Jump to Main Content
USA flagAn Official Website of the United States Government
SBA News and Views

Blogs.SBA News and Views

Register

Small Businesses Creating Jobs is the Core of the American Jobs Act

Comment Count:
5

Comments welcome on this page. See Rules of Conduct.

Small Businesses Creating Jobs is the Core of the American Jobs Act

By Karen Mills, Former SBA Administrator
Published: September 9, 2011 Updated: September 9, 2011

Anyone who saw President Obama speak last night knows that helping small businesses create jobs is the core of the American Jobs Act.  The President laid out powerful, bipartisan, specific, paid-for proposals that will help put America back to work now.  This includes:

  • Cutting in half the payroll taxes for small businesses for the first $5 million in wages
  • Temporarily eliminating employer payroll taxes for small businesses that create jobs or give raises above the prior year
  • Extending an immediate 100% expensing write-off to encourage businesses to invest in more machinery and equipment
  • Large tax credits (up to $4,000) for businesses that hire unemployed workers, with bigger credits (up to $9,600) for hiring unemployed veterans and service-disabled veterans
  • Powerful investments in schools, roads, rail, and airports while helping small business contractors compete for infrastructure contracts
  • Making it easier for States to allow unemployed workers to create their own jobs by starting their own business

America’s small businesses – like DynaLabs that I’m visiting today in St. Louis – are counting on Congress to turn this plan into reality. 

Founded in 2003, Dynalabs specializes in using cutting-edge technologies to provide quality-assurance services to large medical companies.  They recently increased their staff by nearly 50%, and they will soon open a new facility to possibly add even more jobs to meet demand.  We need to make sure they have every incentive to hire their next workers as quickly as possible.

As the President said, the Administration is moving forward with ideas that don’t need Congressional action, such as paying small businesses more quickly for federal contracts and cutting the red tape that prevents many fast-growing startups from getting the capital they need through things like “crowdfunding.”

We need Congress to join us in putting small businesses first and getting the job done.  If they do the right thing, the American Jobs Act will empower the world’s greatest entrepreneurs and small business owners to do what they do best: create good jobs, drive competitiveness and innovation, and strengthen economic security for the middle class.

About the Author:

Karen Mills

Former SBA Administrator

Karen Gordon Mills is the Former Administrator of the U.S. Small Business Administration. The SBA helps both Main Street and high-growth small businesses get access to capital, counseling, federal contracts, disaster assistance and more.

Comments:

I fully support halving the payroll tax for small businesses, this is a significant help.
The 100% expensing write off is a good move. All small businesses will be able to lower there tax by investing in machinery.
To do this stage like you tell from this post, I think is very easy after reading a post from this page. http://www.commonwealthnetbank.org Really really I had been found this site from internet that inspiring me a lot.
Nice article. I like the 100% deduction for capital equipment, because I'm always having to replace computers as they wear out. They go obsolete in as fast as two years nowadays.
Small business thrive tpwards a stronger economy and this starts with creation of more jobs

Leave a Comment

You must be logged in to leave comments. If you already have an SBA.gov account, Log In to leave your comment.

New users, Register for a new account and join the conversation today!