Starting a new business is never an easy task; there are constant changes in the corporate world that a potential business owner has to look out for. There are numerous laws and regulations for owning and operating a business on not only the federal, state and county level, but in some states at the city level as well.
So what are some of the potential changes that business owners have to look out for in 2017? Let’s take a quick look at the some of the important points:
Increase in Minimum Wage:
In 2016 the minimum wage for a business with 26 or more employees stood at $10.00. In 2017 however there will be a mandated wage hike to $10.50 with a projected hike to $15.00 by 2022. Businesses with less than 26 employees will have until 2018 to comply with the wage hike to $10.50.
However, business owners will also have to check where their business is located as well as some parts of the country like in San Diego, CA, the minimum wage has been hiked beyond the government mandated $10.50 and now stands at $11.00.
Newly elected President Donald Trump has also stated that he is in favor of drastic tax reforms on the corporate level and will soon have these changes take effect. The biggest tax reform that has been proposed is to cut the corporate tax rate from 35% to 15%.
While that sounds great for a lot of large and small businesses alike, the cut could drastically change how some businesses conduct themselves. The change will cause many businesses to eliminate the deductions they are able to take under the current tax code.
Discrimination Based on Race and Gender:
Another critical point to take a look at is the growing concern of race and gender in the work place. Employers must now make sure that employees who do the same type of work and carry the same work load be paid the same amount regardless of gender or ethnic background.
Additionally, employers can no longer check on past employment salary as a basis for the current salary.
With all of these new changes one can get confused on where to turn for advice. The Law Offices of Edward Lai are always willing to help with any Corporate Law matters.
For a consultation feel free to contact the Offices of Edward Lai Law at 510-397-8287.