ConnectWise CEO Hopes President-Elect Trump Will Cut Taxes And Overtime Pay Requirements For Small Business Owners

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ConnectWise CEO Arnie Bellini said President-elect Donald Trump's background in business and willingness to roll back regulation will create a better operating climate for MSPs.

"I think he will get government regulations aligned with business," Bellini told CRN. "There's a lot of opportunity for a smart, savvy businessperson in the White House."

Trump is uniquely positioned to understand just how burdensome excess regulation can be. Bellini said business owners are in a better position to understand that capitalism and entrepreneurship are what make America great, while presidents with a background in law – a list that includes Barack Obama and Bill Clinton – often see the legal system as the way to improve America.

[RELATED: ConnectWise CEO: MSPs Have Become Sort Of 'Complacent,' Must Get Into Managed Security]

"Washington has put out way too many regulations in the last number of years that make it very burdensome for small- and mid-size business to operate profitably," Bellini said. "I think [Trump] does understand that, because as a businessperson, he has to live with all of those things."

Bellini said that he's a fan of a businesspeople in the White House in general rather than of Trump specifically. He called this year's election cycle "unfortunate," and said many people felt they didn't have a good choice. 

Bellini said he would like to see Trump roll back a Department of Labor regulation set to take effect late this year that would require businesses to classify all workers making under $47,500 annually as hourly workers, making them eligible for overtime if they work more than 40 hours in a week.

MSPs will not only face the obligation of having to pay out more in overtime, Bellini said, but will also face additional record-keeping requirements related to tracking and documenting hours worked by employees making less than $47,500 annually. The salary cutoff for overtime pay currently stands at just $23,660.

"Raising the threshold to $47,500 is going to pull a huge percentage of the workforce into being hourly employees," Bellini said. "That is going to be devastating for small and mid-sized businesses."

Bellini is pleased by indications that Trump wants to depart from the recent usage of monetary policy – such as changing interest rates or the total amount of money in supply – as an economic lever. He is glad Trump wants to return to using fiscal policy - which involves the changing of tax rates or levels of government spending - as the primary economic stimulant.

"Trump is following Reagan economics, and Reagan economics was brilliant, but it took a long time to take effect," Bellini said. "If we allow fiscal policy to stay in place long enough, we will see the benefits in our economy."

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