The Small Business Side Of The Build Back Better Bill

The Senate takes up the B to the 4th bill in earnest this week. While Senate leadership is pushing for a vote before the Christmas break, many are saying there’s no way it will pass before next year.

While some in the Senate have significant budget concerns, saying they won’t vote for it until it is revenue neutral, others are more concerned with its lasting effects on the small business community. As it turns out, the single biggest winner in the legislation may be big businesses and the unions.

The House version of the bill included $555B in grants, credits, and deductions for green energy projects, but Contractors hoping to bid on these projects are required to pay their employees “prevailing rates”.

We’re not talking about minimum wage or even an average compensation for a job in a region. Rather, it refers to rates established by the Labor Department for work in a particular industry.

This isn’t chump change. The “prevailing rate” in middle class Orange County, N.Y. for an electrician is $47 per hour, some 70% above the national median.

This means that non-union contractors would be shut out of the spending bonanza. Small businesses would never be able to afford the increased wages and costs would ultimately rise for consumers.

That’s right. Even more inflation.

We can only hope that the changes made in the Senate will delete this individual provision.

Let me leave you with this.

One day Albert Einstein wrote the following on the board:
9 x 1 = 9
9 x 2 = 18
9 x 3 = 27
9 x 4 = 36
9 x 5 = 45
9 x 6 = 54
9 x 7 = 63
9 x 8 = 72
9 x 9 = 81
9 x 10 = 91
Chaos erupted in the lecture hall because Einstein had made a mistake. His students began ridiculing him.

Einstein waited for everyone to be silent and said, “Despite the fact that I analyzed nine problems correctly, no one congratulated me. But when I made one mistake, everyone started laughing. This means that even if a person is successful, society will notice his slightest mistake. And they’ll like that. So don’t let criticism destroy your dreams. The only person who never makes a mistake is someone who does nothing. ”

Entrepreneurs are people who take risks. When we take risks, many times we fail. I’ve failed more in business than I’ve ever succeeded.

I’ve often said that a good entrepreneur is one who knows how to fail, well.

Please think about that today and in the future as you go about your business. This pandemic isn’t over, not by a long shot.

Many things will change. Some for the better. Others, not so much, and you’ll need to be ready. When we fail, criticism always comes from people who have done less with their lives than us.

But we learn more from our failures, than we ever learn from our successes. This, in and of itself, can make our next risk a success.

We’re all going to get through this. Let’s get through it together.

Accounting Solutions Ltd. stands ready to complete our mission and purpose of protecting you, your family, and your business. Whether you need Employee Retention Credits, PPP Loan Forgiveness, Payroll Services, or Accounting and Tax Work, you have but to ask. I’m here and I remain,

Sincerely yours,

Chris Amundson
Accounting Solutions Ltd.

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