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What Independent Workers Can Expect From the Trump Administration

What Independent Workers Can Expect From the Trump Administration
From Recruiter - December 22, 2016

Over the years, independent workers have experienced both victories and losses in terms of their protections under the law. With a new presidential administration coming into office that greatly differs from the current one with respect to ideology, many freelancers and other self-employed workers are left wondering what they can expect underPresident-elect Trump.

The number of independent workers aged 21 and older clocks in at nearly 40 million, according to State of Independence in America 2016, a report from independent work consultantsMBO Partners. Independent workers make up a significant part of the economy, not to mention a significant chunk of potential voters. While its important for workers in this category to pay attention to the effects of new regulations and laws, the administration must also be careful not to step on the toes of such a large voting bloc.

Getting Ready for the Transition

While its difficult for independent workers to predictwhat President-elect Trump will do upon taking office, they can still make certain preparations in advance of Inauguration Day.

While its hard to predict exactly how a Trump administration would impact independent workers in the near term, the end of the year is a great opportunity to evaluate business assets, expenses, results, and relationships and create a plan to be prepared for the new year, says Gene Zaino, CEO of MBO Partners. For example, based on campaign proposals, were likely to see the Trump administration propose tax cuts, so now is a good time to organize receipts, W-9s, and other tax documents and schedule time with an accountant to learn about potential business impacts of tax code changes. For independents who work with the federal government, the end of the year is also a good time to determine whether there are new individuals to reach out toin addition to reinforcing relationships with businesses, clients, vendors, and colleagueseither through a seasonal thank-you card to customers or a holiday greeting card to prospects.

What Independent Workers Want

There are a number of issues that should be addressed by President-elect Trump and his team. Zaino lists the following as particularly important to freelancers and other independent workers:

1. Taxes and Regulatory Oversight

The tax proposals Trump discussed during the campaign would reduce burdens of the current corporate tax structure, but cutting taxes alone is not enough, Zaino says. The administration must work to clarify existing legal structures in place from the IRS and Department of Laborto properly draw the line between compliant microbusinesses and solopreneurs and those workers that need protection.

One solution gaining acceptance in Washington is the safe harbor idea, which MBO Partners supported in a position paper earlier this year.



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