New Jersey’s balanced budget deadline looms on June 30, and two other key small business bills you should know.
As other state legislatures adjourn this time of the year, New Jersey’s lawmakers trundle on, and are set to tackle several key legislative issues in the coming days.
Here are three updates on issues that matter to your small business.
1. The state budget.
Budget negotiations on a new spending plan continue, and lawmakers face a June 30 deadline for a balanced budget. Meanwhile, the Supreme Court of New Jersey ruled in a 5-2 decision that Gov. Chris Christie could skip promised pension payments and sidestep a potential fiscal disaster before the end of the fiscal year. That move averts $1.8 billion in public pension payments for 2016, making the administration’s job a little easier—but not by much. Democrats are expected to introduce their own version of a budget.
2. The “Millionaire’s Tax.”
Individuals and small businesses who earn more than $1 million a year may soon face an ill-advised tax hike. Under the plan, the upper income tax will increase from the current 8.97 percent to 10.75.
State Senate President Stephen Sweeney introduced a bill last month that increases taxes on income over $1 million, which would raise $675 million over the course of the next year.
Even if the measure passes, it would leave the state short on a balanced budget. For his part, Christie has vetoed four separate millionaire’s taxes during his tenure, and has said he is ready to veto a fifth.
3. Just scheduling bill.
Newly introduced legislation will establish the “New Jersey Schedules that Work Act.”
The legislation—S2933—provides, in part, that employers provide predictable and stable schedules for employees in certain low wage occupations.
“Small business owners cannot anticipate their needs 14 days in advance, especially those in industries like restaurants and retail that staff as projects are picked up and parties are planned,” says NFIB/New Jersey State Director Laurie Ehlbeck. “It has become clear to NFIB that between predictive scheduling, paid leave, FMLA expansion and increasing the minimum wage, there is an assault on small businesses across the state. It is time to stop assuming that employees are somehow being oppressed by business owners.
