15 Highest Paying Freelance Jobs
I was chatting with an ex-FAANG engineer at a co-working space the other day. He’d left Big Tech in 2019 to freelance full-time. I assumed he’d traded a cushy salary for a bit more freedom, but I was wrong. He’s making more money now and still ducks out for a Wednesday surf session whenever the waves are good. Stories like his aren’t rare anymore. The freelance economy has matured, and companies now view top contractors as mission-critical talent, not budget line items. According to Upwork’s Study, 38% of the U.S. workforce (about 64 million Americans) freelanced in 2023, and specialized roles regularly command triple-digit hourly rates. Below are 15 freelance careers that pay exceptionally well and give you the freedom to spend afternoons with family, jet off on a moment’s notice, catch the perfect swell—whatever your version of freedom looks like. Note: Because Sales Funnel Copywriting and Voice-Over services aren’t billed by the hour, they’ve been excluded from this chart. 1. Blockchain (Web3) Developer Blockchain is no longer a buzzword; it underpins billions of dollars’ worth of transactions in finance, supply chain, and even gaming. Even though the crypto market has seen its share of volatility and downturns, demand for skilled blockchain engineers remains strong, because companies still need private ledgers, supply‐chain tracking, and secure tokenization. From writing tamper‐proof smart contracts to auditing DeFi protocols for seven‐figure exploits, top‐tier engineers sit at the crossroads of money and math, so companies happily pay to keep them on speed-dial. Typical Rate: $50 – $150/hr Key Skill: Solidity, Ethereum, Hyperledger Fabric, cryptography, distributed systems 2. AI / Machine-Learning Consultant AI is red-hot, and every investor is hunting for the next breakthrough, so the prospects for skilled ML consultants are bright. Enterprises are scrambling to move from “AI pilot” to real ROI, but pre-trained models still need custom data, guardrails, and cost controls. Freelance ML pros step in to fine-tune LLMs, build anomaly-detection pipelines, and translate geek-speak into board-room slides. When a single algorithm tweak can save or earn millions, these specialists name their price. Typical Rate: $120 – $300/hr Key Skill: Python + PyTorch, TensorFlow, prompt engineering, data modeling 3. Cloud Architect/Engineer One mis-tagged S3 bucket can leak data, and one mis-sized cluster can torch $10K in a weekend. Large companies know that poor cloud setup risks both security breaches and massive unexpected bills, so they take cloud architecture very seriously. Architects who tame AWS, Azure, or GCP keep uptime high and costs low, guiding organizations through migrations and DevOps automation. Their invoices cost far less than the cloud horror stories they prevent. Typical Rate: $80 – $180/hr Key Skill: AWS/Azure/GCP certifications, Terraform, network security, virtualization 4. Cybersecurity Specialist A single breach now averages $4.88 M (IBM 2024). High-profile incidents like the Equifax breach and Colonial Pipeline hack have shuttered operations overnight. Ethical hackers and compliance experts harden networks, run red-team drills, and navigate audits—“Pay me five figures or pay ransomware double” clients wisely choose the former. Typical Rate: $80 – $160/hr Key Skill: Pen-testing toolkits, zero-trust architecture 5. AR/VR (XR) Developer Forget metaverse hype—healthcare training sims, virtual showrooms, and mixed-reality field guides are already mainstream. Companies without in-house Unity or Unreal talent tap freelancers to prototype fast and wow investors. From virtual home staging that helps real estate agents close deals more quickly to interactive factory maintenance guides that reduce downtime, XR applications drive real-world results. As hardware becomes more affordable and headsets more comfortable, demand for skilled AR/VR developers is only set to skyrocket. Typical Rate: $60 – $150/hr Key Skill: Unity-C# or Unreal C++/Blueprints, spatial UX 6. UX/UI Designer A clunky onboarding screen can bump churn 20%, while a friction-free flow can turn trial users into loyal customers. Senior designers create intuitive, user-friendly, and aesthetically pleasing digital interfaces—whether websites or apps—that guide users seamlessly through key actions. By blending psychology, aesthetics, and A/B testing data, they optimize every step of the user journey to maximize satisfaction and conversion rates. Their work has a direct impact on product adoption and revenue, making each pixel they design worth every dollar. Typical Rate: $40 – $100/hr Key Skill: Wireframing, prototyping (Figma, Sketch), user research, usability testing 7. Digital Marketing Strategist Anyone can boost a post; few can scale ad spend from $10K to $1 M per month while maintaining a 4× return on ad spend (ROAS). These strategists oversee every aspect of performance campaigns—from high-volume A/B creative testing to sophisticated attribution modeling that tracks exactly which ad led to a sale—and they pivot on a dime when platform algorithms change. By analyzing granular metrics and optimizing audience segments, they ensure every dollar of your marketing budget translates into measurable revenue and sustainable growth. Typical Rate: $50 – $100/hr Key Skill: Google Ads & Meta Blueprint certs, analytics (GA4), audience strategy 8. Sales Funnel Copywriter Words that sell are worth their weight in gold. Conversion copywriters and funnel architects craft the headlines, email sequences, and upsell offers that transform casual browsers into loyal buyers. They begin by conducting deep customer research—interviewing your ideal audience, analyzing what genuinely resonates, and then weaving persuasive prose that addresses pain points and triggers emotional responses. By layering strategic call-to-action placements and A/B testing different messaging, these professionals can triple conversion rates. When a $50K product launch balloons to $150K because of a winning sales page, clients happily share the upside—making stellar copywriting a high-stakes investment. Typical Rate: $0.25 – $1.00/word or $3K–$10K/funnel Key Skill: Persuasive copywriting, sales psychology, CRO techniques 9. Senior Video Editor / Motion Graphics Artist Short-form video was reported as having the highest ROI of any social media marketing strategy in 2024. Senior editors and motion graphics artists take raw footage and elevate it—splicing together narrative beats, applying color grading, and layering dynamic animations. Their work keeps viewers glued to screens: a product teaser with eye-popping transitions, a brand story punctuated by kinetic typography, or a tutorial that feels more cinematic than instructional. Because social platforms serve up short attention spans, these creators blend
5 Best States to Incorporate In and Why
When I started my first small business, I remember staring at a blank screen, Googling “where should I incorporate?” I found conflicting advice, fees that seemed to change overnight, and legal jargon that made my head spin. Over time—after a few “oops” moments and some late-night research—I narrowed it down to five states that consistently offer the best mix of low costs, solid legal protections, and friendly environments for entrepreneurs. Here’s what I’ve learned, with real numbers (as of 2025) and a few personal notes about why these states stand out. Table of Contents Delaware: The Gold Standard for Big (and Small) Businesses “People joke that Delaware exists just so corporations can incorporate there—and it almost feels that way when you see how slick their system is.” Why Delaware? Fees (2025): If you budget about $540/year (minimum franchise tax + report), you’re covered. And if your business grows—say, you issue more shares or have a high par-value capital structure—you might pay more, but startups typically stay at the minimum. Personal note: My first LLC wasn’t in Delaware—it was in my home state. But after attending a startup accelerator and hearing investors talk about “Delaware C-Corp, please,” I re-formed there. I still recall breathing a sigh of relief when I realized investors are so comfortable with Delaware entities that legal due diligence becomes that much smoother. Wyoming: The Friendly, Low-Cost Option for Small Businesses “Think of Wyoming as the underdog—no one talks about it as much as Delaware, but it quietly checks all the right boxes for a lean, mean small-business machine.” Why Wyoming? Personal note: When I was a freelancer, I formed a single-member Wyoming LLC just because the yearly cost was so low. It felt thrilling to pay only $160 total each year and know my personal assets had a legal buffer. Nevada: Privacy-Focused with No Corporate Income Tax “Nevada is like Wyoming’s more opulent cousin—privacy protections, no state income tax, and a reputation as the ‘Florida of the West’ for tax benefits.” Why Nevada? Fees (2025): In total, expect around $875 in year one (incorporation + list + license). Subsequent years are $650 (license $500 + list $150). I know that sounds steeper than Wyoming, but if privacy and zero state tax on profits matter, many entrepreneurs find Nevada worth the up-front costs. Personal note: A colleague once told me, “If you live in California but want to keep your taxes honest, move to Nevada for your mental health.” He wasn’t wrong—no state income tax means one fewer headache at tax time. Texas: No State Income Tax + Seller’s Market for Services “Texas is booming—no state income tax, a thriving entrepreneurial scene, and a sense of ‘everything’s bigger in Texas,’ including opportunities.” Why Texas? Personal note: I once thought I’d set up shop in California, but I cringed at that 13.3% top-bracket personal rate on top of corporate taxes. Texas felt like a breath of fresh air—zero state income tax, and Austin’s startup vibe makes you feel like anything’s possible. Florida: No Personal Income Tax + Moderate Corporate Tax “Florida is that friend who loves to chill in flip-flops but still knows how to hustle—no personal income tax, solid consumer market, and a growing tech ecosystem.” Why Florida? Personal note: I spent a summer in Miami Beach brainstorming a business plan on the sand. The idea of paying zero state income tax gave me the energy to work late nights—and if you’ve ever tried running spreadsheets in 90-degree heat, trust me, you’ll appreciate anything that saves you a percentage point of tax. Things to Consider When Choosing a State TL;DR A quick overview of the five best states to incorporate in, plus why they might be a fit for you: State Formation Fee Annual Cost Corporate Tax Personal Tax Key Benefits Delaware $89 (C-Corp) $400 franchise tax + $50 report None on C-Corp profits None on pass-through – Chancery Court– Flexible corporate laws– Investor-friendly Wyoming $100 (LLC) $60 annual report None None – Lowest fees– Strong privacy & asset protection– No state income tax Nevada $75 (C-Corp) $500 business license + $150 list None None – Robust privacy– No corporate/personal income tax– Business court by 2026 Texas $300 (Corp) Exempt under $1.23M revenue; otherwise 0.375%–0.75% margin tax 0.375%–0.75% (varies) None – No personal income tax– Large business ecosystem– Franchise tax exemption under $1.23M Florida $70 (C-Corp) $150 annual report 5.5% None – No personal income tax– Growing tech hubs– Moderate corporate tax Final Thoughts There’s no one-size-fits-all “best state”—it really depends on your budget, growth plans, and tolerance for paperwork. When I first started, the difference between $60/year (Wyoming) and $540/year (Delaware) felt huge. But as my business matured and I talked to investors, it became clear that Delaware could save me weeks of legal back-and-forth. Meanwhile, friends who run lean e-commerce stores from home still swear by their $160/year Wyoming LLCs. In the end, pick the state that aligns with your current priorities: cost, privacy, investor confidence, or community. And remember, you can always form in one state and later register as a foreign entity in another (it’s called “qualifying” to do business in your home state). That’s exactly what many growth-stage startups do: incorporate in Delaware, then register in their home state so they can open a bank account, hire W-2 employees, and sign leases without legal headaches. I hope this guide helps you sleep a little easier as you choose your business’s “home.” Wherever you decide to incorporate, know that every entrepreneur—myself included— started exactly where you are right now: staring at a blank filing form, hoping they made the right choice. Need Help with Your Accounting? At Fynlo, we know every state has its own quirks—whether it’s Delaware’s Chancery Court, Wyoming’s low fees, Nevada’s privacy rules, Texas’s franchise tax, or Florida’s corporate rate. Our expert team can handle your bookkeeping, annual filings, and state-specific tax planning no matter where you incorporate. Schedule a call today, and let us make sure your business stays
What is California AB 5? Complete Contractor Classification Guide for Small Businesses
Running a small business in California is like navigating a maze of regulations. One wrong turn, like misclassifying a worker, can lead to costly penalties or legal trouble. California AB 5, enacted in 2019, reshapes how businesses classify workers as employees or independent contractors, impacting your payroll, taxes, and compliance. This guide simplifies contractor classification for small business owners, offering a clear path to compliance. We’ll break down AB 5, who it affects, and the small business compliance steps you need—plus answer common questions to keep you ahead. Table of Contents What is California AB 5? California AB 5, signed into law in September 2019 and effective January 1, 2020, is a landmark labor law aimed at reducing worker misclassification. It codifies the “ABC test” from the 2018 California Supreme Court case Dynamex Operations West, Inc. v. Superior Court, making it harder to classify workers as independent contractors. AB 5 applies to California’s Labor Code, Unemployment Insurance Code, and Industrial Welfare Commission wage orders, ensuring workers receive protections like minimum wage, overtime, and benefits. In 2020, AB 2257 amended AB 5, adding exemptions and clarifications, now codified in Labor Code sections 2775–2787. The ABC test presumes workers are employees unless the hiring business proves all three criteria: A UC Berkeley study estimated 64% of workers doing independent contracting as their main job would be reclassified as employees under the ABC test. This shift increased employee protections but reduced self-employment by 10.5% and overall employment by 4.4% in non-exempt occupations, with no significant rise in W-2 employment. AB 5 protects workers and levels the playing field for businesses that properly classify employees, but it’s complex. Small businesses must understand its rules to avoid fines, which range from $5,000–$25,000 per violation for misclassification. Who is Affected by AB 5? AB 5 impacts small businesses across industries, especially those relying on freelancers or gig workers, like retail, hospitality, construction, and trucking. If you hire contractors in California or work with California-based freelancers, you’re affected, even if your business is elsewhere. Key Impacts: Exemptions: AB 2257 expanded exemptions to 109 professions, but exempt workers must still pass the Borello test, which considers factors like control, tools provided, and work duration. A U.S. Department of Labor study found 10–30% of employers misclassify workers, a persistent issue AB 5 aims to address. Implications for Small Businesses California AB 5 reshapes how small businesses operate, presenting challenges that can feel like dead ends in the compliance maze. Understanding its implications helps you navigate these hurdles and stay on track. To avoid these pitfalls, assess your current contractor classification practices now. Review worker roles, check for exemptions, and consult legal experts to ensure compliance. Taking these steps protects your business and keeps you competitive. Key Compliance Needs for AB 5 Complying with California AB 5 means understanding the ABC test, exemptions, and your workers’ roles. Small businesses face legal and financial risks if they misclassify workers, so proactive small business compliance is critical. Core Compliance Needs: Why It Matters: California loses over $7 billion annually to misclassified workers, missing out on taxes and benefits contributions. Proper classification ensures compliance and fair competition. 5 Steps to Comply with AB 5 Follow these five steps to ensure your small business complies with California AB 5 and avoids costly mistakes. Each step is designed for small business compliance with practical examples. Step 1: Audit Your Workers Review all contractors to determine if they pass the ABC test. For example, if your café hires a freelancer to redesign your website, they likely pass “B” (outside your core business of serving food). A barista, however, fails “B” and must be an employee. Use a checklist for A, B, and C criteria. Step 2: Check for Exemptions Identify if your contractors fall under exemptions (e.g., B2B, freelance writers). For B2B, ensure the contractor has a separate business entity, sets their own rates, and doesn’t work directly for your customers. For exempt workers, classification is assessed using the Borello test, a multi-factor standard; consult an attorney to verify eligibility. Step 3: Update Contracts Draft AB 5-compliant contracts emphasizing contractor independence. Specify they control their work, use their own tools, and serve other clients. For example, a photographer’s contract should note they set their schedule and provide their camera. Keep invoices and agreements for audits. Step 4: Reclassify if Needed If a contractor fails the ABC test and isn’t exempt, reclassify them as an employee. Register them with California’s Employment Development Department for taxes and workers’ compensation. Provide benefits like 10-minute rest breaks per four hours and 30-minute meal breaks per five hours. Step 5: Monitor and Consult Regularly review worker classifications as your business or laws change (e.g., AB 2257 updates). Engage an employment attorney to stay compliant, especially for complex cases like trucking or healthcare. Schedule annual audits to catch errors early. Common Questions About AB 5 Compliance Small business owners often have questions about navigating California AB 5. Below, we answer common concerns to help you understand contractor classification and stay compliant. How Can I Use B2B Exemptions? Many small businesses hire contractors for tasks like marketing or IT and wonder if they qualify for the B2B exemption. To use it, your contractor must meet 12 criteria, such as operating as a corporation or LLC, having a separate business location, and signing a written contract. These rules allow flexibility while ensuring compliance. What Documentation Protects Me During Audits? You might worry about proving contractor status if audited. Clear contracts that specify a worker’s independence—such as setting their own hours and serving other clients—are essential. Keep invoices, work agreements, and proof of their independent business (e.g., business license). These records can prevent costly misclassification claims. How Does Proposition 22 Affect My Business? Proposition 22, passed in 2020 and upheld in 2023, classifies app-based transportation and delivery drivers as independent contractors, exempting them from AB 5. However, it mandates certain benefits, such as minimum earnings guarantees and health insurance stipends for qualifying drivers. How Can I Avoid
10 Time-Saving Accounting Automations Every Small Business Owner Should Implement
As a small business owner or freelancer, your time is your most valuable asset. Between managing clients, delivering services, and growing your business, bookkeeping can feel like a relentless time sink. Manual tasks like invoicing, expense tracking, and payroll eat up hours that could be spent on high-value work. Fortunately, accounting automation is transforming how small businesses manage finances, offering time-saving accounting tools that streamline processes and boost efficiency. According to the 2024 Intuit QuickBooks Accountant Technology Survey, nearly all (98%) respondents say they’ve used AI to help clients over the last 12 months, with top applications including data entry and processing (69%), fraud detection and prevention (51%), and real-time financial insights (47%) For small business owners, adopting the best accounting automation for small business can save hours each week, reduce errors, and free you to focus on growth. This guide explores 10 time-saving accounting automations every small business owner should implement. From automating bookkeeping to streamlining tax prep, these tools will help you automate small business finances with ease. Whether you’re a solo freelancer or running a small team, these solutions will keep your finances on track. Table of Contents Why Accounting Automation Matters for Small Businesses Small businesses face unique financial challenges: limited budgets, complex tax rules, and the need to stay competitive. Manual accounting tasks not only drain time but also increase the risk of errors that can lead to costly penalties. A Tech.co survey found that 75% of accountants reported a positive impact from automation, citing time savings, improved productivity, cloud access, enhanced data accuracy, and faster data retrieval as key benefits. Accounting automation uses software and AI to handle repetitive tasks like data entry, invoicing, and reporting, freeing you to focus on strategic priorities. The Rightworks Accounting Firm Technology Survey 2024 revealed that early adopters of automation earn 39% more revenue per employee, proving its impact on profitability. By adopting small business accounting software with automation features, you can: With the right time-saving accounting tools, you can automate small business finances and focus on what matters most—growing your business. ear and leveraging data, you can take your nonprofit to new heights. 10 Time-Saving Accounting Automations to Implement Here are 10 easy bookkeeping automation solutions to streamline your small business finances: 1. Automated Invoicing Manual invoicing demands significant effort and often leads to payment delays due to errors. Automated invoicing tools streamline the process by creating, sending, and tracking invoices instantly, ensuring timely payments. A PayStream Advisors study found that companies using automated invoice processing increased productivity by 33% and reduced processing costs by 42%. 2. Expense Tracking Automation Manually logging receipts requires considerable time and increases the risk of oversight. Small business expense tracking automation syncs bank transactions and categorizes expenses in real time, eliminating manual entry and ensuring accurate, up-to-date records. 3. Payroll Automation Manually processing payroll—calculating wages, taxes, and deductions—is time-intensive and error-prone. Payroll automation ensures accurate, timely payments while maintaining compliance. According to the American Payroll Association, automation can reduce payroll processing costs by up to 80%. 4. Bank Reconciliation Reconciling bank accounts manually is a tedious process that often results in errors. Automated reconciliation matches transactions between your books and bank statements, ensuring precision. According to HighRadius, 95% of reconciliation errors stem from manual mistakes. 5. Tax Preparation Automation Tax season can overwhelm small business owners with complex deductions and filing requirements. Automating bookkeeping for taxes simplifies the process by organizing deductions and generating accurate reports for seamless compliance. 6. Accounts Payable Automation Manually processing vendor bills is inefficient and prone to delays. Accounts payable (AP) automation streamlines bill payments and approvals, enhancing operational efficiency. A Payouts.com report found that automated AP solutions can cut invoice processing times by up to 80%. 7. Accounts Receivable Automation Chasing late payments consumes valuable time and disrupts cash flow. Accounts receivable (AR) automation sends reminders and tracks overdue invoices, improving collections. According to NetSuite, 85% of CFOs at companies with over 50% automated AR processes saw a decrease in days sales outstanding (DSO). 8. Financial Reporting Automation Manual financial reporting is labor-intensive and susceptible to errors. Automated reporting generates real-time insights, such as profit and loss statements, with minimal effort. PWC states that automation can reduce financial reporting time by 30–40%. 9. Time Tracking Integration Manually tracking billable hours is a challenge for service-based businesses, often leading to inaccurate billing. Automated time tracking streamlines invoicing and payroll processes by seamlessly integrating with accounting systems. 10. Budgeting and Forecasting Automation Manual budgeting is complex and quickly outdated, hindering effective financial planning. Automated budgeting tools simplify cash flow projections and performance tracking for agile decision-making. TL;DR: Summary of Time-Saving Accounting Automations The following table summarizes the best accounting automation for small business, highlighting key benefits and time-saving accounting tools to streamline your finances. Automation Key Benefit Example Tools Automated Invoicing Improves cash flow QuickBooks, Xero, FreshBooks, Fynlo Expense Tracking Automation Simplifies receipt management Expensify, Zoho Expense, Receipt Bank Payroll Automation Ensures accurate payments Gusto, ADP, Paychex Bank Reconciliation Enhances data accuracy QuickBooks, Wave, Xero Tax Preparation Automation Eases tax season workload TurboTax, TaxAct, H&R Block Accounts Payable Automation Streamlines bill payments Bill.com, Tipalti, Melio Accounts Receivable Automation Speeds up payment collection FreshBooks, Zoho Invoice, Invoice Ninja Financial Reporting Automation Delivers real-time insights QuickBooks, Sage Intacct, NetSuite, Fynlo Time Tracking Integration Boosts billing efficiency Toggl, Harvest, Clockify Budgeting & Forecasting Simplifies financial planning Float, PlanGuru, QuickBooks What’s Next Implementing these 10 time-saving accounting automations can transform how you manage your small business finances. From automating invoicing to forecasting cash flow, these easy bookkeeping automation solutions save hours each week, reduce errors, and empower you to focus on growth. Ready to streamline your finances? Our time-saving accounting tools offer real-time tracking, seamless integrations, and powerful automation to boost your business. Schedule a call with our team to discover how we can help you save time and grow smarter. [Schedule a Call] For more financial management tips, check out our blogs:
SECURE 2.0 Act Explained: What Small Businesses Need to Know for 401(k) Accounting
You’re focused on building your business, managing your team (or maybe just yourself), and trying to keep up with ever-changing financial rules. If 401(k) plans feel like something only big corporations need to worry about—think again. The SECURE 2.0 Act is reshaping retirement plans for businesses of all sizes, and it has real implications for how you manage payroll, benefits, and taxes. This article summarizes key provisions of the SECURE 2.0 Act relevant to small businesses. For full details, visit the IRS SECURE 2.0 Act resources at here. Whether you’re offering a 401(k) for the first time or updating an existing plan, this guide breaks down what you need to know, without the legal jargon. Let’s walk through the most important changes and how they could impact your business accounting, your employees, and even your tax bill. Table of Contents SECURE 2.0 Mandatory Provisions Timeline The SECURE 2.0 Act, signed into law in late 2022, introduced over 90 changes to retirement legislation. But don’t worry, you don’t need to understand all of them. What you do need is a clear timeline of what applies to your business and when. Here are key implementation dates, ordered by effective date, to help you prioritize your next steps: Provision Effective Date What It Means Higher startup tax credits 2023 Small businesses can claim larger credits for starting a new retirement plan. Required minimum distribution (RMD) changes 2023–2033 RMD age increases gradually from 72 to 75, affecting withdrawal schedules. Student loan matching contributions 2024 Employers can match student loan payments with retirement contributions. Part-time employee eligibility 2025 Long-term part-time workers become eligible for 401(k) participation sooner. Automatic 401(k) enrollment for new plans 2025 New 401(k) plans must automatically enroll eligible employees (unless they opt out). Retirement Plan Startup Tax Credit Amounts Starting a retirement plan might sound expensive, but the SECURE 2.0 Act makes it more affordable, especially for small businesses. If you’ve been on the fence about offering a 401(k), these expanded tax credits could make it a much easier decision. Here’s what’s new: Why it matters These credits not only reduce your tax burden but also help you invest in your team. Offering a 401(k) becomes a smart move for recruiting, retention, and financial wellness—without a heavy upfront cost. Required Minimum Distribution (RMD) Changes The SECURE 2.0 Act also brings important updates to Required Minimum Distributions (RMDs)—the age at which individuals must begin withdrawing funds from retirement accounts. Here’s what to know: Why this matters for employers While RMDs primarily affect individuals, plan administrators must be aware of the rules to ensure compliance. It may also influence how your employees view long-term planning, and it could affect your recordkeeping and reporting requirements. Accounting note If you provide retirement plan support or resources to employees, consider updating your materials and software to reflect the new RMD ages. Misinformation here could lead to costly mistakes for older employees. Student Loan Matching Contributions One of the more innovative features of the SECURE 2.0 Act is the option to treat student loan repayments like retirement contributions—and match them accordingly. Starting in 2024, employers can choose to match employees’ qualified student loan payments by making contributions into their 401(k) or similar retirement account. Why this matters Many younger employees prioritize paying off student debt over saving for retirement. This provision gives them the chance to build long-term savings without having to choose between the two. For employers This can be a powerful benefit to attract and retain talent—especially if you’re hiring recent grads or younger professionals. Contact your plan provider early to confirm they can administer this feature, as implementation may require verifying loan payments and aligning with IRS guidelines. Part-Time Employee Retirement Eligibility As a small business owner, you may have team members who work limited hours, and under older rules, they may have been left out of your retirement plan. That’s changing. The SECURE 2.0 Act expands eligibility for part-time workers, making it easier for more employees to participate in 401(k) plans. Here’s what’s changing: Why it matters If you have part-time staff—seasonal workers, assistants, or flexible contractors who work year-round but on a limited schedule—you may need to start offering them retirement benefits sooner than expected. Action tip Make sure your payroll system is tracking hours worked per employee per year. That data will be essential for identifying who becomes eligible and when. 401(k) Automatic Enrollment Requirements Starting in 2025, the SECURE 2.0 Act will require most new 401(k) and 403(b) plans to include automatic enrollment for eligible employees. Employees will be enrolled in the plan by default unless they actively opt out. Existing plans are exempt from this requirement. Key details: Exemptions This rule does not apply to businesses with: If you’re launching a plan in 2025 or later, build this into your onboarding and payroll setup from the start. What’s Next In conclusion, the SECURE 2.0 Act introduces meaningful changes for small business owners and freelancers. While expanded tax credits and broader eligibility for part-time employees create valuable opportunities, they can also add complexity to your already full plate. By keeping up with these changes, you not only avoid compliance issues but also create a more competitive and employee-friendly workplace. Feeling overwhelmed by tax rules and bookkeeping? Let us take the pressure off. Schedule a call with Fynlo and get expert guidance tailored to your business.