One-fifth. That’s how much more of small business earnings are protected under President Trump’s tax cuts. For some business owners this can mean the difference between shuttering their business or expanding it. But it’s not just small businesses that are reaping the benefits of these tax cuts. Since the Tax Cuts and Jobs Act passed, the economy is booming, unemployment is at a 17-year low and our state is thriving. Florida businesses are purchasing new equipment and expanding operations. More important, however, are the investments Florida businesses have made in their human capital—in hardworking Floridians. Small business owners across the state are following the national trend of rewarding hard work with bonuses, salary increases and expanding staff.
As a small business owner, I recognize making investments in people is one of the most important things I can do. It’s about investing in my community. While some believe the wave of bonuses and payouts that swept the nation after last year’s tax cut was merely a public relations ploy by big business, the reality is the people making the decision to reinvest in community are people like me. Small business owners.
In Florida, more than 40 percent of employees work in small businesses. In fact, 99 percent of firms in Florida are small businesses. The tax relief passed last year is aimed squarely at letting small business owners get back to what we do best: creating jobs by providing needed goods and services to communities where we also live. Now couldn’t be a better time for small businesses to be doing this. This is further evidenced by looking at the housing market in Pensacola, where we had 837 residential sales in April 2018, compared to 729 sales in April 2017. People are excited to relocate to our city because we have a great economic outlook! This year’s Spring Break, which is always a benefit to small businesses everywhere in Pensacola, reported higher turnout than last year as well, good news for businesses across the city.
Our state is growing and prospering, and Pensacola is at the heart of it. This is a win for businesses large and small, as well as the Floridians they employ. Across the United States over 500 businesses have announced wage hikes, 401(k) increases, and other methods of compensation as a direct result of the passage of tax cuts, and each day the list is growing as more companies feel the relief this brings. This is helping workers in a couple different ways. Not only are their paychecks bigger than the ones they received last year, but those working for these companies are seeing increased benefits and revenue from a grateful organization. It’s clear that tax cuts are working across Florida and in the United States. We need to keep up the momentum and continue to realize the benefits of freeing businesses from the burdens of excessive taxation, and instead encouraging our business communities to do what they do best; employ workers, generate goods and services, and grow to create a booming economy. The impacts of small businesses surviving and thriving will lead to the success of all Floridians.
Representative Mike Hill served the 2nd State House District and owns a State Farm Insurance business in Pensacola.