The National Federation of Independent Business (NFIB), the nation’s leading small business advocacy organization, issued its 2025 legislative priorities for Nebraska small businesses.

“Nebraska relies on its small business community,” said Ryan McIntosh, NFIB Nebraska State Director. “With rising costs and burdensome regulations, our small businesses are struggling to keep their doors open. During this 2025 legislative session, lawmakers must prioritize pro-small business policies that help Main Street businesses grow and thrive.”

NFIB Nebraska’s 2025 legislative priorities include the following:

Push Back on Paid Sick Leave –

Initiative 436 passed on the November ballot and mandates paid sick leave for ALL Nebraska private employers. The only exception to this is for railroad employees that are preempted by federal law. The act defines small employers as fewer than 20 employees, and requires them to provide 40 hours of paid sick leave per year. Large employers (20 or more employees) would be required to provide 56 hours of paid sick leave. For either large or small employers, employees would accrue a minim of one hour of paid sick leave for every 30 hours worked.

This is just another mandate on employers. Many small businesses already offer great paid time off benefits to remain competitive. Other small businesses are unable to offer paid time off for a variety of reasons. This one-size-fits-all directive will only hurt employees in the long run.

The act is riddled with vague language and contradictions. NFIB will push back on this mandate and seek to provide clarity and exempt Nebraska’s smallest businesses.

Deliver Property Tax Relief –

Nebraska is in the top 10 states for property tax burdens. As valuations endlessly rise, government has failed over and over again to lower levies. Property taxes are a local government spending problem. Recent surveys show that Nebraskans now pay more in property taxes and insurance than they do for mortgages.

Past proposals have placed “soft caps” on the growth in local government spending. These have done virtually nothing to lower property tax burdens. Other proposals have sought to shift taxes. NFIB will continue to fight for meaningful property tax relief that results in a net reduction for Nebraska’s small businesses.

Repeal the Inheritance Tax –

Nebraska is one of only five states with an inheritance tax. Unlike the federal estate tax, which exempts most taxpayers, the Nebraska inheritance tax can impact anyone who owns or inherits property. This tax is unreliable and varies greatly from year to year and county to county. Moreover, it is unfair in its collection as it taxes different individuals at different rates based on their relation to the decedent.

The inheritance tax applies to capital, and negatively impacts future growth. In other words, it punishes small business owners trying to pass along their businesses and property to their heirs. The inheritance tax reduces investment, discourages business expansion, and drives wealthy taxpayers out of Nebraska.  NFIB will fight to repeal the inheritance tax once and for all.