland and is an avid golfer, enjoys working out and is a self-professed “Do-It-Yourselfer.”

Katie Vlietstra is an experienced government and public affairs professional with over seven years of experience advising on legislative and regulatory action. Prior to joining the NASE, Ms. Vlietstra served as a public policy analyst for WorldatWork, the foremost human resources association. Additionally, Ms. Vlietstra served as one of the lead lobbyists for the association’s activities on Capitol Hill and within the federal government. As a former advisor to Triadvocates LLC, Ms. Vlietstra led liaison efforts with trade associations, patient organizations and consumer groups. Ms. Vlietstra is President of the Women Under Forty Political Action Committee (WUFPC), board member for Women in Government Relations, treasurer for the State Society of Arizona, and corporate director for the Phi Sigma Sigma Fraternity, Inc.

A native of California, Ms. Vlietstra earned her Bachelor of Arts degree at Chapman University and a Masters degree from George Mason University.

2011 Tax Changes For The Self-Employed

NASE — Monday, 9 January, 2012 10:20:34 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

NASE Offers Self-Employed Tips For Getting A Jump On The Filing Season

Washington, D.C. – 2011 ended with a nice upward move on Wall Street and an increased focus on the 2012 election year, but without a clear understanding of small business taxation. The self-employed health insurance deduction for Self Employment Tax was eliminated and the Payroll Tax cut was extended only for two months. Will the tax cut be extended yet again or will it be allowed to expire? The debate continues and unfortunately the small-business owner is often the last to know. The National Association for the Self-Employed (NASE) is committed to advocating for the small-business owner in Washington, D.C. and committed to providing quick answers from the debate, once those answers are known. It has never been more important to utilize available resources, such as the NASE, for small-business owners in order to maintain compliance.

“Perhaps more than at any time I can remember, this is a time of uncertainty for the small-business owner,” said Keith Hall, National Tax Advisor for the NASE. “With a Presidential election looming, the tax code will become an increasingly powerful chip in the debate for the White House. Job credits, payroll tax cuts, investment incentives, all will be debated and re-debated. The only certainty is that things will change and it is critical that the small-business owner keep track of all the things the IRS will be asking them to do.”

Prior to preparing 2011 tax forms, the self-employed and micro-businesses (fewer than 10 employees) should be aware of a number of tax law changes, but also must stay focused and connected for new changes that are inevitable during 2012.

The following tax law changes relate to 2011 returns:

Self-Employed Health Insurance Deduction – Unfortunately, the payments that small-business owners make for health insurance premiums for themselves and their families won’t be as tax beneficial for 2011 tax returns as they were for 2010. The premiums paid for health insurance by the small-business owner will be still be deductible on page one of form 1040, but unlike 2010, those same premiums will not be included on Schedule SE, Self Employment Tax. That means net earnings from self employment will be higher and the related Self Employment Tax will be higher. This is in effect a 13.3% tax hike on the small-business owner. The NASE is committed to eliminating this inequity and restoring this deduction. Check out NASE.org for more updates from time to time.
Payroll Tax Cut for 2011 – Beginning January 1, 2011, the employee’s part of the OASDI portion of Social Security tax was decreased from 6.2% to 4.2%, on the first $106,800 paid to each employee. For the small-business owner, the OASDI portion of Self Employment Tax was decreased from 12.4% to 10.4% which was a significant benefit. The impact for the small-business owner will be included on Schedule SE and means up $2,000 in lower taxes for all working Americans.
Payroll Tax Cut for 2012 – The payroll tax cut for 2011 was expected to last only for one year, however, the cut has been extended for the first two months of 2012. The debate in Washington continues to be heavy on this subject and there is a good chance the tax cut could be extended even further. Small-business owners will need to keep track of these changes since either an extension or expiration will still require additional paper work and diligence to remain in compliance. Bookmark NASE.org to stay up to date on progress related to this important tax issue.
Reporting of Employer Provided Health Care – The Affordable Cart Act which was passed in 2010 required that employers begin reporting the cost of coverage under an employer-sponsored group health plan. That reporting was originally required beginning on January 1, 2011 so that business owners would have to report those amounts for the year just ended. The good news is that more time has been granted. The reporting for 2011 is now voluntary for all employers and optional for 2012 for those employers with less than 250 employees. Go to NASE.org and check out Notice 2012-9, issued Jan. 3, 2012 for more detail.
Increase in Maximum Section 179 Deduction – The Small Business Jobs Act of 2010 increased the maximum allowable deduction under Code Section 179 from $250,000 to $500,000 for tax years beginning in 2010 and in 2011. This provision provides additional incentive for small businesses who invest in new equipment for both years. At the same time, the limit for the phase out of the deduction was increased to $2,000,000 from $800,000.
Standard Mileage Rates Adjusted for 2011 – Business owners using their vehicle for company business can deduct 51 cents per mile driven on their 2011 tax return. The rate has also been set for 2012 at 55.5 cents per mile. The rate for medical miles driven was 19 cents per mile for 2011 and 23 cents per mile for 2012, while charitable miles use the rate of 14 cents per mile for both years.
Contribution Limits for IRAs and Other Retirement Plans - Where an IRA contributor who is not covered by a workplace retirement plan is married to someone who is covered, the deduction is phased out if the couple’s income is between $169,000 and $179,000.
AMT Exemption Increased for 2011 – For tax year 2011, the Alternative Minimum Tax exemption for a married couple filing a joint return is $74,450, and $48,450 for single filers, representing a $2,000 and $1,000 increase, respectively. The AMT exemptions are currently schedule to decrease to year 2000 levels to $45,000 for a married couple and only $33,750 for a single taxpayer. The NASE is working diligently to keep the exemption levels from decreasing for 2012. Go to NASE.org to keep track of this important process.

In preparation for the filing deadline, self-employed business owners can turn to Hall and other qualified CPAs for help through NASE’s TaxTalk program here. While there, they can submit a tax question and browse the TaxTalk resource library. 2012 is guaranteed to be a year of uncertainly and it is critical to maintain contact with up-to-date resources to help keep track of the many changes that are on the horizon.

Individuals who are unable to pay the tax that they owe with the return still have some options. It is important that the return still be filed on time even if the full amount due cannot be paid. Consider including IRS form 9465, Installment Agreement Request, which will provide additional time to meet the tax obligation. Contacting the IRS at 1-800-829-1040 as soon as possible if additional tax payment difficulties arise is the best advice.

Find out more information about these and other tax law changes for the 2011 tax season at www.IRS.gov.

Economic Clock Running Out On Payroll Tax Extension

NASE — Tuesday, 6 December, 2011 10:32:03 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Millions Of America's Smallest Businesses Are Waiting For Congress To Act

Washington, D.C., December 6, 2011 – As the U.S. Senate prepares to debate another payroll tax extension proposal, Kristie Arslan, President & CEO of the NASE, encourages our policymakers to put partisan politics aside and pass the payroll tax extension:

“It is important that our nation’s smallest businesses have the tools and resources they need to serve the American consumer this Holiday season and beyond. Passing the payroll tax extension will put that extra savings in the pockets of not only consumers, but also in the pockets of the self-employed and micro-businesses who serve as employer and employee. This relief can help pay for additional supplies, phone lines and online advertising for small businesses that continue to struggle as the economy falters.

“In addition to the payroll tax break, Congress can invest in small fixes that will go a long way for the small business community: fix the tax disparities that make small businesses pay more than their corporate counterparts for health insurance; increase small business lending to help start-ups create new jobs and help existing businesses expand; help the states launch self-employment training programs for residents.

“America’s smallest businesses want our policymakers to work together to find a solution that put’s America back to work – not just political finger pointing. The bottom line is that stimulating the economy will help boost the bottom lines of America’s smallest businesses.

Partisan Politicking Trumps Economic Recovery?

NASE — Tuesday, 22 November, 2011 13:09:58 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Policymakers Fail To Address Our Nation's Economic Woes

Washington, D.C., November 22, 2011 – As the news reports that the Joint Select Committee on Deficit Reduction – also known as the super committee – has failed to reach a budget deal, Kristie Arslan, President & CEO of the National Association for the Self-Employed, blasts our nation’s lawmakers for playing partisan politics with the economy:

“Lawmakers have clearly been unable to shake the partisanship that plagued political discourse around the national debt and our debt ceiling last summer. The fact that the Congressional ‘super committee’ failed to come close to a plan raises serious questions about the role of government in stimulating the economy. Helping Americans get back to work should be more important than political finger-pointing.

“America’s smallest businesses – self-employed business owners – want to see the economy move into recovery mode now; it would have been nice to get a boost from a comprehensive debt plan, but there’s still plenty can Congress can do to help small businesses stay afloat and expand. They can fix the tax disparities that make small businesses pay more than their corporate counterparts for health insurance. They can increase small business lending to help start-ups create new jobs and help existing businesses expand. And they can help the states launch self-employment training programs for residents.

“As we enter the presidential election season, we all expect politics to be at play. But politics shouldn’t prohibit Washington from putting small businesses in a strong position to help the economy recover.”

November Is National Entrepreneurship Month

NASE — Friday, 18 November, 2011 10:08:24 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

NASE Joins The White House In Celebration

Washington, D.C., November 18, 2011 – President Barack Obama has proclaimed November 2011 as National Entrepreneurship Month. The National Association for the Self-Employed (NASE) would like to thank America’s self-employed and micro-business owners who work tirelessly each day to support themselves and their families, as well as contribute to their communities through starting and maintaining a business.

The creation of a self-employed job is often overlooked by economists and policymakers as a means to jumpstart the economy. However, the NASE knows that every time an individual starts a business or attempts to grow their business that the unemployed rolls shrink. With nearly 22 million entrepreneurs and micro-businesses (10 or fewer employees), that adds up to a lot of job creation.

“The NASE is glad that the Administration set aside an entire month to showcase the nation’s entrepreneurs and to spotlight federal and state programs that are available to help them,” said NASE President and CEO Kristie L. Arslan. “Successful micro-businesses are our nation’s greatest tool in helping to curb unemployment. We believe so strongly in that notion that we created a Startup Kit to help new businesses find their way.”

Earlier this year, Arslan called for a National Self-Employment Initiative that would provide state governments with tools and resources to help the unemployed or underemployed learn business skills in order to start up their own ventures. Programs have also been launched by both the White House (Startup America Initiative) and the Small Business Administration (Young Entrepreneurship Series).

NASE Celebrates Small Business Saturday

NASE — Monday, 7 November, 2011 13:11:54 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Aims To Unite And Inspire Consumers To Shop Small On November 26, 2011

Washington, D.C., November 7, 2011 – The National Association for the Self-Employed (NASE) today announced its participation in the second annual Small Business Saturday on November 26, 2011. Small Business Saturday is a day for dedicating a portion of holiday shopping to local, independently-owned small businesses.

The NASE recognizes the importance of small businesses and the self-employed, the jobs they create and the culture they instill in local communities. There are nearly 22 million self-employed businesses in the nation. Small businesses also have generated 64 percent of net new jobs over the past 15 years and employ just over half of all private sector employees, according to the Small Business Administration.

"With the number of micro-businesses in the United States, it is time that Main Street got the same attention as the big box stores during the holidays," commented NASE President and C.E.O. Kristie L. Arslan. "The NASE is proud to co-sponsor Small Business Saturday in 2011."

“It is critical that we get as many supporters on board as possible to generate demand for small, independently owned businesses this holiday season and beyond,” said Maryann Fitzmaurice, senior vice-president, American Express OPEN.

Joining the Annual Initiative

Social media will play a central role in helping raise awareness about the importance of supporting small business and recognizing Small Business Saturday. The Small Business Saturday Coalition will be driving consumers and business owners to facebook.com/smallbusinesssaturday where they can participate in many ways, including:

American Express is also giving $100 of free Facebook advertising to 10,000 business owners who sign up at facebook.com/smallbusinesssaturday to help build online buzz and drive customers to their stores on Small Business Saturday. By simply entering a few pieces of information and clicking a button, these business owners can create a personalized, geo-targeted ad that will run on Facebook leading up to November 26.
American Express is giving a $25 statement credit to 200,000 Cardmembers who register their Card and use it to shop on Small Business Saturday at any locally-owned, independent small business that accepts American Express.
Small business owners can go to Facebook.com/smallbusinesssaturday to download online promotional materials that will help them drive sales to their business on Small Business Saturday.
Everyone can spread the word about the day and their favorite businesses by giving a shout-out to their favorite local shops and restaurants via Facebook and Twitter.

NASE Launches Startup Kit To Spur Job Creation

NASE — Monday, 24 October, 2011 12:32:23 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Complete, One-Stop Shop Startup Business Guidance As The Economy Continues To Tumble

Washington, D.C., October 24, 2011 – As President Barack Obama travels the country selling his American Jobs Act and the U.S. Congress works to meet a pending deadline on our national debt challenges, the National Association for the Self-Employed (NASE) today released its new small business Startup Kit – a complete, one-stop shop of tips and guidance that aspiring entrepreneurs need to consider when opening a new small business. The Startup Kit walks a new business owner through the 10 steps to starting a business and positioning it for success.

“Prospective entrepreneurs across the country may be putting plans to start a new business on hold because of the current economic climate,” said Kristie Arslan, President & CEO of the National Association for the Self-Employed. “But a down economy is not necessarily a bad time to start a business. Our new Startup Kit pulls together our 30 years of experience and knowledge on launching successful small businesses, including tax and legal advice, marketing guidance, and options for financing your new venture.”

NASE’s tax and businesses experts contributed their experience and knowledge into the Startup Kit. Some of the topics covered in include:

Start thinking of yourself as a business owner – The self-employed know it is important to learn to juggle more-than-one task, like handling the bookkeeping, marketing and keeping an eye on the competition, to name a few.
Take care of your tax responsibilities – For those who have worked for someone else, the employer handles tax issues for you. As a business owner, you’ll have to stay on top of things like estimated taxes, self-employment taxes, state and local sales taxes, and more.
Choosing the right business structure – Almost every new business owner asks this question: What’s the best legal structure for my business? Unfortunately, there’s no one right answer and determining the best approach often involves the help of a professional.

The Startup Kit also comes with tons of interactive information, business how-to’s, and frequently asked questions, including:

How to properly fund your business
Developing good financial habits
Understanding the importance of marketing
Learning how to protect yourself and your business

Visit the NASE on Facebook to get a free preview of chapter 3 of the kit: Know The Legalities of Operating Your Business. NASE’s Startup Kit is also available in digital form on iTunes, nook, and on Kindle.

America’s smallest businesses – the self-employed and micro-businesses with fewer than 10 employees – are both vulnerable to the current economic climate and critical to our economic recovery. These businesses have demonstrated the highest, steady growth rate in recent years. Between 2006 and 2007, self-employed businesses demonstrated a 4.5 percent growth rate.

“Our economy would benefit from a renewed focus on self-employment, such as a new national self-employment initiative that will foster entrepreneurialism and allow new and existing businesses to flourish,” said Arslan.

NASE Urges Lawmakers To Launch National Self-Employment Initiative

NASE — Wednesday, 12 October, 2011 14:24:35 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., October 12, 2011 – With lawmakers shelving President Obama’s jobs bill in favor of breaking it into smaller pieces, Congress has little to offer right now from a policy standpoint to help kick start our economy. Glaringly absent from the jobs debate has been specific proposals that speak to how to encourage and support startups and the self-employed, our nation’s biggest job creators.

The National Association for the Self-Employed (NASE) has introduced a National Self- Employment Initiative to get the conversation started.

“There is no doubt we need more Americans earning a paycheck and contributing to get the economy back on track,” said NASE President and CEO Kristie L. Arslan. “The NASE’s National Self-Employment Initiative provides a framework to lawmakers on how we can foster entrepreneurialism and allow new and existing businesses to flourish.”

The Initiative has four key parts, detailed below:

Simplify the Tax Code – Prioritize simplifying the tax code and creating tax parity for self-employed businesses. Small-business owners must be their own Human Resources, Sales and Accounting Departments, among other tasks. They do not have the resources of big businesses who can hire teams of people to manage their affairs and keep them compliant with current law. A few small changes to the tax code would make a big impact for the nation’s smallest businesses.
Financing for Start-ups and the Self-Employed - Access to capital is crucial to the growth of new firms and micro-lending is especially important to help bolster the self-employed. While last year’s Small Business Jobs Act promised increased funding opportunities through small community banks and credit unions, that program has yet to materialize, leaving business owners to rely on credit cards and their own savings to get by or expand.
Teach the Rewards of Self Employment - Foster entrepreneurship education in secondary schools as well as colleges and universities. Make starting a business a viable career option for our young Americans and teach them the skills they need to take turn their ideas into profitable businesses.
Creation of State-Led Entrepreneurial Programs - Assist all states in launching self-employment training programs for residents. These training programs should be available free to all unemployed citizens providing them with an avenue to create their own job, should they be unable to find one.

“The first step to creating jobs is encouraging out of work Americans to create a job for themselves through self employment. In this difficult economic climate, offering tax incentives to corporations to hire will not do the trick. The only viable path to economic recovery is by promoting the innovation and job creation that comes from new business startups,” commented Arslan.

Arslan recently wrote a commentary on the need for the National Self-Employment Initiative on the Huffington Post.

National Self-Employment Initiative For Small Business Needed

NASE — Wednesday, 5 October, 2011 12:31:47 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Arslan: “Long-Term Policy Solutions Are a Recipe for Innovation and Job Creation”

Washington, D.C., October 5, 2011 – Despite the heightened rhetoric about America’s small business community fueling economic growth, this critical business sector has been largely left out of the policy discussion pertaining to the President’s American Jobs Act and our national debt. Kristie Arslan, President & CEO of the National Association for the Self-Employed, the leading advocate for our nation’s smallest businesses - the self-employed and micro-businesses - offered the following situation analysis as our policymakers struggle to get our economy back on track:

“It’s politics as usual in Washington – the fight over the President’s jobs bill leaves America’s unemployed and underemployed wondering if Washington actually gets it. Our policymakers like to claim they want to help the small business community, but don’t take action to back it up. The economic outlook for our nation’s small businesses – the self-employed and micro-businesses – is bleak even if we avoid the threatening double-dip recession. Giving small businesses the support they need to turns things around should be a top priority that rises above party politics up on Capitol Hill.

“Too many of the current policy proposals are focused on what Washington sees as the job-producing class – the wealthiest Americans – who are clearly not creating jobs with or without generous incentives. We need a national self-employment initiative to help America’s smallest businesses survive the current economic turmoil and help some of the nine million people who are out of work to join their ranks. The initiative should prioritize simplifying the tax code and creating tax parity for self-employed businesses, direct small business financing to startups and the self-employed, foster entrepreneurship education in secondary schools as well as colleges and universities, and assist all states in launching a self-employment training program to be available to unemployed residents. These long-term policy solutions are a recipe for innovation and job creation in our nation.”

In a recent interview with McClatchy, Arslan argued that the jobs and tax discussion has focused on support for the larger corporate businesses, not the small business community. With the majority of all small businesses containing just 10 or fewer employees, Arslan noted that relatively inexpensive, small fixes to the tax code could have a profound effect on providing support for American’s smallest businesses. Creating long-term tax and economic policy instead of implementing short-term fixes can foster long-term growth.

Small Biz Reax To POTUS Jobs Plan

NASE — Thursday, 8 September, 2011 19:00:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Small Tweaks to Existing Law Creates Jobs and Boosts Economy

Washington, D.C., September 8, 2011 – As President Barack Obama presents the American Jobs Act before a joint session of Congress, Kristie L. Arslan, President & CEO of the National Association for the Self-Employed, the leading advocate for our nation’s smallest businesses - the self-employed and micro-businesses - offered the following statement on critical actions both the President and Congress can take to get our economy moving:

“We can all agree that we must take bold action to address persistently high unemployment and get Americans back to work. Small business is the engine of our economy and now is not the time to pay lip service to the small business community - now is the time to turn those words into action.

“America’s smallest businesses - the self-employed and micro-business - are looking for our policymakers to make small tweaks to existing law that will go a long way.

“The key is for any action taken to have a measurable and positive impact on the economy. Economists estimate that each dollar added to employees’ paychecks thanks to payroll tax relief generates 90 cents in spending. A pretty good economic stimulus, but extending that same dollar to employers as well will generate an additional $1.20 in economic activity. Broad payroll tax relief will allow the self-employed, who pay both the employee and employer portions of the payroll tax, to significantly stimulate the economy. Stabilization and growth is essential to creating the conditions for adding jobs and getting America back to work.”

In advance of President Obama’s jobs speech before Congress, Arslan authored an op-ed in Roll Call, Open Letter to the President and Congress, that called on the President and Congress to make the tough decisions required to fix our economy.

NASE Gives $52,000 In College Scholarships

NASE — Monday, 22 August, 2011 11:42:56 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Over $1.9 Million Awarded In 23 Years Of Academic Support

Washington, D.C., August 22, 2011 – Just as states across the nation are cutting financial aid due to budget shortfalls, the National Association for the Self-Employed awarded $52,000 in scholarship money to help 10 families send their children to college.

Merit-based scholarships worth $4,000 were awarded to 10 students. The NASE Future Entrepreneur received $12,000, with a promise of $4,000 more for his senior year as long as he maintains a high academic performance.

The scholarship awards will be used to defray the cost of tuition, which has risen to an average of $7,605 per year for four-year public colleges, and $27,293 per year for private schools, according to the College Board.

“For 23 years, the NASE has viewed this scholarship program as a way to help our members send their children to college,” said Kristie L. Arslan, NASE president. “The students can study any subject at any accredited college. I’m proud we can help these students achieve their dreams.”

The NASE Scholarship Program began in 1989 as a way to invest in the future of entrepreneurship. Since its start, over $1.9 million has been awarded to the dependents of NASE Members.

The 2011 NASE Future Entrepreneur, Benjamin Seidel from Columbia, Mo., is the founder of website development company SRADCO Web Designs, and co-founder of CentralMO.com, a community resource website. With his scholarship of $16,000, he will be continuing his studies at the University of Missouri in Columbia as a junior this fall.

The 2011 NASE $4,000 Scholarship recipients are:

Aaron Burns of Fredericksburg, Va.
Taylor Demeter of Falls Church, Va.
Kelly Gwiner of Fostoria, Ohio
Andrea Hansen of Allison Park, Pa.
Brendan Langford of San Antonio, Texas
Michael Langford of San Antonio, Texas
Lindsey Maxon of Arlington, Texas
Russell Stockman of Weatherford, Texas
Diana Thomson of Talladega, Ala.
Alexander Vining of Poulsbo, Wash.

For more information about the NASE Scholarship Program or the 2011 recipients, please contact Kristin Oberlander at koberlander@NASEadmin.org.

Web Guru Receives NASE College Scholarship Of $16,000

NASE — Monday, 22 August, 2011 11:24:44 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Columbia, Mo., Student Founded Web Design Business, Launched Community Resource Website

Washington, D.C., August 22, 2011 – Benjamin Seidel of Columbia, Mo., built his first website when he was just 13, and started his own Web design company with his father’s help three years later. Seidel’s company, SRADCO Web Design, soon added website hosting, search engine optimization and other services requested by clients. In 2009, Seidel launched CentralMO.com, a community resource website, through his second company Central Missouri Online LLC. Seidel’s ability to successfully run his businesses while pursuing a college education as well as his plans to take his businesses to the next level led to his selection as the National Association for the Self-Employed’s Future Entrepreneur for 2011.

2011 Future Entrepreneur Ben Seidel
Photo credit: Jeremy DeWeese

As the NASE Future Entrepreneur, Seidel receives a college scholarship of $16,000. He receives $12,000 this year with a promise of $4,000 more for his senior year as long as he maintains a high academic performance.

This fall, Seidel will be entering his junior year at the University of Missouri in Columbia, where he is majoring in economics and finance. He graduated from Christian Fellowship School with a 3.9 grade point average.

“Ben embodies the entrepreneurial spirit that is thriving in young people across America,” says NASE President Kristie L. Arslan. “The NASE is proud that this scholarship will help Ben achieve his dreams for the future.”

The NASE Future Entrepreneur Scholarship is the largest scholarship of its kind in the U.S. It is the flagship award of the NASE Scholarship Program, which has awarded over $1.9 million since its inception in 1989. In 2011, 10 students across the country received $4,000 scholarships for academic excellence.

For more information regarding the NASE Scholarship Program or Seidel, contact Kristin Oberlander at koberlander@naseadmin.org. High resolution photographs available.

Small Biz Reax To Credit Downgrade

NASE — Tuesday, 9 August, 2011 10:49:20 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

While Economy Continues To Stumble, Payroll Tax Break Must Be Extended To Both Employers And Employees

Washington, D.C., August 9, 2011 – As the economy continues to decline amidst a historic downgrade of our AAA credit rating status, Kristie Arslan, President & CEO of the NASE, the leading advocate for our nation’s smallest businesses - the self-employed and micro-businesses - offered the following statement on the impact the downgrade will have on the small business community:

“Congress spent the summer playing debt-limit roulette and the country is struggling to make sense of the 11th hour outcome and what it means for the weak pulse of economic recovery. Credit rating giant Standards & Poor's did not hesitate to pass judgment on our political leaders and cite a lack of confidence in their ability to manage the deficit when it downgraded America's credit rating on Friday. It appears so far that the stock market is inclined to agree with S&P's assessment.

"Americans have good reason to be disgusted with Congress for risking our fragile recovery with political brinksmanship. Not only did the downgrade make our country's long-term debt a less attractive investment, but it will also likely raise interest rates for the 22 million self-employed entrepreneurs who are focused on getting their business - and, as a result, the economy - back on track. Increasing the cost of business and personal loans during difficult economic conditions is not a formula for growth.

"Even the smallest business has to manage its debt and balance its books to succeed. It shouldn't be too much to ask the world's largest economy to demonstrate the same level of fiscal responsibility.”

During a press conference on Monday, President Obama called on the U.S. Congress to extend the payroll tax break to encourage economic activity while our fiscal woes continue:

“Specifically, we should extend the payroll tax cut as soon as possible, so that workers have more money in their paychecks next year and businesses have more customers next year…In fact, if Congress fails to extend the payroll tax cut and the unemployment insurance benefits that I’ve called for, it could mean 1 million fewer jobs and half a percent less growth.”

Moody’s Analytics Chief Economist Mark Zandi signaled his support for extending the payroll tax break to both employees and employers to help boost the economy. On a recent CNN Situation Room, he commented:

“Well, I think there's some things we should do. Yes. For example, we have a payroll tax holiday, 2 percent this year. It expires at the end the year. Probably would make sense, given the context of these job numbers, to extend that [to employees] for another year. There's also some discussion about providing a payroll tax holiday for employers. That may also be something to consider.”

Kristie Arslan has argued that it is essential for the U.S. Congress to extend the payroll tax measure to both employers and employees.

CA Business Owner Receives $20,000 Award From NASE For Small-Business Excellence And Innovation

NASE — Monday, 18 July, 2011 09:00:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

A dog chases a lure from Wicked Coursing (La Mesa, Calif.)

Washington, D.C., July 13, 2011 – Pat Bennett, owner of La Mesa, Calif.-based small business Wicked Coursing, recently received a $20,000 award from the National Association for the Self-Employed (NASE) in recognition of her excellent small-business practices and her success in doing less with more while simultaneously driving innovation.

Bennett founded Wicked Coursing, a lure coursing equipment manufacturer, in 2008. Wicked Coursing specializes in fun and easy-to-use equipment for lure coursing, a fast-paced chase sport for dogs. As a member of the NASE, Bennett applied for and received a $5,000 Growth Grant™ in December 2010 – part of $550,000 in grants given by the NASE since 2006 in response to members’ needs for access to capital.

According to an NASE Member survey, 77% of America’s micro-business owners do not believe there are enough funding resources available. A majority of respondents reported having to use personal savings to start their businesses and identified a need for funding from associations and nonprofit organizations.

Bennett used the original grant funds to launch Wicked Coursing’s latest and most accessible product, the ZippityDog™, for sale on her website. Some of the funds were also used for tooling for a critical component in the L’il Monster product, allowing Wicked Coursing to remain competitive but also grow and bring an entry-level product to market. Bennett had received orders for 20 ZippityDog machines shortly after launching the product on her website, and has already sold more of her products in the first two quarters of 2011 than in entire past years. Bennett’s ability to leverage a small amount of money to expand her business, as well as her drive to design, manufacture and bring multiple products to market on her own prompted the NASE to select her out of 16 other grant recipients for a further financial award of $20,000.

“Transforming just the glimmer of an idea to a reality with a full-blown product out on the market has been a big challenge,” Bennett said. “Without the grant there’s no way I would have been able to get a new product out to the market so quickly. We’re still growing and experiencing growing pains, and this award from the NASE is truly phenomenal for us and will help take our business to the next level.”

“Pat truly exemplifies today’s small business owner,” said NASE President Kristie Arslan. “So many business owners are having to do more with less, and we’re thrilled to recognize Pat’s hard work and invest in the future of Wicked Coursing.”

Arslan presented Bennett with a $20,000 check at a ceremony in front of her family, friends and Wicked’s employees and business associates. High resolution photographs are available. E-mail Kristofer.Eisenla@widmeyer.com.

Health Reform Law Will Require Self-Employed To Purchase Less Flexible, More Expensive Coverage

NASE — Wednesday, 13 July, 2011 10:07:32 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

NASE Participates In Joint CAHC, U.S. Chamber Event On Controlling Health Costs

Washington, D.C., July 13, 2011 – In less than two and a half years, the vast majority of the self-employed and micro-businesses (fewer than ten employees) will be required by law to purchase health coverage that will likely be more expensive and less flexible than their current plan.

NASE Senior Health Policy Advisor Mike Beene said that the Affordable Care Act will cause ninety-five percent of the small business population to purchase such health coverage. Most importantly, he said, these businesses will not receive any financial assistance to help them pay for this mandated coverage. The costs of implementing these changes could discourage business growth including expansion and hiring, according to a study by the Coalition for Affordable Health Coverage (of which the NASE is a part).

Joel White, Executive Director of CAHC, remarked that “absent cost reduction strategies, if employees respond to the new federal mandate to purchase insurance by enrolling in their employer health plans, many workers will be too expensive to hire or retain. If employers respond by terminating or significantly curtailing those health plans, then federal spending projections could be low by a trillion dollars.”

A 2008 NASE study showed that only 18 percent of micro-businesses are currently providing health coverage for their workers, a significant decline from 46% in 2005. The key contributor to the drop in employer-based coverage in this micro-employer market was cost. This issue will be exacerbated with the new essential health benefits requirements, minimal cost relief and mandates in the health reform law.

“Many of the self-employed fall just short of qualifying standards for subsidies and tax credits in the health reform law,” commented Beene. “They make too much to qualify for premium assistance but too little to afford the comprehensive coverage they will be required by law to buy.”

For example, the Small Business Health Tax Credit excludes the self-employed, defined as a one-person business. The self-employed can qualify for premium subsidies for individuals and families once they take effect in 2014. To qualify, an individual must make below $43,340 and a family of four must have a household income below $88,200. The average household income for an NASE self-employed member is $62,500 for self and spouse which pushes them out of qualifying range for premium assistance.

To learn more, visit NASE’s SelfMade blog.

National Association For The Self-Employed (NASE) Names Kristie Arslan As New President & CEO

NASE — Monday, 11 July, 2011 16:44:16 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Continues As Spokeswoman For America’s Smallest Businesses

Washington, D.C., July 11, 2011 – John Wright, Chairman of the National Association for the Self-Employed (NASE)’s Board of Directors, announced today that Kristie Arslan, a ten-year veteran of the association, has assumed its leadership as President and CEO.

“In light of the challenges posed by the difficult economic climate and the evolving needs of American entrepreneurs, the NASE Board of Directors firmly believes that Kristie’s many years of service to the association, her leadership experience, and, most importantly, her vision will enhance NASE’s position as an essential partner for small business success,” said Wright. “With Kristie at the helm, we will work to make NASE sustainable and prosperous while continuing to provide our members and the nation’s self-employed with the support and guidance they need to achieve their American dream.”

“I am pleased to accept this challenge and look forward to continuing to speak truth to power as NASE helps steer our nation’s smallest businesses – the self-employed and micro-businesses – through tough economic times,” said Arslan. “Both internally here at the NASE and to the public and policymakers alike, my goal will be to ensure that our members and America’s self-employed receive the priority and support they need to start, manage and grow their businesses. ”

Kristie has been with NASE for the past 10 years, most recently as its Executive Director. With years of advocating on behalf of micro-businesses nationwide and her own personal experience working for her family’s small business, she provides critical insight into the issues affecting our nation’s entrepreneurs. She works closely with policymakers in Congress and the Administration to advocate for and speak on behalf of this important business demographic. Arslan has worked diligently to expand quality programming and educational resources for members within the organization while also increasing the visibility and influence of the NASE amongst key stakeholders, ensuring that the self-employed have a seat at the table in Washington D.C.

Currently, Arslan serves on the Board of Directors for the Coalition for Affordable Health Coverage and the Small Business Legislative Council. In addition, she is the Chair and founding member of the coalition supporting Equity for Our Nation’s Self-Employed. Arslan has been quoted and published in the New York Times, Washington Post, Wall Street Journal, Politico, Roll Call, The Hill and CQ Weekly, and has appeared on MSNBC, FOX, CNBC and C-SPAN. She is also an active blogger on Huffington Post.

“I am thrilled that Kristie Arslan has accepted the position of President and CEO of NASE,” said Scott Scribner, an NASE Board Member. “As a member of the NASE Board of Directors, I have observed with keen admiration Kristie's high energy, focused drive and personal commitment to championing the interests of our nation’s self-employed. Through Kristie's efforts, NASE is now the foremost organization representing micro-businesses and the self-employed in the United Sates. Kristie is truly a visionary for small business and I know of no one more capable of and passionate about leading NASE forward.”

Economist Mark Zandi Supports Payroll Tax Fairness

NASE — Monday, 11 July, 2011 10:42:15 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Policy Roadblocks Stiffen Economic Growth for Small Businesses

Washington, D.C. – As Congressional leaders race to address the debt-ceiling limit deadline, Moody’s Analytics Chief Economist Mark Zandi signaled his support for extending the payroll tax break to both employees and employers to help boost the economy in light of Friday’s disappointing unemployment report.

On CNN’s Situation Room, Mark Zandi commented:

“I could not agree more that extending the payroll tax break to employers will provide much needed relief to business owners, including those who operate as both employee and employer,” said Kristie Arslan, Executive Director of the National Association for the Self-Employed (NASE). “America’s smallest businesses – the self-employed and micro-businesses with fewer than 10 employees – are still struggling as the economy continues to falter. Policy makers on both sides of the aisle must put politics aside and use the payroll tax break to help the self-employed stimulate economic recovery.”

In addition, Kristie Arslan appeared on MSNBC’s Your Business this weekend to discuss economic optimism within the small business community. She argued that the self-employed community – which represents 78 percent of the small business sector – is optimistic about the economy, but not optimistic about our government’s ability to make tough decisions.

Click to watch Kristie discuss small business optimism

The self-employed contribute to the payroll tax through their self-employment taxes, paying the same amount as the combined employee/employer FICA contribution. The 2011 Obama tax cuts gave the self-employed a break on the employee half of their self-employment tax liability, but Congress will need to specifically include them in the current deal to ensure they get a break on their employer half, too. Arslan recently penned a Huffington Post piece on the benefits of a payroll tax break to the small business community.

Small Biz To Congress & Obama: Don't Forget The Self-Employed

NASE — Thursday, 7 July, 2011 15:35:20 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Any Debt-Ceiling Plan Should Ensure Fairness For All Small Businesses

Washington, D.C. – As President Obama meets with Congressional leaders to negotiate a potential debt-ceiling plan, Kristie Arslan, Executive Director of the National Association for the Self-Employed (NASE), released the following statement urging policymakers to keep the 78 percent of the small business community represented by the self-employed and micro-businesses in mind as they consider measures to give employers a break under the Federal Insurance Contributions Act (FICA).

"America's small businesses have to balance their books if they want to survive and they expect Congress to do the same," said Arslan. "Now that policymakers are negotiating a debt-ceiling deal that may include major tax reforms, including extending the payroll tax break, the majority of small businesses - self-employed and micro-businesses - expect Congress to ensure they aren't left out. Now is the time for lawmakers to put aside partisan politics and make the same kind of tough decisions that small business owners make every day.

"Rather than worrying about the political consequences of their actions, Congress and the Obama administration should ensure that any new tax relief does not exclude the self-employed. "

The self-employed contribute to their payroll taxes through the self-employment tax, paying the same amount as the combined employee/employer FICA contribution. The 2011 Obama tax cuts gave the self-employed a break on the employee half of their self-employment tax liability, but Congress will need to specifically include them in the current deal to ensure they get a break on their employer half, too. Arslan recently posted a Huffington Post piece on the payroll tax effect on the small business community.

Make The Payroll Tax Extension Fair For American Small Businesses

NASE — Thursday, 7 July, 2011 12:12:18 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

For Individuals Who Are Both Employee And Employer, Uncertain News Lingers About Economic Future

Washington, D.C. – With debt-ceiling talks thrown into limbo, Kristie Arslan, Executive Director of the National Association for the Self-Employed (NASE), released the following statement as Congress considers measures to give employers a break under the Federal Insurance Contributions Act (FICA).

“Every employee working for wages or a salary in the U.S. is currently enjoying a one-year break on the amount they pay in payroll taxes in 2011, thanks to last year’s Obama tax cuts,” said Arslan. “Currently, lawmakers are working on a debt-ceiling deal that will include extending that tax break for employees and reduce the employers’ portion of the payroll tax by the same amount. This is great news for the small business community as long as individuals who are both employee and employer -- the nation’s 22 million self-employed – are not forgotten and will qualify for this tax relief."

“Self-employed businesses are doing their part to restore confidence in the struggling economy – they contribute nearly a trillion dollars each year to the economy and provide jobs for millions of workers. They are a key to our economic recovery. Congress needs to ensure that any new tax relief does not exclude the self-employed.”

Self-Employed to Lawmakers: Simplify The Tax Code

NASE — Thursday, 30 June, 2011 10:36:24 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Move Would Help Narrow $345 Billion Tax Gap, Decrease Taxpayer Headaches

Washington, D.C., June 30, 2011 – With spending up and revenues down, Senate lawmakers are looking to rein in the tax gap in order to bring down the national debt. The tax gap is the difference between what the IRS is owed versus what it collects each year and is currently estimated at $345 billion. The National Association for the Self-Employed (NASE) has been very active in suggesting ways that the gap might be closed, including small changes to current tax code and tax policy.

“Congress has been eager to pursue methods for reducing the tax gap, often at the expense of the self-employed and micro-businesses,” said NASE Executive Director Kristie Arslan. “Instead of further complicating the tax code with added regulatory burdens on small business and increasing enforcement activities, we suggest a more balanced approach that includes simplifying the tax code and enhancing taxpayer education.”

In the past, the federal government has targeted the self-employed (Schedule C filers) as part of their collection efforts. Recently, some agencies have publically acknowledged deficiencies in the tax system, including the IRS and the Government Accountability Office. Both offices have acknowledged that most noncompliance is the result of inadvertent errors and tax loopholes that provide opportunities for noncompliance. These agencies suggested what the NASE has said for years, that simplification of the tax code is a key component to narrowing the tax gap.

It is important to note that in review of current proposals to address the tax gap, we see that they solely focus on business to business transactions. Business to business transactions are already highly regulated and have substantial reporting requirements. A large area of potential non compliance and under reporting stems from business to consumer transactions. These dealings are currently not subject to reporting requirements and the creation of those requirements would likely be prohibitive to consumers and politically unappealing to legislators.

“In the fervent drive by Congress to recoup revenues for our fast depleting federal coffers, we must take the necessary steps to make certain the path we choose is balanced and effective, rather than detrimental. The NASE believes that the collective focus should be on supporting efforts for the survival, growth and innovation of small business as a foundation for long-term economic vitality,” remarked Arslan.

Read more here about the NASE’s position on specific tax gap proposals.

NASE Appears Before Congress To Give An Update On Small Biz Legislation

NASE — Thursday, 19 May, 2011 10:42:10 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Association Urges Two-Year Extension Of Self-Employment Tax Deduction For Sole Proprietors

Washington, D.C., May 19, 2011 - The National Association for the Self-Employed (NASE) testified before the Senate Committee on Small Business and Entrepreneurship today on how the effects of the Small Business Jobs Act, signed into law last fall, have been felt by the self-employed community.

During the hearing, titled "Small Business Recovery: Progress Report on Small Business Jobs Act of 2010 Implementation," NASE Executive Director Kristie Arslan argues that, despite accounting for 78 percent of all small businesses in the U.S. and collectively contributing about $1 trillion to the economy every year, this dynamic business demographic is too often misunderstood and underrepresented in the policy fashioned for small business.

"Our nation’s lawmakers and regulatory agencies commonly craft public policy geared toward the tiny sliver of the business demographic that is corporate America," Arslan said. "This narrow policy focus on a small percentage of businesses is why the Small Business Jobs Act was so crucial to our community."

The Small Business Jobs Act of 2010 included key provisions that benefited the vast majority of micro-businesses and provided some much needed bottomline tax savings to the self-employed, including the ability of sole proprietors to deduct their health insurance costs as a business expense. As a result of the one year allowable deduction, self-employed business owners have been positively affected by the ability to lower their tax liability on their returns, thereby saving money.

NASE Member Michael Kagan of Dover-Foxcroft, Maine, is owner of M. Kagan & Associates. He is a self-employed biotech consultant with over twenty-five years of experience as an engineering and manufacturing executive in both developing and bringing products to market. Mr. Kagan saved $1,400 in taxes due to the one-year tax deduction for health insurance costs in the Small Business Jobs Act, which he reinvested in office automation for his growing business.

Read the entire testimony of NASE Executive Director Kristie Arslan, including more detail on other aspects of the bill, below:

NASE Testimony- Small Business Jobs Act Implementation

Self-Employed To Congress: Address Deficit Now

NASE — Tuesday, 17 May, 2011 13:00:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Poll Finds Majority of Small Biz Owners Support Phasing Out Bush-Era Tax Cuts for Those Earning Over $250K To Help Curb Costs

Washington, D.C., May 17, 2011 - As the Federal government announces that it has reached the debt ceiling and has shuffled funds to meet the nation’s financial commitments, micro-businesses and the self-employed believe that spending for domestic programs, job creation initiatives, tax cuts and federal subsidies should be scaled back to address the deficit, according to a recent survey by the National Association for the Self-Employed (NASE).

Ninety-three percent of micro-businesses were either moderately or significantly concerned about the federal budget deficit. Seventy-four percent said that the federal budget deficit is a significant problem that needs to be addressed immediately. In a distant second place at 17 percent were respondents who indicated that the federal budget deficit is a significant problem that needs to be addressed after our economy fully recovers.

When asked the best way to reduce the budget deficit, 63 percent of micro-business owners indicated that cutting federal spending was their top priority. Thirty-two percent said both cutting spending and raising taxes were needed.

“Day in and day out, the self-employed are required to manage their budget and balance their books,” commented Kristie Arslan, executive director of the NASE. “It is irresponsible and puts our economy at future risk for our federal government not to do the same.”

The top three proposals for tackling the deficit that micro-business owners favored were:

Minimizing Social Security benefits for upper income recipients (65%);
Increasing the payroll tax cap on wages (at present individuals only pay Social Security taxes on wages up to $106,800) (60%);
Repealing and/or defunding the health care reform law (59%).

Contrary to the larger business population, the self-employed also favored (55%) phasing out the Bush tax cuts for those making over $250,000 as a way to curb costs.

Proposals that were opposed by the self-employed included an increase in the federal gas tax (77%), imposing a national sales tax (69%) and the elimination of all tax deductions and subsidies (61%).

“The self-employed and micro-business communities are willing to do their share to ensure that our federal budget deficit is addressed and our nation’s economy steadily grows,” remarked Arslan. “However, they are not as confident in the willingness of policymakers to step up and make the political sacrifices necessary to get the job done.”

Ninety-six percent of micro-business owners had little to no confidence that Congress would make the right decisions about addressing the federal budget deficit. When asked the same question about the Obama Administration, 82 percent had little to no confidence. Yet, overwhelmingly, self-employed respondents indicated they were very (24%) or somewhat willing (46%) to make sacrifices in the form of higher taxes or a cut in government benefits if it meant that our federal budget deficit would be addressed in the next five years.

Comments from business owners:

We can't run our businesses or our households the way the government runs it’s "house", and the vote last year was a dramatic call to get that house in order. Small business owners, housewives, people who live on a budget, and the average person on the street can all see the waste; why can't our policymakers?
We have a spending problem, not an income problem. We can only solve it by cutting spending.
This problem needs to be addressed NOW! It is a very complex issue and will take considerable time to arrive at viable solutions. I think that all areas of spending/revenue should be looked at for possible adjustments.
If we cut even 10% of the defense budget, we could pay for many of our other programs! Also, if we overhaul the WAY that health care is delivered, rather than how we pay for it, we could make it much, much cheaper.
The government needs to give up a significant amount of control they desire to have and let private enterprise have more freedom to do business without so many regulations. Small businesses would grow and hire more workers if big government would get out of the way.
I have paid into Social Security since 1962. It wasn't much then and I don't collect much now, but it's not an "entitlement" - it's MY MONEY.
Tax laws should be simplified by eliminating the provisions that allow special groups to receive tax breaks, which is the best way to increase revenues.

Full survey results are available online here.

Methodology:
Posted on the NASE Web site, the survey was available for members and other small business owners to take from May 3rd through May 11th . Over 500 self-employed and micro-business owners opted-in to the online survey and respondents were prohibited from taking it more than once.

NASE Offers Members New Cost Effective Payment Processing Benefit

NASE — Monday, 16 May, 2011 11:30:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

First American Payment Systems Partners with the NASE

Washington, D.C., May 16, 2011 - The National Association for the Self-Employed (NASE) was founded in 1981 to provide day-to-day support, direct access to experts, educational resources and big business benefits to America’s smallest businesses. In an effort to continue its long tradition of providing members with quality, discounted benefits, the NASE is announcing a partnership with First American Payment Systems (FAPS) to offer yet another valuable benefit to help NASE’s member businesses stay competitive in today’s economy.

“The NASE is excited to partner with First American,” said NASE President Robert Hughes. “Essential to starting and managing a business in this age of technology is the ability for businesses to accept credit and debit cards. This exclusive benefit offering to NASE members by First American Payment Systems will help our self-employed members meet the needs of their customers. We know they will not find the quality of products, pricing and support anywhere else, and we are happy to be able to offer these advantages to the micro-business community.”

This new alliance will offer micro-businesses and the self-employed the opportunity to cost effectively accept credit cards and other electronic payments through the industry-leading processor. First American Payment Systems, L.P. is a rapidly growing payment processor that provides comprehensive electronic transaction processing services for more than 140,000 merchants throughout the United States.

“First American is eager to offer payment solutions to the NASE members, as we know both parties will benefit greatly,” said Rick Rizenbergs, Executive Vice President of Sales & Marketing at First American Payment Systems. “We are confident that the wide variety of merchants will be pleased at the products and support First American will provide.”

National Small Business Week: May 16th-20th

NASE — Monday, 16 May, 2011 11:09:53 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

President Obama, NASE, SBA Honor Self-Employed And Micro-Businesses

Washington, D.C., May 16, 2011 - More than half of Americans either own or work for a small business, according to the Small Business Administration (SBA). The National Association for the Self-Employed (NASE) is teaming up with the SBA for the 10th year in a row to sponsor National Small Business Week 2011.

For nearly fifty years, one week has been set aside annually in order to honor the contributions of the nation’s small business community. The NASE works with the SBA to help increase access to capital and lends our support to federal initiatives that have proven helpful to micro-business growth.

As in the tradition of presidents past, President Barack Obama had this to say in the annual proclamation of National Small Business Week:

“Small businesses embody the promise of America: that if you have a good idea and are willing to work hard enough, you can succeed in our country. This week, we honor and celebrate the individuals whose inspiration and efforts keep America strong.”

"The economic importance of micro-businesses and the self-employed is worthy of acknowledgement every day,” said Robert Hughes, NASE president. “However, National Small Business Week offers a formal opportunity to join in recognizing the contribution of the largest business type in the nation – self-employed firms."

For information on Small Business Week, please visit http://nationalsmallbusinessweek.com/.

Congress Introduces Home Office Deduction Simplification Bill

NASE — Thursday, 12 May, 2011 16:55:20 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Bill Would Create Optional Standard Deduction

Washington, D.C., May 12, 2011 - The National Association for the Self-Employed (NASE) is thrilled to lend support to legislation introduced today by Congressmen Kurt Schrader (D-Ore.) and Ron Kind (D-Wis.) which would simplify taxes for millions of small business owners.

The Home Office Deduction Simplification Act, HR. 1827, would allow home-based businesses to take a standard $1,500 deduction for home office expenses. According to an NASE study, more than half of small businesses are based out of a home office.

"Too many home-based business owners who are eligible for the home office deduction elect not to take it because of the complexity of the form and calculations required,” said Kristie Arslan, Executive Director of the National Association for the Self-Employed (NASE). "This means valuable tax refund dollars that could be invested back into the business are left on the table each year. The creation of an optional standard deduction will go a long way in easing the minds of these cautious business owners. The fact that this bill ensures that the standard deduction will be adjusted for inflation also ensures that future businesses will be able to take advantage of this tax benefit for years to come.”

The NASE has strongly supported efforts in both the House and Senate to create an optional standard home office deduction. The Association supported a similar House bill which was introduced in Congress by Schrader and Kind in 2009.

NASE Launches New Scholarship Program For Entrepreneurs

NASE — Tuesday, 26 April, 2011 08:22:54 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Scholarships Available For Continuing Education And Training

Washington, D.C., April 26, 2011 - Since 1981, the National Association for the Self-Employed (NASE) has offered tools and resources to help America’s smallest businesses thrive. The NASE is continuing that legacy in its 30th year by launching a new scholarship program to assist entrepreneurs in obtaining the knowledge they need to succeed.

Through the NASE’s new Succeed Scholarship™ program, association members will be able to apply for scholarships of up to $4,000 to pursue continuing education or training. Scholarships can be used toward university or college courses, training courses for business licensing and certification, or participation in conferences and seminars that will encourage and support business survival and growth.

The new program will be a tool for both prospective entrepreneurs and existing business owners. The NASE recognizes that new entrepreneurs often require education and training before starting their business, and created the Succeed Scholarship™ program to assist those considering self-employment with gaining knowledge and skills.

The NASE is planning to award multiple Succeed Scholarships annually. Applications for Succeed Scholarships are available on the NASE’s website. Submission of all required application materials must be made by June 1, 2011, in order to be considered for a scholarship award in 2011.

“We know that expanding their skill sets and knowledge base is important to the self-employed community, however many business owners often don’t have the funds available to further their own education,” said Executive Director Kristie Arslan. “With the new Succeed Scholarship program, the NASE is offering our small-business members yet another tool to help them grow and improve their business.”

To learn more about the NASE’s new Succeed Scholarship™ program, please visit www.NASE.org.

1099 Additional Reporting Law Repealed By Pres. Obama

NASE — Friday, 15 April, 2011 09:59:28 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., April 15, 2011 - The National Association for the Self-Employed (NASE) is thrilled that President Obama has signed a repeal of the additional reporting requirement regarding Form 1099 passed under the Affordable Care Act. NASE Executive Director Kristie Arslan had these comments after the repeal became law:

"America's smallest businesses - the self-employed and micro-businesses - will benefit the most from this repeal," said Arslan. "For over a year, small business organizations like the NASE have joined forces to raise awareness about the extent of damage this law would have on Main Street shops. We are pleased to see that the President has officially removed the burden from business owners' backs so, come 2012, they won't have to worry about the crushing amount of paperwork the law would have demanded."

SBA Administrator Karen Mills remarked on this historic occasion:

"The SBA and President Obama supported repealing this provision, which would have required businesses to send 1099 forms for all purchases of goods and services over $600 annually. With this bipartisan effort, we have removed a requirement that would have been an undue barrier to small business growth."

Last Minute Small Business Tax Tips From NASE National Tax Advisor, CPA

NASE — Wednesday, 13 April, 2011 09:58:16 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Entrepreneurs Expected To File Over 24 Million Returns In 2011

Washington, D.C., April 13, 2011 - Small-business owners who have put off doing their 2010 tax return so far this year have less than one week until Tax Day. The National Association for the Self-Employed (NASE) has one piece of advice – don’t panic.

“As long as you have all of your paperwork gathered in one place before starting and take the time to check your math, you’ll likely have no problem getting your return filed by April 18th,” said Keith Hall, NASE’s National Tax Advisor. “If you don’t think you’ll make it in time, you can get an automatic 6-month extension by filing Form 4868 and pay the tax you think is owed by April 18th.”

Hall offers these last minute tax tips for small-business owners who are starting to sweat:

Check for hidden deductions: If you work out of your home, your office may qualify for a deduction. Do you drive to the post office or a client site? Those miles may add up to a sizable deduction too.
Retirement Savings: Retirement savings, such as SEP contributions and IRA deposits, are deductible for last year’s tax return up until April 18, 2011. That means you can count money deposited into these accounts, up until the day you file your 2010 tax return. In the case of SEP contributions, those can even be made up until an extended due date, as late as October 15th.
Filing Date: If, despite all your rushing around, you still can't make the April deadline, relax. All tax filers can get an automatic 6-month extension by filing Form 4868 by April 18th, which you can download from the IRS Web site at http://www.irs.gov/. However, an extension of time to file is not an extension to pay. If you do not send the IRS what you think you owe, you'll be stuck with late fees and interest.
Proofread the form: Most of the mistakes on tax returns are simple addition and subtraction errors. Check your math. Then, check your math again.
Start thinking about next year: While micro-business owners may be tempted to finish their return and not think about taxes again until next year, now is a great time to reflect on how to reduce your 2011 tax liability. Consider deductions for a home office or employing your children; create a health reimbursement arrangement, which would enable the business to reimburse bona fide employees for all out of pocket medical expenses; reconsider the tax implications of incorporating your business; and research retirement plans designed specifically for the self-employed, including an IRA, SIMPLE, SEP, Single 401(k), and Keogh plan.
Look for help: Sole proprietors doing their own taxes can find help from a number of sources, including the NASE’s Tax Resource Center, where small-business owners can ask the NASE’s CPAs and tax professionals a question and hear back within a few business days. The IRS also offers a Web site (http://www.irs.gov/) and toll-free help line, 1-800-829-1040, for your tax questions.

NASE Statement On White House Small Biz Meeting

NASE — Friday, 8 April, 2011 16:25:37 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

White House Prepares Small Business Groups For Shutdown that Could Have Severe Consequences For Small Biz Community And Economy

Washington, D.C., April 8, 2011 - Kristie Arslan, Executive Director of the NASE, released the following statement after a meeting with the White House on a Government shutdown’s effect on America’s small business community:

“While we recognize that both parties want to stick to their principles, at the end of the day a Government shutdown will have severe consequences on America’s small business community. With tax day approaching, a Government shutdown could not come at a worse time for small businesses – the self-employed and micro-business – who are counting on federal loans and the infusion of capital from their annual tax refund to reinvest in their businesses. With IRS Regional Offices and tax hotlines closed, they will also be left without any support to complete their returns."

“We are finally starting to see signs of recovery in the economy and a Government shutdown will impede this positive growth. Small businesses need to manage their budget every day. It’s time for policymakers to do the same,” said Arslan.

Kristie Arslan and other small business groups met with senior officials from the White House, the Office of Management and Budget, and the Small Business Administration to prepare for a potential Government shutdown and its effects on the small business community.

NASE: Gov't Shutdown Hurts Small Business

NASE — Thursday, 7 April, 2011 13:50:09 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., April 7, 2011 - Kristie Arslan, Executive Director of the NASE, released the following statement as the threat of a Government shutdown looms and its potential effect on America’s small business community:

“A Government shutdown is a win for nobody – especially America’s small business community,” said Arslan. “The Government shutdown will send ripple effects throughout the economy. With small business loans and tax refunds stopped dead in their tracks, the small businesses that are so critical to our communities and our nation will be unable to grow or reinvest in their business. Our smallest businesses – the self-employed – will be impacted worse than most because many count on the infusion of capital they receive from their annual tax refund. I encourage President Obama and Congress to work together to ensure our Government stays open and a compromise on our federal budget is reached.”

President Obama’s recent remarks earlier in the week from Pennsylvania regarding a Government shutdown and its potential effect on small business:

“When government shuts down, it means that that small business owner who’s waiting to get a loan, suddenly nobody’s there to process it. He may not get that loan and that business may not open. And whoever he was planning to hire, suddenly he may not have that job that he was counting on.”

NASE Lauds Senate For 1099 Repeal

NASE — Tuesday, 5 April, 2011 15:56:11 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., April 5, 2011 - Kristie Arslan, Executive Director of the NASE, released the following statement after the U.S. Senate’s vote to repeal the IRS tax reporting requirement:

“With the Senate’s action today, America’s smallest businesses – the self-employed and micro-businesses – have averted a harmful regulation that would have left them facing massive paperwork burdens,” said Arslan. “The expanded 1099 reporting requirement would have hurt small businesses that are already struggling to keep their doors open. The small business community encourages President Obama to sign this important piece of legislation into law and also to remember that there are additional small policy fixes that will further help small businesses stay competitive, such as making the temporary self-employed tax deduction permanent to level the playing field with their larger counterparts.”

In addition to the IRS 1099 issue, NASE and other small business advocates have been fighting to make this year’s temporary self-employed health insurance tax deduction permanent. While every other type of business, including corporations and partnerships, can write off the cost of health coverage as a business expense, our nation’s smallest businesses were only granted a one-year opportunity. Kristie argues this point in her latest Huffington Post blog piece. A recent column by USA TODAY highlights the benefits to small businesses.

Self-Employed: How To Survive An Audit

NASE — Wednesday, 23 March, 2011 10:19:58 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Math Errors Are Among The Most Common Mistakes, Says NASE

Washington, D.C., March 23, 2011 - The IRS expects 145 million tax returns to be filed for the 2010 tax year and, of those, one in six will be self-employed Schedule C filers. A small percentage of those self-employed businesses will be subject to an audit each year.

The NASE knows that many self-employed business owners meet their tax obligations fully, so the audit process need not be feared. The IRS can review tax returns for up to three years, so now is the time to make sure all of the necessary paperwork and documentation is stored with the 2010 tax return.

“As long as taxpayers dot their I’s and cross their T’s when preparing their return, then there is no reason to worry about an audit,” says NASE National Tax Advisor Keith Hall. “It’s possible that you might even get a refund.”

The audit selection process can be a complicated one. Here are a few tips to keep in mind:

Math Errors – This is the most common reason for an audit. Check and re-check the return to make sure all numbers, dates and Social Security numbers are included. Using tax preparation software can help eliminate these errors.
Prior Audits – Prior audits and matching tax indicators (e.g. you have the same small business and same typical deductions), might increase the likelihood of being audited again. This is particularly true if last year’s audit included an additional tax assessment.
Statistical Sampling – This accounts for most of the returns that are selected for an audit. The more complicated the tax return, the higher the chance of audit selection.

The NASE offers numerous tax tools and other tips to help you get through current and future tax seasons. For help organizing your taxes, visit the NASE's Tax Resource Center. NASE members can ask our Tax Experts their questions.

Small Changes Still Needed To Nation's Health Care Law

NASE — Tuesday, 22 March, 2011 16:38:12 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

On One-Year Anniversary Of Health Care Reform Law, Small Businesses Still Find Themselves Unable To Afford Coverage

Washington, D.C., March 22, 2011 - Kristie Arslan, Executive Director of the NASE, released the following statement on the one-year anniversary of the Affordable Care Act:

“Health care reform has been aggressively promoted under the mantra of ‘affordable’ for the past year,” said Arslan. “Unfortunately, affordable is relative and coverage is still out of reach for many of the nation’s 23 million self-employed business owners. On the anniversary of the Affordable Care Act, the nation’s smallest businesses are counting on Congress to finalize a repeal of the onerous and costly IRS Form 1099 reporting requirement that was contained in the law as well as make the temporary self-employed heath insurance tax deduction permanent. While these actions won’t help every small business owner afford coverage, it’s a step in the right direction.”

NASE and other small business advocates are fighting to make this year’s temporary self-employed health insurance tax deduction permanent. While every other type of business, including corporations and partnerships, can write off the cost of health coverage as a business expense, our nation’s smallest businesses were only granted a one-year opportunity. Kristie argues this point in her latest Huffington Post blog piece.

Small Biz RX To Secretary Sebelius' Comments At Senate Hearing

NASE — Thursday, 17 March, 2011 10:06:12 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Secretary Touts Help For Small Businesses, But Fails To Address The Rising Health Care Costs For The Self-Employed And Micro-Businesses

Washington, D.C., March 17, 2011 - Kristie Arslan, Executive Director of the NASE, released the following statement in response to U.S. Health and Human Services Secretary Kathleen Sebelius’ testimony before the U.S. Senate Finance Committee’s Hearing, “Health Reform: Lessons Learned During the First Year.” During the hearing, Secretary Sebelius touted how the Affordable Care Act is helping our nation’s small businesses with their health care costs, yet fails to recognize the ballooning costs to our nation’s smallest businesses – the self employed and micro-businesses.

“Secretary Sebelius touts her agency’s efforts to notify four million small businesses that they may be eligible for a tax cut to help provide coverage to employees,” said Arslan. “This sounds like good news – except that there are 23 million self employed and micro-business owners who are struggling to afford coverage for themselves and their families right now, let alone anyone else they employ. Health insurance is a luxury item for these business owners and many are going without so they can focus on higher priority needs, like groceries and the mortgage. Four million small businesses is a start, but until policymakers focus on the majority of the small business demographic – the self employed and micro-businesses – they are not doing enough to get our economy back on track.”

During Secretary Sebelius’ testimony, she said:

“More than 4 million small businesses have been notified that they may be eligible for a tax cut to help them provide coverage for their workers – a benefit that’s already making a difference, with the number of small firms offering health benefits rising for the first time in a decade. By slowing the growth of health care costs, the new law will free businesses to invest in their own growth and create new jobs.”

NASE Launches New Membership Offering And Redesigned Website For Small Business

NASE — Wednesday, 9 March, 2011 14:53:02 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: koberlander, NASEtweets

Association Touts Exciting Changes To Encourage Successful Entrepreneurship In Today’s Tough Economy

Washington, D.C., March 9, 2011 – In today’s difficult economy, the National Association for the Self-Employed (NASE), the nation’s leading nonprofit association representing America’s smallest businesses, is doing its part to support entrepreneurship with the launch of a new annual membership and redesigned website (www.NASE.org), offering a more affordable and comprehensive suite of resources and services.

“The NASE is constantly looking for ways we can become a more vibrant partner with America’s self-employed,” said NASE President Robert Hughes. “Our focus has been re-aligned to support those examining self-employment as a viable career option as well as current business owners who want to continue to grow and create jobs in this country.”

The NASE has utilized the knowledge gained by working for over 30 years with small businesses to transform its membership offering and the NASE.org online user experience to focus on three key areas: educational resources, business benefits and a seat at the table for the self employed in Washington D.C.

The NASE recognizes that most individuals who work for themselves are not legal experts, nor do they have an HR department or CPAs on staff. As their partner, the NASE’s new annual membership provides access to key experts and informational resources that can help prospective and existing entrepreneurs start, manage and grow their business.

The redesigned website allows entrepreneurs to find the timely and accurate information they need, with ease. Educational material is offered in a variety of formats such as articles, podcasts and webinars. Additionally, the new annual membership offers individuals access to an array of business benefits providing a one-stop shop for business owners.

With issues like the economy, health care and taxes being taken up by our policymakers on Capitol Hill, the NASE also provides the self-employed with a seat at the table. The Association tirelessly works to ensure that the over 21 million self-employed Americans are represented and lawmakers focus on helping, not hurting the bottom line of this important sector of our economy.

“Policy, not politics, is what drives the NASE,” commented Executive Director Kristie Arslan. “Regardless of whether you are a business of one or have 100 employees, your contributions to our economy matter and your voice should be heard. Being a member of the NASE allows you the opportunity to tell your story.”

To learn more about the NASE’s new annual membership and to explore our resources, please visit www.NASE.org.

Briefing: Self-Employment Health Insurance Tax Deduction

NASE — Tuesday, 8 March, 2011 15:03:00 EST

FOR PLANNING PURPOSES
March 9, 2011

**MEDIA ADVISORY**

WASHINGTON – Please join Kristie Arslan, Executive Director of the National Association for the Self-Employed (NASE), for a conference call briefing on the temporary self-employed health insurance tax deduction available to individuals who pay self-employment taxes on their 2010 tax returns. Kristie will also discuss recent efforts to make this tax deduction permanent and to redress an historic unfairness in the tax code’s treatment of self-employed and micro-business owners.

Conference Call Briefing

Thursday, March 17th
2:00PM Eastern Standard Time
Call In Number: 1-866-628-8620
Participant Passcode: 324784

Please see the below Huffington Post blog piece by Kristie about the temporary tax deduction and the many benefits of making the deduction permanent.

It is a sad, but true fact: health insurance is a luxury item for many small business owners, purchased when times are good and forsaken when times are lean. This is especially true for self-employed and micro-businesses -- our nation's smallest businesses. Thanks to a minor quirk in the tax code that has a major effect on their bottom lines, the self-employed are the only business entities that receive no tax benefit for purchasing coverage. Every other type of business, like corporations and partnerships, can write off the cost of health insurance as a business expense.

Congress delivered a temporary reprieve of this historic oversight in the form of the self-employed health care tax deduction included in the passage of last fall's Small Business Jobs Act. For the 2010 tax year, self-employed business owners are able to deduct the cost of their health care coverage, which will put about 15% of their premium back in their pocket. For the average self-employed business owner, the temporary deduction amounts to about $2,000.

Click here to continue reading…

With tax day around the corner, Kristie would enjoy the opportunity to brief you on this important tax deduction for our nation’s smallest businesses. If you are interested in joining the conference call, please RSVP to this email, Kristofer.eisenla@widmeyer.com.

NASE Praises House Repeal of 1099 Provision

NASE — Friday, 4 March, 2011 09:00:00 EST

Washington, D.C., March 4, 2011 - Kristie Arslan, Executive Director of the National Association for the Self-Employed (NASE), released the following statement after the House passed a repeal of the onerous 1099 legislation:

“The NASE is pleased to see that the House has supported the permanent removal of this law from the backs of the self-employed. Not only does the increased reporting discriminate against small enterprises who do not have the luxury of having an accounting department on staff, it causes needless double-reporting of business credit card transactions for goods and services. The Senate needs to act now to do away with this troublesome law once and for all.”

House Introduces Tax Savings Legislation For The Self Employed

NASE — Thursday, 3 March, 2011 13:57:39 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: koberlander, NASEtweets

Bill Would Allow Sole Proprietors, For The First Time, To Deduct Health Insurance Premiums As A Business Expense

Washington, D.C., March 3, 2011 – A longtime priority of the National Association for the Self-Employed (NASE) has been introduced in the House. U.S. Reps. Wally Herger (R-Calif.) and Ron Kind (D-Wis.) have re-introduced legislation to address an unfair tax on health insurance premiums for the self-employed. Under the current tax code, sole proprietors are the only business entity that cannot deduct their health insurance premiums for self employment tax (payroll tax) purposes. Last September, Congress passed legislation allowing the self-employed to fully deduct their health coverage costs from their 2010 taxes.

This provides an important tax break for the over 23 million self-employed Americans that represent 78 percent of all small businesses in the U.S. This deduction only applies to the 2010 tax year and provides a 15% lower tax liability, resulting in a larger refund. The Herger-Kind legislation would permanently eliminate this inequality in our tax code.

NASE Executive Director Kristie Arslan added, "The temporary one-year tax deduction included in the Small Business Jobs and Credit Act of 2010 is a big "win" for the self-employed community. However, the tax deduction needs to be permanent in order to have the most impact. For far too long, the self-employed have not received the same tax treatment as big business in regards to health care costs. This bill makes a simple change in the tax code that will make a big difference to millions of entrepreneurs each year."

Read here about how the temporary SE tax deduction on 2010 returns applies to you.

Tax Time: Deducting The Business Use Of Your Automobile

NASE — Wednesday, 2 March, 2011 12:57:27 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: koberlander, NASEtweets

Small Biz Owners Often Overlook This Important Deduction
Washington, D.C., March 2, 2011 – Business expenses come with the territory when you are an entrepreneur. Some expenses, however, can be easy to miss come tax time because they do not show up in your business checkbook. Use of your car for driving to client meetings, the office supply store, the post office and more are deductible expenses because you are using your vehicle for business purposes.

Here are a few tips from the National Association for the Self-Employed (NASE) to remember in regard to deducting expenses for business use of your automobile:

Standard Mileage Rate (50 cents per business mile driven in 2010, 51 cents for 2011)
Actual Expense Method (calculate total costs of maintaining and driving your car, then multiply by the percentage of business miles to total miles driven in that car)

"The main thing the IRS will want to see in supporting this deduction is your mileage log," says NASE National Tax Advisor Keith Hall. "You must keep track of the miles you drive for business, whether it’s on your computer or handwritten in a notebook."

The NASE iPhone application TripAlly tracks, calculates and records miles driven to create the ultimate tax-deduction mileage log. Whether you need to track miles for your small business, charitable contributions, for employee reimbursement, or simply because you want to know, TripAlly can help. Download TripAlly at the iTunes App Store.

Click here for more details on TripAlly. Also check out IRS Publication 463, Travel, Entertainment, Gift and Car Expenses for more detail.

Small Business Worker Classification: Independent Contractor Or Employee?

NASE — Thursday, 10 February, 2011 14:35:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: koberlander, NASEtweets

IRS Sets Important Distinctions Come Tax Time

Washington, D.C., February 10, 2011 – The self-employed contribute a mighty portion to the U.S. economy – nearly $1 trillion. There is no question that they are helping create jobs by growing and hiring new workers. The question is, by hiring additional workers, are micro-businesses (those with 10 or fewer employees) actually creating more paperwork for themselves?

“Determining whether a new worker is an employee or an independent contractor can be tough,” says Keith Hall, National Tax Advisor for the National Association for the Self-Employed (NASE). “Keep in mind that you can’t just choose which one is easiest. It really depends on who calls the shots day to day.”

As a firm grows, many business owners decide to begin using other workers to help manage the needs of new and existing clients. At that point, the business owner must determine the tax classification for the new position he or she just created. Many small businesses think that this distinction is a matter of choice. Not so, says the Internal Revenue Service (IRS).

It is extremely important to know the classification of your workers and to make sure you pay them correctly and then report those payments correctly to the IRS at the end of the year. The IRS actually uses a multi-step checklist to evaluate whether a person is an employee or an independent contractor. If you are unsure whether to classify your newest worker as an employee or an independent contractor, here is a quick way to sort them out:

If you control the Who, Where, When and How the work is done, then they are probably an employee. This means that you, as the business owner, must file a Form W2, withhold income and payroll tax, and potentially contribute to their retirement plans.
If the worker controls their own work product and even has other customers besides you, then they are most likely independent contractors. Payments to independent contractors are reported on IRS Form 1099, and the independent contractors are responsible for their taxes and their own tax forms, including Schedule C, Profit or Loss from Business and Schedule SE, Self Employment Tax.

“It’s very important to get the decision right, because the IRS can certainly come in later and second guess, which could potentially lead to penalties and interest if taxes were underpaid,” adds Hall.

This is certainly a complicated issue and a very important one as small businesses continue to create jobs. For more details on how to classify a worker, visit the IRS online [www.IRS.gov] where you can download Form SS-8, Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding.

The National Association for the Self-Employed (NASE) also offers micro-business tax advice from certified public accountants through TaxTalk. Submit your question and receive an answer from qualified CPAs at the NASE’s Tax Resource Center.

Self-Employed: Take An SE Tax Deduction For Health Insurance Costs

NASE — Thursday, 3 February, 2011 10:20:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: koberlander, NASEtweets

Temporary Tax Provision For 2010 Creates Level Playing Field For Micro-Businesses

Washington, D.C., February 3, 2011 – For the 2010 tax year, self-employed business owners can have one more deduction to claim – their health insurance costs. The Small Business Jobs and Credit Act, passed last fall, provides an important tax break for the over 23 million self-employed Americans by allowing them to deduct health insurance costs in determining Self Employment Tax. These businesses represent 78 percent of all small businesses in the U.S., according to the National Association for the Self-Employed (NASE).

To qualify for this deduction, self-employed business owners must meet the following three criteria:

File a Schedule C or Schedule E with net earnings from self employment
File a Schedule SE and pay self employment tax
Pay health insurance costs during the year

“This is a major step forward in addressing the single most important factor facing the self employed business owner when it comes to health insurance, and that is affordability,” says Keith Hall, the NASE’s National Tax Advisor. “By allowing health insurance costs to be included as a deduction in the calculation for Self Employment tax, most small-business owners can save as much as 15% on the cost of health coverage right off the top.”

To calculate estimated savings, simply add up total 2010 health insurance costs and multiply by 15 percent. If, however, income is above the maximum wage limit subject to self employment tax, currently $106,800, then the total percentage savings will be a little different.

Until now, the self-employed couldn’t get the same tax benefit for health insurance expenses that other companies enjoy. Now, the self-employed can take a one-year tax deduction for these costs in determining their payroll tax (self-employment tax). Unfortunately, this deduction is only available for the 2010 tax year.

“We should all take the time to let our Congressional leaders know that this provision should be extended beyond just this year,” advised Hall. “Other entity forms such as corporations and big businesses get this same type of tax benefit every year, and it is only fair that small-business owners should have the same opportunity.”

Visit www.NASE.org to find out how to contact your representatives in Washington, D.C. and let them know that you support this provision.

Small Biz Is Critical To Boosting The Economy

NASE — Wednesday, 26 January, 2011 10:11:01 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., January 26, 2011 - Kristie Arslan, Executive Director of the National Association for the Self-Employed (NASE), released the following statement in reaction to President Barack Obama’s State of the Union Address:

“Enhancing competitiveness and expanding employment are solid economic goals. But policies to get us there have to take into account the demographics of our nation’s businesses. The vast majority of American businesses are very small and have little in common with the small club of corporate giants. Getting our economy back on track has to focus on helping small businesses stay afloat and thrive."

“One way we can help small businesses – such as the self-employed and micro-businesses – become more competitive and put them in a hiring mode is to improve regulatory efficiency, a goal recently promoted by the President in the pages of the Wall Street Journal. And there are plenty of opportunities for that rhetorical rubber to meet the road. For example, a largely unnoticed provision in the health care reform bill requiring small business owners to submit IRS Form 1099 for every purchase of goods and services over $600, will increase the time and money spent on tax preparation for three out of four business owners. This is a burdensome regulation that prevents small businesses from thriving."

“President Obama and Congressional leaders worked in a common sense way for our small business community by supporting critical tax relief measures in the Small Business Jobs Act and extending the Bush-era tax cuts. NASE encourages our policymakers to continue by giving the small business community the tools to put our economy back on the fast track.”

President Obama’s reference to improving the health care reform law:

“Now, I’ve heard rumors that a few of you have some concerns about the new health care law. So let me be the first to say that anything can be improved. If you have ideas about how to improve this law by making care better or more affordable, I am eager to work with you. We can start right now by correcting a flaw in the legislation that has placed an unnecessary bookkeeping burden on small businesses.”

2010 Micro-Business Year In Review

NASE — Thursday, 16 December, 2010 14:18:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: koberlander, NASEtweets

Micro-Businesses Participated NASE Grant Program, Received Health Tax Deduction

Washington, D.C., December 16, 2010 – The self-employed and micro-business owners continued to plan for business, educational and personal success in 2010. They also became crusaders for legislation for America’s smallest businesses and fair tax treatment. During that time, the National Association for the Self-Employed (NASE) continued to be a resource for these businesses as they navigated the stormy waters of the nation’s economy with advice on survival and even success.

Created to provide a boost to deserving micro-businesses, the NASE’s Business Development Grant Program continued to flourish and even presented a $20,000 Achievement Award to one member in recognition of his excellent small-business practices and his contribution to local youth, health and community development. The NASE’s grant program has awarded over $500,000 in grants since 2006.

The NASE also celebrated over two decades of helping members send their dependents to college through the NASE Scholarship Program. In 2010, the program helped 20 families send their students to college, in addition to the recipient of the substantial NASE Future Entrepreneur Scholarship. Since the program was started in 1989 as a way to invest in the future of entrepreneurship, over $1.9 million has been awarded to the dependents of NASE Members.

The NASE is happy to help assist micro-business owners in other ways, as well. The NASE has been working with the Obama Administration to make sure that the needs of small-business owners are not forgotten. To that end, a group of NASE Members attended a live taping of a town hall-style meeting with President Barack Obama on MSNBC during the summer. The NASE launched a public awareness campaign, aimed at policymakers, to combat the stereotype that the nation’s smallest businesses do not make serious contributions to the economy. In fact, the self-employed represent three-quarters of the nation’s small businesses and contribute over $1 trillion to the economy.

The Association remains in contact with members of Congress to offer information on helping micro-business. In 2010, the NASE spoke up on a number of issues, including worker classification definitions, harmful increased reporting requirements passed under the health care law, support for the creation of a standard home office deduction and support for a small business bill with tax incentives and increased funding for small business programs.

This year, amid the conversations by lawmakers on how to craft health care policy and create jobs, the micro-business community received a nod from the White House and Congress when the Small Business Jobs and Credit Act (H.R. 5297) became law in September. The law included a monumentally important deduction for sole proprietors on their health care costs for 2010. In past, sole proprietorships were the only business entity that were unable to deduct their health insurance premiums as a business expense. Though the NASE would have preferred that the deduction become permanent, the law’s one-year deduction is an important step in the fight. The law also included an increase in the deduction for new businesses, from $5,000 to $10,000.

The NASE stayed visible in efforts to address a harmful provision set to affect the self-employed in 2012. Passed under the health care law was an increased reporting requirement for businesses involving the IRS Form 1099. The provision calls for business owners to fill out a 1099 for every transaction over $600 to a service provider or vendor. The Form 1099 reporting system has historically been utilized for payments made to independent contractors. Since forty percent of NASE members perform their business’s accounting functions on their own, they expect the new law to increase the amount of paperwork they do each year by over one-thousand percent. This issue, which had bi-partisan legislation introduced in Congress to repeal this harmful provision in 2010, will remain a top association priority in 2011.

Following the success of the NASE’s Tax Seminar program in 2008 and 2009, in March the NASE’s National Tax Advisor Keith Hall held fourteen seminars across the country to share micro-business tax strategies and to bring together fellow NASE Members.

Visit the NASE on the Web (www.NASE.org) for more micro-business programs and news, including information on business grants and scholarships. For a list of legislative priorities, click on “Advocacy.”

NASE Applauds President And Congressional Leaders For Bush-Era Tax Compromise

NASE — Tuesday, 7 December, 2010 10:28:34 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., December 7, 2010 - Kristie Arslan, Executive Director of the National Association for the Self-Employed (NASE), released the following statement on the compromise between President Obama and Congressional leaders on extending the Bush-era tax cuts, leading the way for economic relief for the small business community and the middle-class:

“The compromise between President Bush and Congressional leaders on extending the Bush-era tax cuts is a win for the small business community,” said Arslan. “During this time of economic uncertainty, small business owners need this economic relief for their very survival. Over 23 million individual small business owners will now be able to keep their businesses on a path to recovery without the threat of closing their doors due to a big tax bill in April. NASE applauds President Obama and Congressional leaders for working in a bipartisan way for America’s middle-class.”

NASE Calls On Congress To Extend Bush Tax Cuts For Small Business Owners

Kristin Oberlander — Thursday, 2 December, 2010 16:00:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., December 2, 2010 - Kristie Arslan, Executive Director of the National Association for the Self-Employed (NASE), released the following statement after the U.S. House of Representatives passed an extension of the Bush-era tax cuts for the middle-class:

“This is the wrong time to raise taxes for small businesses. Over 23 million individual small business owners across the country are counting on Congress to stand up for the American middle-class by extending the Bush tax cuts,” said Arslan. “The time for political bickering is over – now is the time to provide relief to millions of American middle-class families who desperately need it during this economic downturn."

“Self-employed business owners contribute nearly a trillion dollars to our economy and they cannot afford a tax hike, which for the average small business will amount to more than $2,000 a year. This may be small change to a large corporation, but to a small business owner it could purchase health insurance, pay for equipment, or advertise their business. We support President Obama’s commitment to middle-class small business owners and call on Congress to work in a bipartisan way to extend these vital tax cuts.”

Quotes from President Obama on November 3, 2010:

“With respect to the [expiring Bush-era] tax cut issue, my goal is to make sure that we don’t have a huge spike in taxes for middle-class families. Not only would that be a terrible burden on families who are already going through tough times, it would be bad for our economy. It is very important that we’re not taking a whole bunch of money out of the system from people who are most likely to spend that money on goods, services, groceries, buying a new winter coat for the kids.”
…
“So my goal is to sit down with Speaker-elect Boehner and Mitch McConnell and Harry and Nancy sometime in the next few weeks and see where we can move forward in a way that, first of all, does no harm; that extends those tax cuts that are very important for middle-class families; also extends those provisions that are important to encourage businesses to invest, and provide businesses some certainty over the next year or two.”

NASE Applauds Supportive Comments By President On Small Biz

NASE — Wednesday, 3 November, 2010 18:00:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., November 3, 2010 – Kristie Arslan, Executive Director of the National Association for the Self-Employed (NASE), released the following statement after the President delivered supportive comments on small business priorities at a press conference earlier today:

“NASE is encouraged that President Obama is focused on two priority policy issues that need to be addressed to help the nation’s 23 million self-employed and micro-business owners drive economic growth. The IRS Form 1099 provisions passed under the health care law would increase paperwork for a self-employed business owner by more than a thousand percent, a burden that could affect a business’ very survival. He’s right to suggest that it’s “counterproductive.” He also pledged to extend tax cuts to help middle-class families, many of whom are supported by a self-employed business owner. NASE looks forward to working with the Administration and Congress to get these priorities in place for our small businesses.”

Relevant quotes from the President’s remarks:

I know one of the things that’s come up is that the 1099 provision in the health care bill appears to be too burdensome for small businesses. It just involves too much paperwork, too much filing. It’s probably counterproductive. It was designed to make sure that revenue was raised to help pay for some of the other provisions, but if it ends up just being so much trouble that small businesses find it difficult to manage, that's something that we should take a look at.
…
With respect to the [expiring Bush-era] tax cut issue, my goal is to make sure that we don’t have a huge spike in taxes for middle-class families. Not only would that be a terrible burden on families who are already going through tough times, it would be bad for our economy. It is very important that we’re not taking a whole bunch of money out of the system from people who are most likely to spend that money on goods, services, groceries, buying a new winter coat for the kids.
…
So my goal is to sit down with Speaker-elect Boehner and Mitch McConnell and Harry and Nancy sometime in the next few weeks and see where we can move forward in a way that, first of all, does no harm; that extends those tax cuts that are very important for middle-class families; also extends those provisions that are important to encourage businesses to invest, and provide businesses some certainty over the next year or two.

Small Business Jobs & Credit Act Signed Into Law

NASE — Tuesday, 28 September, 2010 12:08:48 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

NASE Participates In Signing Ceremony With President Obama

Washington, D.C., September 28, 2010 – Yesterday, President Barack Obama signed into law legislation that will allow the self-employed to deduct their health insurance costs as a business expense for payroll tax purposes. Though only applicable to 2010 tax returns, the passage of this proponent is a key “foot in the door” for future battles on health costs and the self-employed, according to the National Association for the Self-Employed (NASE).

Before signing the bill, President Barack Obama offered a few remarks:

Now this is important because small businesses produce most of the new jobs in this country. They are the anchors of our Main Streets. They are part of the promise of America – the idea that if you’ve got a dream and you’re willing to work hard, you can succeed. That’s what leads a worker to leave a job to become her own boss. That’s what propels a basement inventor to sell a new product – or an amateur chef to open a restaurant. It’s this promise that has drawn millions to our shores and made our economy the envy of the world.

“The NASE lauds the Administration and Congress for passing this small business legislation into law,” remarked NASE Executive Director Kristie Arslan. “It is imperative that lawmakers continue to focus on small business policy that helps the majority of the business community – the self-employed.”

The one-year tax deduction for sole proprietors on health care costs for payroll tax purposes on their 2010 tax returns is expected to save self-employed business owners approximately $456 to $968 in taxes next year. This is a significant bottom-line cost savings in this difficult economic climate.

Additionally, the temporary provision will provide a one-year level playing field for America’s smallest businesses that have not benefited from the same tax treatment of health care costs that all other businesses have enjoyed.

To learn more about the qualifications and requirements to benefit from this one-year tax deduction, please visit NASE In Action for an informational sheet on this important provision.

The NASE, in coordination with the coalition supporting Equity for Our Nation’s Self-Employed, will continue efforts to make this tax benefit permanent for self-employed Americans.

Small Business Jobs & Credit Act To Be Signed Into Law By President Obama

NASE — Thursday, 23 September, 2010 16:30:51 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Self-Employed To Receive Health Care Cost Assistance, Access To Capital, Other Tax Incentives

Washington, D.C., September 23, 2010 – The National Association for the Self-Employed applauds the U.S. House of Representatives for its quick action regarding approval of the Small Business Jobs and Credit Act. The legislation provides a key health tax deduction for the self-employed, though only for one year, that the health care bill failed to offer.

“Finally Congress has provided some tax relief that America’s smallest businesses will be able to see benefit their bottom line. The NASE is thrilled that a longtime priority for the self-employed has been realized with passage of this legislation, even if it is only temporary relief,” remarked NASE Executive Director Kristie Arslan. “A top focus from here will be to make permanent the ability of sole proprietors to deduct their health costs as a business expense, as all other businesses do.”

Key provisions in the bill that will assist the self-employed include:

A one-year tax deduction for sole proprietors on health care costs for payroll tax purposes on their 2010 tax returns
A temporary increase in the maximum deduction for business start-up expenditures in 2010 and 2011 from $5,000 to $10,000, subject to a $60K threshold
Extension of the Sec. 179 expensing provision that allows small businesses to immediately expense up to $500,000 (up from $250,000) for tangible personal property and up to $250,000 for improvements to leasehold property and retail property
Creation of a $30 billion Small Business Lending Fund to encourage small local banks and credit unions to increase loans to small businesses

NASE Urges House To Take Quick Action For America's Smallest Businesses

NASE — Wednesday, 22 September, 2010 14:19:02 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., September 22, 2010 – As the House returns to take up the Small Business Jobs Act this week, Kristie Arslan, Executive Director of the Legislative Offices of the National Association for the Self-Employed (NASE), released the following statement urging quick action:

“The House needs to act now to help Main Street,” said Kristie Arslan, executive director of the NASE. “One of the provisions in the Small Business Jobs Act addresses a key component for the self-employed, which the health care reform law failed to do. It will finally allow the self-employed, though only for one year, to write off their health costs as a business expense, just like big business can.”

Earlier this week, Roll Call published an op-ed by Kristie Arslan, where she urged the House to take swift action in sending the legislation to the President. The Small Business Jobs Act will provide much needed relief for many small businesses, including the three American’s below:

Kimberly Gladis
CorePerformX Advisory Group
Gaithersburg, MD

“As I contemplated leaving a 15 year career in the corporate environment, one of the scariest and riskiest barriers to my departure was securing individual health care coverage. As a single mother of a 4 year old, I was concerned with finding a good quality plan that was also affordable. As a newly-formed LLC, I am very excited to see Congress focusing on small business, which I believe is the heart of the American economy. I believe that if Congress was able to lower the small business health care hurdle, we could anticipate more small business start ups in the future.”

Alex Echols
Terra Altus, a conservation consulting firm
Alexandria, VA

“It is time we put the tax treatment of health insurance for the self employed on equal footing with the tax treatment of health insurance for those employed by others. Why do we penalize those willing to take a risk and create a new business and jobs? Why should their families be put at risk? The "level playing field" is one of the clichés of this town – let’s level the playing field for those creating jobs and paying the full insurance costs out of their own pocket.”

Omar Uddin
UVision Consulting, Business Technology Consultancy
Ashburn, VA
http://www.uvisionconsulting.com

“Having been a sole proprietor and entrepreneur over the past 10 years, the Small Business Jobs and Credit Act and other legislation of its kind focusing on the challenges existing for entrepreneurs and small business owners is what America needs to bounce back from a potential double dip recession. A sole proprietor's health costs should definitely be deductible and this act, if passed, will surely impact the way I and other business owners grow our business, especially with the ever rising cost of health care across our country.”

NASE: Lawmakers Finally Act to Help Main Street

NASE — Thursday, 16 September, 2010 17:00:22 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Self-Employed to Receive Much Needed Tax Relief from Small Business Jobs and Credit Act

Washington, D.C., September 16, 2010 – The National Association for the Self-Employed (NASE) applauds the Senate in their passage today of the Small Business Jobs and Credit Act of 2010 (H.R. 5297). In an era where the self-employed and micro-businesses (fewer than 10 employees) have grown faster than any business type, yet receive the least recognition and support from the federal government, this bill is a key first step in providing tax and access to capital relief for America’s smallest businesses.

A key victory and top legislative priority for the NASE for the past decade, is the inclusion of a one-year deduction for sole proprietors on health care costs for payroll tax purposes on their 2010 tax returns. Currently, the self-employed pay an additional 15.3% (self-employment) tax on their health insurance premium costs since they are unable to deduct those costs as a business expense. No other business entity pays additional taxes of this nature.

”Self-employed Americans have finally received some bottom-line relief in this difficult economic climate with the passage of the Small Business Jobs and Credit Act,” remarked Kristie Arslan, executive director of the NASE. “We hope that this legislation symbolizes that lawmakers are starting to pay attention to the needs of the self-employed, which represent 78% of all small businesses in the U.S.”

Other key provisions in the bill that will assist the self-employed include:

A temporary increase in the maximum deduction for business start-up expenditures in 2010 and 2011 from $5,000 to $10,000, subject to a $60K threshold
Extends the Sec. 179 expensing provision that allows small businesses to immediately expense up to $500,000 (up from $250,000) for tangible personal property and up to $250,000 for improvements to leasehold property and retail property
Creation of a $30 billion Small Business Lending Fund to encourage small local banks and credit unions to increase loans to small businesses

The bill will now head back to the House of Representatives for a final vote and is expected to be signed into law within the next week.

Despite excitement over H.R. 5297’s movement through the Senate today, the NASE hopes to see Congress address the increased Form 1099 reporting requirement passed under the health care law prior to the end of this legislative session, as well as the extension of the individual income tax rates.

Statement On The Small Business Jobs Act - September 14, 2010

NASE — Tuesday, 14 September, 2010 15:23:36 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Washington, D.C., September 14, 2010 – As the U.S. Senate advances the Small Business Jobs Act, Kristie Arslan, Executive Director of the Legislative Offices of the National Association for the Self-Employed (NASE), released the following statement:

“The time for political posturing is over. America’s smallest businesses – the self-employed – need assistance now to weather this economic storm. Representing over 77% of all businesses, the self-employed have been waiting time and time again for Congress to pay attention to the issues that are affecting their businesses; businesses that contribute to their local communities as well as our national economy. It is imperative the Senate act now to pass the Small Business Jobs Act which would offer the self-employed some much needed bottom-line tax savings and access to much-needed capital.”

“Keeping The Health Plan You Have” Not So Simple For Entrepreneurs

NASE — Wednesday, 18 August, 2010 15:00:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Micro-Businesses Are Unsure Of New “Grandfathered” Status Rules for Health Plans

Washington, D.C., August 18, 2010 – When it comes to health insurance, micro-businesses (less than 10 employees) and the self-employed have long faced difficulties finding coverage that meets their affordability and health needs. The new health care law, the Affordable Care Act, offers entrepreneurs the choice to keep the plan that they already have, provided that it meets certain requirements. The trouble is that most entrepreneurs are uncertain that their plan will meet these new rules and how the changes required by the health reform law will affect their monthly premium costs, according to a survey released today by the National Association for the Self-Employed (NASE).

Micro-business perceptions of “grandfathered” plan status:

Sixty-five percent of micro-businesses say they only somewhat or slightly understand the new "grandfathered" plan requirements and how it may impact their ability to keep their plans.
Of those aware of the requirements to maintain "grandfathered" status of a health plan, 43 percent believe they can keep their plan. Fifty-seven percent were either unsure or knew that they would not be unable to keep their current plan.
Ninety-two percent believe the self-employed and small business owners should receive a notice from their insurer or from the Federal Government about whether their plan qualifies as a “grandfathered” plan

With close to 50% of micro-business respondents wishing to keep their current coverage, a clear understanding of the “grandfathered” status regulations will be essential to a small-business owner’s ability to maintain their existing coverage.

“The self-employed and micro-businesses are always looking at how to get the best deal and health coverage is no exception,” commented Kristie Arslan, executive director of NASE’s Legislative Offices. “Our concern with the current “grandfathered” status regulations is that it leaves business owners with little wiggle room to make key adjustments to their existing health plan to maintain its affordability for the business owner and employees. Ultimately, micro-businesses will be forced to drop their plan they were hoping to keep and be pushed into the new insurance market which is likely to offer more robust, but also more expensive health plans.”

NASE’s survey found that approximately 67 percent of respondents have changed insurance carriers since the inception of their business, with 55 percent indicating that the primary driver for the change corresponded with the desire to find a better deal or lower costs. Many who made adjustments to their existing health plan to address costs did so by adjusting their deductibles – a move that, under proposed rules, would force them to lose their “grandfathered” status.

The Coalition for Affordable Health Care, of which the NASE is a member, recently submitted a letter to Health and Human Services Secretary Kathleen Sebelius containing suggestions to promote choice, flexibility and more affordable coverage to those who need it most – the self-employed and small-business owners.

Full survey results are available online on the NASE’s Research & Statistics page.

Methodology:
Posted on the NASE Web site, the survey was available for members and other small business owners to take in August. Over 230 small business owners opted-in to the online survey and respondents were prohibited from taking it more than once.

Internet Whiz Receives NASE College Scholarship Worth Up To $24,000

NASE — Wednesday, 4 August, 2010 10:05:42 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Denver, Pa., Student Developed Online Auction Site

Washington, D.C., August 4, 2010 – Zachary Gosling of Denver, Pa., was just 13 when he starting building an online auction website that would be supported by advertising and sponsorships, rather than by the big fees charged by giant auction site eBay. The creation of GozBay.com and several websites for local companies contributed to his selections as the National Association for the Self-Employed’s Future Entrepreneur for 2010.

As the NASE Future Entrepreneur, Gosling receives a college scholarship worth up to $24,000.

He receives $12,000 in the first year and can renew the scholarship for $4,000 in each of the next three years by meeting academic standards.

Gosling plans a major in economics and finance at Drexel University in Philadelphia. He graduated from Cocalico High School, where he maintained a 3.6 grade point average.

“Zach embodies the entrepreneurial spirit that is thriving in young people across America,” says NASE President Robert Hughes. “The NASE is proud that this scholarship will help Zach achieve his dreams for the future.”

The NASE Future Entrepreneur Scholarship is the largest scholarship of its kind in the U.S. and the only one that promotes the entrepreneurial philosophy. It is the flagship award of the NASE Scholarship Program, which has awarded over $1.9 million since its inception in 1989. In 2010, 20 students across the country received $4,000 scholarships for academic excellence.

For more information regarding the NASE Scholarship Program or Gosling, contact Kristin Oberlander at koberlander@naseadmin.org. High resolution photographs available.

NASE Gives $92,000 In College Scholarships

NASE — Wednesday, 4 August, 2010 09:51:44 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Over $1.9 Million Awarded In 21 Years Of Academic Support

Washington, D.C., August 4, 2010 – Just as states across the nation are cutting financial aid due to budget shortfalls, the National Association for the Self-Employed awarded $92,000 in scholarship money to help 20 families send their children to college.

Merit-based scholarships worth $4,000 were awarded to 20 students. The NASE Future Entrepreneur received $12,000, with a promise of $12,000 more over the next three years as long as he maintains a high academic performance.

The scholarship awards will be used to defray the cost of tuition, which has risen to an average of $7,020 per year for four-year public colleges, and $26,273 per year for private schools, according to the College Board.

“For 21 years, the NASE has viewed this scholarship program as a way to help our members send their children to college,” said Robert Hughes, NASE president. “The students can study any subject at any accredited college. I’m proud we can help these students achieve their dreams.”

The NASE Scholarship Program began in 1989 as a way to invest in the future of entrepreneurship. Since its start, over $1.9 million has been awarded to the dependents of NASE Members.

The 2010 NASE Future Entrepreneur, Zachary Gosling from Denver, Pa., is the founder of online auction site GozBay.com (pronounced Go Z-bay). With his scholarship of up to $24,000, he plans to attend Drexel University in Philadelphia as a freshman this fall.

The 2010 NASE $4,000 Scholarship recipients are:

Shayna Turk of Agoura Hills, Calif.
Elaina Smith of Olathe, Kan.
Alex Borland of Smethport, Pa.
Kelly Gwiner of Fostoria, Ohio
Lindsey, Maxon of Arlington, Texas
Emily Rapp of Sharon, N.H.
Lesli Meekins of Port Orchard, Wash.
Ryan Hayes of Jacksonville, Fla.
Michael Langford of San Antonio, Texas
Mary Johnston of Aransas Pass, Texas
Shannon Smith of Arlington, Va.
Alexandra Naumenko of Stroudsburg, Pa.
Brittani French of Wilmington, Mass.
Ashley Durham of Cleveland, N.C.
Hannah White of Wichita Falls, Texas
Brendan Langford of San Antonio, Texas
Katherine Pajor of Hoopeston, Ill.
Hilary Mills of Orange, Calif.
Rebecca Ralphs of Caldwell, Idaho
Katherine Pierce of Oconomowoc, Wisc.

For more information about the NASE Scholarship Program or the 2010 recipients, please contact Kristin Oberlander at koberlander@NASEadmin.org. To learn how to apply for next year's scholarship program, read more here. NASE Members should log in with their Web account to access the application.

Small Biz Lending Fund Wins Key Vote In Senate

NASE — Tuesday, 27 July, 2010 10:54:10 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Amendment Would Offer Incentives To Banks To Encourage Lending

Washington, D.C., July 27, 2010 – After days of contentious dialogue among Democrats and Republicans, an amendment to create a $30 billion lending fund for small businesses passed its first key vote in the Senate leading the way to further debate and a vote on the Small Business Jobs Act (H.R. 5297). S. Amdt 4500 would give small banks, credit unions and similar-sized affiliates a booster (in the form of lower interest rates) to make loans to micro-businesses. The lending fund has the support of the White House and the National Association for the Self-Employed (NASE).

“With so many bills in consideration before the August congressional recess, it is important that lawmakers keep the momentum going on this vital small business legislation,” said Kristie Arslan, executive director of the NASE (Legislative Offices). “Congress had no qualms providing Wall Street with assistance, now it is time that Main Street get the help they need. We strongly urge the Senate to act now to ensure that the self-employed finally get some relief.”

The parent legislation for the lending fund amendment is the Small Business Jobs Act of 2010. The bill includes key policies that the NASE believes are beneficial to micro-businesses and the self-employed. In addition to containing a one-year business deduction for health care costs, it also increases aid to start-up businesses (up to $10,000 in deduction costs with a $60,000 phase-out) and increases Section 179 expensing ($500,000 with a $2 million phase-out in 2010 and 2011).

America’s Smallest Businesses May Finally Get Much-Needed Relief

NASE — Tuesday, 13 July, 2010 12:24:27 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Small Business Jobs Act Addresses Key Health And Tax Priorities For The Self-Employed

Washington, D.C., July 13, 2010 – The self-employed and micro-businesses are often overlooked by lawmakers when it comes to policy, but that may be about to change. The Senate is considering legislation called the Small Business Jobs Act of 2010 (H.R. 5297). This bill contains key provisions that may help America’s smallest businesses in this difficult economic climate, according to the National Association for the Self-Employed (NASE).

A long-standing priority for the NASE has been included in the Small Business Jobs Act, allowing the self-employed to take a one-year business deduction for health care costs. Sole proprietors are unable to deduct their health insurance costs as a business expense, leaving them to pay more in payroll (self-employment) taxes than any other business. The NASE has been working for many years to allow the self-employed to receive the same tax treatment of health insurance costs as all other business entities. While the NASE has been working to permanently correct this inequity in the tax code, the one-year deduction in the Small Business Jobs Act is an important first step in leveling the playing field for the 23 million self-employed Americans.

To further address the needs of our nation’s smallest businesses, Sen. Barbara Boxer (D-Calif.) has offered a vital amendment to the bill, S. Amdt #4430, which helps simplify the tax code for home-based businesses. With over half of all small businesses being run out of the home, the home office deduction is an important tax benefit for small businesses. Unfortunately, the complexity and paperwork burden associated with the home office deduction drives many qualifying business owners to forgo this tax assistance. S. Amdt. #4430 would create the option of a standard home office deduction, allowing eligible business owners to avoid the complex calculations and simply opt for the standard deduction amount. The NASE is strongly urging passage of this amendment.

“Congress and the Administration give a lot of lip service to small business in regards to rebuilding the economy,” remarked Kristie Arslan, executive director of NASE’s Legislative Offices. “But here are two key proposals that would make a tangible difference in their bottomline. For a one- to two-person company, small tax benefits turn into real cash that can actually facilitate business growth.”

Other key provisions included in the Small Business Jobs Act which will provide entrepreneurs with a boost include:

Increased deduction for start-up expenses - currently, entrepreneurs can deduct up to $5,000 of expenses with a $50,000 phase-out. The bill would increase the deduction to $10,000 with a $60,000 phase-out threshold beginning in 2010.
Increase of Section 179 expensing to $500,000 with a phase-out threshold of $2 million in 2010 and 2011.
Creation of a Small Business Lending Fund which would provide federal funding to community banks, credit unions and community development loan funds to increase small business lending.

The NASE strongly supports the Small Business Jobs Act of 2010 and S. Amdt. #4430. We believe the combination of tax incentives and financing options will help new businesses build a solid foundation and help existing businesses keep their doors open. Healthy businesses mean healthy families and communities.

Micro-Businesses Want A National Energy Policy

NASE — Friday, 25 June, 2010 14:21:47 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Cite Tax Credits And Reducing Oil Dependency As Top Priorities

Washington, D.C., June 25, 2010 – Despite a challenging economic climate, saving on energy costs remains a priority for many small business owners. Fifty percent of micro-business owners have made efforts to reduce their energy costs by implementing energy-saving measures in their home and business, according to a study undertaken by the NASE. Forty percent of respondents indicated they had implemented energy-saving measures in their home only, while only nine percent of respondents indicated they had not undergone any energy-saving changes in their home or business.

In light the current oil spill in the Gulf of Mexico, 59 percent of small business owners believe that policymakers should prioritize a national energy policy. The priorities of small business owners in regards to the components of a national energy policy were closely divided between reducing dependence on oil (25 percent), avoiding the imposition of overly burdensome and costly regulations on businesses (23 percent), saving their family and business money on energy costs (21 percent), and improving the environment and the quality of air and water (18 percent).

“Micro-businesses understand that a smart, forward-thinking energy policy will help small business and our nation in the long term. Reducing our dependence on oil by cultivating clean energy will create jobs and business opportunities for small businesses while also lowering energy costs for entrepreneurs and all Americans,” commented Kristie Arslan, executive director of NASE’s Legislative Offices.

When asked about specific energy proposals suggested by Congress and the Administration, micro-business owners were in favor of tax credits and proposals to reduce oil dependency. Eighty percent of survey respondents favored tax credits to individuals who implement specific energy-saving measures in their homes, and 76 percent favored grants and tax credits to small businesses to help them afford implementation of energy-saving measures in their business. Sixty percent favored increasing the use of nuclear power and the creation of new power plants, while 61 percent favored tax subsidies to energy companies to encourage the expansion of alternative energy sources. However, 58 percent of respondents opposed the creation of a cap-and-trade system that would limit emissions of greenhouse gases.

Almost half (49 percent) of survey respondents indicated they were willing to undergo and pay for the implementation of energy-saving measures in their home and/or business. Of those that were unsure or unwilling to implement these measures, 46 percent indicated that this was due to cost.

For the full survey results, please visit NASE's Research & Statistics website.

Methodology:
Posted on the NASE Web site, the survey was available for members and other small business owners to take in June. Over 400 small business owners opted-in to the online survey and respondents were prohibited from taking it more than once.

About the NASE
The National Association for the Self-Employed (NASE) is the nation’s leading resource for the self-employed and micro-businesses, bringing a broad range of benefits to help entrepreneurs succeed and to drive the continued growth of this vital segment of the American economy. The NASE is a 501(c) (6) non-profit organization and provides big-business advantages to hundreds of thousands of micro-businesses across the United States. For more information, visit the association’s web site at www.nase.org

NASE Gives Member $20,000 Award For Small-Business Excellence

NASE — Thursday, 24 June, 2010 10:34:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: koberlander

Washington, D.C., June 24, 2010 -- Doug Springer, owner of Ellsworth, Maine-based small business Springers Gymnastics Center, today received a $20,000 gift from the National Association for the Self-Employed (NASE) in recognition of his excellent small-business practices and contribution to local youth, health and community development.

After teaching gymnastics for 20 years, Springer opened Springer’s Gymnastics Center in 2005. Springers Gymnastics specializes in the instruction of recreational gymnastics for children and young adults in a safe, professional and progressive learning environment. As a member of the NASE, Springer applied for and received a $4,100 Business Development Grant in June 2009 – part of $450,000 in grants given by the NASE since 2006 in response to members’ needs to access capital.

According to an NASE Member survey, 77% of America’s micro-business owners do not believe there are enough funding resources available. A majority of respondents reported having to use personal savings to start their businesses and identified a need for funding from associations and nonprofit organizations that provided grants and loans for small businesses.

Springer used the original grant funds to purchase additional equipment for male gymnasts, with the goal of increasing enrollment in that demographic. After receiving the grant, Springers Gymnastics saw the largest September enrollment in its five-year history, and increased its enrollment of male gymnasts by 10 percent. The tremendous impact Springer made with his grant prompted the NASE to select him out of 19 other grant recipients for a further financial award of $20,000.

"I cannot tell you how honored and humbled I am that you folks thought Springers Gymnastics worthy of recognition," Springer said. "At first, I thought it was just money, but the help, and more importantly, the new focus on my business and new motivation to make it even better is a gift you have given us that we could never repay.”

“Doug is sharing his love of gymnastics with his students, and in the process teaching them important life lessons about sportsmanship and health,” said NASE Executive Director of Communications Maureen Petron. “We’re thrilled to recognize his achievement, an invest in his future growth.”

Petron presented Springer with a $20,000 check at a ceremony in his gymnastics studio. Also in attendance to celebrate his achievement were Springer's family, staff and students. High resolution photographs of the ceremony are available. E-mail koberlander@NASEadmin.org.

Self-Employed Send A Message to Washington With Viral Ad Campaign

NASE — Monday, 14 June, 2010 08:33:32 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

“25 Million Jobs And Billions To The Economy Is Not So ‘Bunny’”

Washington, D.C., June 14, 2010 – The National Association for the Self-Employed (NASE) launched a digital advertising campaign today that seeks to raise awareness of the policy priorities of the self-employed and micro-businesses while combating the stereotype that the nation’s smallest businesses do not make serious contributions to the economy. The ads, which are running on inside-the-beltway news Web sites, depict a self-employed business owner wearing a suit, tie…and bunny slippers.

“We are undertaking this public awareness effort to shake up the unfortunate perception that if you are your own boss and work from home, your job is not as valuable as an office or factory job,” says Kristie Arslan, executive director of the legislative offices of NASE. “Not only do the self-employed contribute nearly a trillion dollars to our nation’s economy every year, but their businesses allow them to successfully provide for their families and contribute to their local communities.”

The vast majority – 95% – of all small businesses in the United States are either self-employed entrepreneurs or micro-businesses with fewer than 10 employees. There are about 25 million such businesses, which may have a storefront or be run out of a home office. Their small size makes them acutely aware of economic conditions and policy changes.

Though vulnerable to tough economic times, self-employed businesses have grown faster than all other segments of the economy in recent years and are historically a key driver of economic recovery after a recession. In fact, business startups reached their highest levels in 14 years during 2009, suggesting that laid-off workers are choosing to join the ranks of the self-employed rather than take their chances in a job market that remains unstable.

“With a growing number of Americans embracing entrepreneurialism, Washington should be finding ways to support self-employment and help them drive the country’s economic recovery,” continues Arslan. “Instead, we see a systemic behavior by our policymakers of publicly touting the importance of small business in this economic climate while they quietly issue backdoor rules and regulations that are ultimately pulling the rug out from under America’s entrepreneurs.”

Some examples of current policy issues that have dramatic negative impacts on the self-employed include:

New IRS reporting requirements that will force any business that pays more than $600 per year to a vendor for business services, inventory or property to issue a Form 1099 to that vendor;
Continued lack of a standard home office tax deduction that would allow millions of self-employed individuals access to tax relief to which they are entitled; and
Exclusion from the small business health care tax credit in the recently passed health reform law if you are self-employed or hire family members in your business, leaving the self-employed to face skyrocketing health care costs in the years ahead.

NASE’s “bunny slippers” campaign includes members of the organization, including a tax accountant, a graphic designer and a disc jockey. To learn more about the campaign and NASE’s legislative priorities, please visit http://www.NASE.org/campaigns/NotSoBunny.

New Law Increases Paperwork for Self-Employed Over A Thousand Percent

NASE — Tuesday, 25 May, 2010 21:14:23 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Expanded Reporting Requirement Requires Business Owners to File IRS Form 1099s for All Payments to Vendors Over $600 Annually

Washington, D.C., May 25, 2010 – Many of the nation’s entrepreneurs are about to become more familiar with IRS Form 1099. According to a new law set to go into effect in 2012, business owners will be required to submit a Form 1099 for every payment made via check or credit card to vendors for services, inventory or property over $600 annually. A new survey by the National Association for the Self-Employed (NASE) found that the self-employed and micro-businesses (those with fewer than 10 employees) are overwhelmingly expecting this new regulatory burden to greatly or somewhat increase the amount they spend on tax preparation.

The Form 1099 reporting system has historically been utilized for payments made to independent contractors. According to NASE’s survey, micro-businesses reportedly received an average of four Form 1099s from clients or customers and issued an average of two Form 1099s to contractors in the most recent tax year. Under the new expanded regulation, small-business owners have estimated that they will have to issue roughly 27 Form 1099s, mostly to large corporations. This is a 1250% increase in the amount of paperwork that will be required of small-business owners come 2012.

“To the mom and pop shop, time is money, and this new regulation is going to require plenty of both,” remarked Kristie Arslan, NASE executive director (legislative offices). “The bottom line is that the Form 1099 expanded reporting requirement affects companies small and large, increasing the number of forms issued and received many times over.”

As part of the new expanded Form 1099 reporting requirement, businesses will be required to obtain accurate Taxpayer Identification Numbers (TINs) from all qualifying vendors. Should the business owner be unable to do so, they would be required to withhold a portion of that vendor payment and send it to the IRS. With over 40 percent of survey respondents still preparing their taxes on their own, this added administrative workload will significantly increase the time business owners spend on paperwork and/or force them to hire an accountant, adding to the cost of doing business in this difficult economic time.

Micro-businesses across the board were concerned about the implementation and consequences of this new reporting requirement:

Like most small business owners, I run a business that allows me to sell my expertise in a certain area. Unless that area is tax preparation, there's not a single small business that won't be adversely affected by this regulation. Small business owners and entrepreneurs know they have to devote a certain amount of time to administrative tasks, but the successful business is the one that keeps administrative items to a minimum, and spends the most time on clients and customer services. This is a ridiculous plan, and punitive against small business.

I have a hard enough time doing my taxes already. This will dramatically increase the time burden and cost. I may have to let go of an employee so I can instead pay an accounting service to handle my accounting and taxes.

I work as an accountant for small non-profits and small businesses. These reporting requirements will greatly increase the amount that they will need to pay for their accounting services.

Ridiculous! Get out of our way and let us do our jobs!

NASE is currently working to repeal this onerous regulation on the micro-business community. Rep. Daniel Lungren has introduced the Small Business Paperwork Mandate Elimination Act (H.R. 5141), which would repeal this expanded reporting requirement.

To view full survey results, visit the NASE Research page: http://www.nase.org/Media/ResearchStatistics/SurveyResults.aspx

Methodology:

Posted on the NASE Web site and distributed to NASE’s membership via e-mail and association newsletters. The survey was available for members and other small business owners to take in May. Over 300 small business owners opted-in to the online survey and respondents were prohibited from taking it more than once.

Kristie Arslan is available for more information about the poll or micro-businesses. Please contact Kristin Oberlander by phone at 202-466-2100 or by email at koberlander@nase.org with additional questions or to schedule an interview.

National Small Business Week: May 23rd – 25th

NASE — Monday, 24 May, 2010 16:25:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

President Obama, NASE, SBA Honor Self-Employed And Micro-Businesses

Washington, D.C., May 24, 2010 – According to the Small Business Administration (SBA), approximately 60 percent of Americans own or work for a small business. The National Association for the Self-Employed (NASE) is teaming up with the SBA again to sponsor National Small Business Week 2010. For nearly fifty years, one week has been set aside annually in order to honor the contributions of the nation’s small business community. The NASE works with the SBA to help increase access to capital and lends our support to federal initiatives that have proven helpful to micro-business growth.

“This week, we celebrate the role of entrepreneurs and small businesses in our national life. They are the engine of our prosperity and a proud reflection of our character,” said President Barack Obama. “A healthy small business sector will give us vibrant communities, cutting edge technology, and an American economy that can compete and win in the 21st century.”

The full text of the President’s National Small Business Week proclamation can be found at:
http://www.whitehouse.gov/the-press-office/presidential-proclamation-small-business-week

"This past year has seen a new social and political focus on the importance of micro-businesses and the self-employed,” said Robert Hughes, NASE president. “Small Business Week offers a formal opportunity to join in recognizing the innovative potential of the largest business type in the nation – self-employed firms."

For information on National Small Business Week, please visit http://nationalsmallbusinessweek.com/.

Main Street, Consumers One Step Closer To Accountable Wall Street

NASE — Friday, 21 May, 2010 16:39:48 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

New Consumer Financial Protection Bureau Must Consider Small Business Impact Of New Regulations

Washington, D.C., May 21, 2010 – The effort to ensure a safer, more consumer-friendly Wall Street moved one step closer to success with the passage Thursday night of the Restoring American Financial Security Act in the Senate. Details of the final bill will now be reconciled between the House (H.R. 4173) and Senate (S. 3217), but the essence remains the same: create a consumer watchdog to protect against hazardous financial situations, regulate banks more closely and streamline massive institutions before they have a chance to fail.

– The effort to ensure a safer, more consumer-friendly Wall Street moved one step closer to success with the passage Thursday night of the Restoring American Financial Security Act in the Senate. Details of the final bill will now be reconciled between the House () and Senate (), but the essence remains the same: create a consumer watchdog to protect against hazardous financial situations, regulate banks more closely and streamline massive institutions before they have a chance to fail.

“The self-employed and micro-businesses were hit particularly hard during the financial crisis and are still reeling from its effects,” commented Kristie Arslan, executive director (legislative offices), in a recent NASE Staff Blog post. “Much of their personal finances are tied up with their business finances. Their reliance on credit cards, lines of credit and home equity loans to help with the daily operating costs of their business left the self-employed especially vulnerable to unpleasant industry practices.”

The National Association for the Self-Employed (NASE), and other small business organizations, worked collectively to ensure that small business and the self-employed had a voice in this process. Due to the leadership of Senators Snowe (R-ME), Pryor (D-AR), Graham (R-SC), Menendez (D-NJ), Franken (D-MN), Shaheen (D-NH), Bond (R-MO) and Burris (D-IL), the Small Business Fairness and Regulatory Transparency Amendment (S. Amdt. 3883) was included in the final bill.

This provision ensures that the newly created Consumer Financial Protection Bureau will take a special look at rules which may impose significant costs on small business. It will also require the agency to prioritize minimizing the burden on small business during the drafting of new rules and regulations while also preserving consumer protections.

The self-employed and micro-business (those with fewer than 10 employees) have been vocal in the past three years about the actions of government, the financial services industry and consumers which led to the collapse of the economy. The NASE has consistently heard from members that, while oversight and accountability are essential to a healthy economy, increasing federal bureaucracy can increase the cost of doing business and impact small business access to credit. Micro-businesses strongly supported a balanced approach to regulating the financial service sector.

“The passage of the Restoring American Financial Security Act, with the inclusion of the Small Business Fairness and Regulatory Transparency Amendment, will help create a climate of accountability for Wall Street and ensure that small business consumers receive the protections they need while also protecting them from overly burdensome regulations,” remarked Kristie Arslan. “As Congress takes the final step towards financial reform, we urge legislators to keep these small business safeguards in the final bill.”

To read additional commentary on small business policy, visit the NASE Staff Blog.

Tax Tips For Procrastinators From NASE National Tax Advisor, CPA

NASE — Wednesday, 31 March, 2010 12:15:00 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

Entrepreneurs Expected To File 23 Million Returns For 2009

Washington, D.C., March 31, 2010 – Tax Day is just a few weeks away, but is filing your return still on the ‘To Do’ list? It’s okay if you have not filed yet because the National Association for the Self-Employed (NASE) is offering some last minute tax tips to make the process go smoothly.

“From time to time, we have all gotten a later start on our taxes than we would like,” said Keith Hall, NASE’s National Tax Advisor. “If you file your business return with your personal return, you may be able to get an automatic 6-month extension by completing Form 4868 by April 15. But remember, an extension of time to file is not an extension to pay. If you do not send the IRS what you think you owe, you'll be stuck with late fees and interest.”

Hall offers these additional tips for tax procrastinators:

- Check for hidden deductions: There are a number of deductions that small-business owners and the self-employed forget when filing taxes. If you work out of your home, your office may qualify for a deduction. Do you drive to the post office or a client site? Those miles may add up to a sizable deduction too.

- Retirement savings: Retirement savings, such as SEP contributions and IRA deposits, are deductible for last year’s tax return up until April 15, 2010. That means you can count money deposited into these accounts, up until the day you file your 2009 tax return. In the case of SEP contributions, those can even be made up until an extended due date, as late as October 15th.

- Proofread the form: Most of the mistakes on tax returns are simple addition and subtraction errors. Check your math. Then, check your math again.

- Start thinking about next year: While micro-business owners may be tempted to finish their return and not think about taxes again until next year, now is a great time to reflect on how to reduce your 2010 tax liability. Consider deductions for a home office or employing your children; create a health reimbursement arrangement, which would enable the business to reimburse bona fide employees for all out of pocket medical expenses; reconsider the tax implications of incorporating your business; and research retirement plans designed specifically for the self-employed, including an IRA, SIMPLE, SEP, Single 401(k), and Keogh plan.

- Look for help: Sole proprietors doing their own taxes can find help from a number of sources, including the NASE’s Tax Resource Center, where you can ask the NASE’s expert CPAs a question and hear back within a few business days. The IRS also offers a Web site (http://www.irs.gov/) and toll-free help line, 1-800-829-1040, for your tax questions.

Nation’s Job-Creators Largely Oppose Health Reform Legislation

NASE — Friday, 19 March, 2010 16:29:25 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: koberlander, NASEtweets

Bottom Line Cost Savings Most Important To The Self-Employed

Washington, D.C., March 19, 2010 – Companies with fewer than 10 employees – micro-businesses – are asking Congress to keep in mind that a big part of being able to create jobs and grow their companies depends largely on their ability to pay for health coverage. Self-employed business owners say that access to health care and choice in providers/benefits is less important to their businesses than cost; Pocketbook-watching factors such as stable premium costs and inclusive coverage not negated by health condition or age is of most importance to the nation’s smallest businesses. With the clock ticking down to a final vote in Congress on health reform legislation, the online poll conducted by the National Association for the Self-Employed (NASE) received over 1,200 responses regarding the concerns of the self-employed with health reform.

Survey Highlights:

• Lowering health premium costs and ensuring they do not continue to increase (42%) and reforming the insurance market so individuals cannot be denied coverage due to their health status or age (24%) were cited as MOST important to their businesses.

• Respondents cited increasing choice in health plans and benefit options (32%) and ensuring that the uninsured have access to health coverage (29%) as factors in the health reform package that were LEAST important to their business.

• Three in five micro-businesses say they do not support the current health care proposal. Twenty-eight percent support the proposal and 12% say they are undecided.

• Of those who said they did not support the current proposal, 58% say they do not want Government to become too involved with health care. Nearly one-quarter (23%) say the plan is too costly and will increase the deficit.

Responses from micro-businesses:

• “The insurance companies are currently enjoying a monopoly. Unless we introduce competition, costs will continue to escalate.”

• “All of the issues listed in the survey are important! Costs for self-employed business people are outrageous with little options available to us.”

• “Yes, we need health care reform but the massive plan they are trying to ram through now is filled with sweetheart deals, other legislation not related to health care, double talk and union deals. It needs to be scrapped and a new bill drawn up.”

• “I am not entirely happy with the current bill as I would have preferred a public option, but I think that the idea that everyone needs to have insurance and that one cannot be denied due to past history is crucial.”

• “[Policymakers] have not addressed how everybody pays their share of insurance.”

Full survey results are available online on the NASE’s Research & Statistics web page.

Methodology:
Posted on the NASE Web site, the survey was available for members and other small business owners to take in March. Over 1,200 small business owners opted-in to the online survey and respondents were prohibited from taking it more than once.

Kristie Arslan is available for more information about this poll and the self-employed perspective on health reform. Please contact Kristin Oberlander by phone at 202-466-2100 or by email at koberlander@nase.org with additional questions or to schedule an interview.

Tired Of Tracking Business Miles By Hand? We Have An App For That!

NASE — Wednesday, 17 March, 2010 14:40:05 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

TripAlly For iPhone Uses Built-In GPS To Create Your Mileage Log

Washington, D.C., March 17, 2010 – New iPhone application TripAlly tracks, calculates and records miles driven to create the ultimate tax-deduction mileage log. Whether you need to track miles for your small business, charitable contributions, for employee reimbursement, or simply because you want to know, TripAlly can help.

TripAlly follows your entire trip using the iPhone’s built-in GPS – not just your starting and ending address – and stores mileage reports by purpose, month and year. Created by the National Association for the Self-Employed, TripAlly is the perfect solution for real estate agents, sales and delivery people, and anyone needing to record round-about routes for tax and reimbursement purposes.

Start each trip by simply touching the green “Start” button. The GPS pings location every .3 miles for an accurate record of the entire trip. At the trip’s end, assign a trip purpose, save it as a favorite route for easy repeats, and view your day, month and yearly mileage total. TripAlly even allows for manual trip entry by address.

Best of all, TripAlly is free to use on a trip-by-trip basis. Download the app and TripAlly will show a single trip’s miles, allowing you to keep track of the miles you drive in your own mileage log.

For a full mileage log, TripAlly can track everything for you. Register to get all TripAlly features -- categorize your trips, assign favorite routes, add manual routes, view trips by month and year, and print reports at your convenience. TripAlly makes it easy to track your business mileage deduction and expenses, all directly from your handheld device for only $9.99.

Registered Features:

Round-about route? TripAlly pings your GPS location every .3miles, not just your start and end location. Great for real estate agents, sales agents and anyone needing to track the miles they drive!
Go somewhere frequently? Save your route as a favorite, and add your trip to your total trip history with one touch.
Want to store more information? Categorize your trips by purpose, and add notes.
Forgot to add a trip? No problem – add one manually by entering your starting and ending locations, or repeat a favorite route.

There’s more at http://tripally.NASE.org!

Misplaced mileage log? Never a worry again with TripAlly. All the trip information for registered users is backed up online automatically! Access the information anytime.
Not sure what to do next? The NASE can help answer your business mileage questions, such as what line to record the miles on different tax forms, and the latest IRS mileage rates.
Make a mistake? Edit your trips easily and quickly online.
Afraid of an audit? Don’t worry about supporting your mileage deduction thanks to TripAlly. Store all your trips for the entire year, view and print reports at any time!

Record the miles you drive, and maximize your business tax deductions or business reimbursements with TripAlly. Download TripAlly at the iTunes App Store.

On Merlin Olsen...

NASE — Thursday, 11 March, 2010 19:24:04 EST

March 11, 2010 – Pro Football Hall of Famer, former television actor and NASE spokesperson Merlin Olsen has died. He was 69.

“Merlin was an incredible representative of the NASE to the small-business community,” said Robert Hughes, NASE president. “Our condolences go out to his family on behalf of myself, the NASE board of directors and the entire NASE team.”

How To Prepare Your Micro-Business For Future Audits

NASE — Wednesday, 17 February, 2010 14:05:39 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: NASEtweets

NASE National Tax Advisor Says ‘Don’t Panic’

Washington, D.C., February 17, 2010 – Since last November, the Internal Revenue Service (IRS) has undertaken a three-year campaign to review the tax records of nearly 6,000 randomly chosen businesses as part of their National Research Program. The goal is to figure out which areas of the tax code lead to greater noncompliance. The data collected is intended to help the IRS minimize the tax gap, or the amount the agency is owed versus the amount it collects each year.

The National Association for the Self-Employed (NASE) knows that many self-employed business owners meet their tax obligations fully, so the audit process need not be feared. For this particular round of IRS audits, business owners will be asked to provide documentation from three years prior. The focus will be in four areas, including worker classification, fringe benefits, reimbursed expenses and compensation of the business owner.

"The first thing I tell business owners is not to panic if they are facing an audit," says NASE National Tax Advisor, Keith Hall. "As long as you have adequate records and are organized, then it is a relatively simple process. You may even get an additional refund."

Preparing taxes that will sail through the audit process is as easy as following the Three Cs of Tax Preparation:

Careful recordkeeping – Keep good records and notes to support each number on the return. Take the time to do this now, since the information submitted will not likely be reviewed until years later. You do not want to be stuck figuring out what was on line 21 of a past tax return from that long ago.
Check the math – There are many good software packages designed to help you correct easy mistakes and reduce headaches in the long run, such as TurboTax, TaxCut or even the IRS online filing options.
Consider a professional review – Multiple sets of eyes are better than one. It can be worth your time to have a tax professional review the return. Even if he or she does not prepare it from start to finish, a simple review of the work you have done is always helpful. This is especially true if you have a new issue this year, such as your first year of self employment, or hiring a new employee.

The NASE offers numerous tax tools and other tips to help you get through current and future tax season. For help organizing your taxes, visit our Tax Resource Center or ask our TaxTalk CPAs a question.

Micro-Businesses Suffering Under Slowing Economy, Poll Shows

NASE — Thursday, 4 February, 2010 14:38:03 EST

For Immediate Release:

Contact:

Kristin Oberlander
(202) 466-2100
koberlander@NASEadmin.org
Twitter: koberlander, NASEtweets

Less Than One-Quarter Of Businesses Planning To Hire Workers

Washington, D.C., February 4, 2010 – While Congress and the Obama Administration are hoping that small businesses will continue to be the engine of job creation and spur recovery, the sluggish economy has had a negative impact on the operations and hiring plans of many small businesses. Over sixty percent of the self-employed and micro-business owners indicate that their business has experienced a significant decrease in sales and/or revenue, and almost fifty percent say they have had to utilize their personal savings or retirement savings to address cash flow issues, according to a study undertaken by the National Association for the Self-Employed (NASE).

More than three-quarters of the micro-business owners surveyed (77 percent) are not planning on hiring workers in 2010, with the majority indicating that they were not hiring because they were unable to pay the salary of or offer benefits to an additional worker. Of the twenty-three percent of respondents planning to hire workers this year, only 31 percent were planning to hire full-time workers.

“The current economic slowdown is causing many challenges for micro-businesses,” commented NASE’s Executive Director, Kristie Arslan. “Self-employed business owners are being faced with difficult choices just to stay afloat in this current economic climate.”

When asked about various proposals put forth by Congress and the Administration to spur jobs, an overwhelming majority of respondents felt that none of the current recommendations would encourage them to hire additional workers.

To see the full results of the survey, visit NASE’s Research & Statistics Web page.

Methodology:

Posted on the NASE Web site and promoted via NASE’s newsletters and social media outlets, the survey was available for members and self-employed business owners to take in January. Almost 200 small business owners opted-in to the online survey and respondents were prohibited from taking it more than once.