Horizon Point Consulting

Author: Lorrie Coffey

  • When Your Side Gig Deserves Center Stage

    When Your Side Gig Deserves Center Stage

    We’ve been talking about side gigs lately. One of the toughest parts is deciding if or when to make the side gig the main gig. It’s often not as simple as we’d like it to be.

    A few weeks ago, I spent some time in Virginia with my parents and brought along a small project, an old desk I’d found at a thrift store for $20. It had good bones but had definitely seen better days.

    My dad and I spent the week together in his woodworking shop, sanding, repairing, and refinishing it until it was restored to its former glory. Somewhere between the smell of sawdust and the hum of the sander, I learned that the desk was more than a hundred years old and made of solid walnut, a piece that had clearly stood the test of time.

    Watching my dad work reminded me how he’s done the same thing with his own career. What started years ago as a hobby, tinkering in his workshop on weekends, has now become part of his full-time work. After decades in construction, he’s blended his craftsmanship with his trade, flipping houses that feature his custom woodworking, accent walls, built-in bookcases, and hand-crafted cabinets that give each home its own story.

    That desk became more than a project. It was a reminder that sometimes what we start on the side, simply because we love it, can evolve into something much bigger. According to a recent study by Side Hustle Nation, 39% of working Americans have a side hustle, and about one in five hope to eventually turn it into a full-time job. It’s not always easy to know when it’s time to take that leap, but there are signs it might be time to let your side gig take center stage.

    Just like restoring that old desk revealed the strength of the wood beneath the surface, your side gig can show signs of its own potential if you take the time to notice them.

    When…your side gig is financially sustainable.

    Your side gig is showing steady, reliable growth. You have repeat customers, new ones finding you regularly, and your income has moved from covering basic costs to turning a profit. You’re not just staying afloat, you’re seeing enough green to pay essential expenses and keep the business running. Better yet, it’s bringing in enough money to replace or nearly replace your current salary.

    When…you’re running out of time and energy.

    With steady growth comes the need for more time, and there are only so many hours in the day. You find yourself waking up early or staying up late to keep up with demand, juggling both your full-time job and your side gig. Eventually, something has to give. When you can’t devote the time your side gig needs, growth stalls and sales may even start to dip. That’s often a sign your business has outgrown the “part-time” label.

    When…your passion has shifted.

    What started as a creative outlet or a way to earn a little extra each month has become the work that brings you the most joy. You find yourself energized by your side gig and counting down the hours until you can get back to it. Meanwhile, your full-time job starts to feel more like an obligation than an opportunity. When your passion shifts that strongly, it’s worth paying attention. It may be pointing you toward what you’re truly meant to do.

    Like that old walnut desk, sometimes the things we start just for the love of it reveal a strength and potential we didn’t see at first. When your side gig shows financial promise, demands more of your time and energy, and becomes the work that truly lights you up, it might be more than just a hobby. It might be your next chapter waiting to unfold.

    Taking the leap isn’t about abandoning stability. It’s about building on something that’s already proven its worth. As you consider what you need to start, stop, and stay, both personally and professionally, ask yourself what your side gig could become if you gave it your full attention.

  • What Employers Need to Know About the Big Beautiful Bill

    What Employers Need to Know About the Big Beautiful Bill

    On July 4th, the President signed into law the “One Big Beautiful Bill Act” (BBB), a massive budget reconciliation measure aimed at providing major tax cuts, stimulating the economy, expanding funding for defense and border protection, cutting certain social welfare programs, and raising the national debt ceiling. At nearly 900 pages, there’s a lot to digest. What follows is our interpretation of key provisions as they relate to employers.

    Tax Cuts for Employees and Employers

    As we understand it, these deductions are temporary, starting in 2025 and expiring after the 2028 tax year.

    • Overtime Wages:
      Employees who earn “qualified overtime” can deduct up to $12,500 for single filers or $25,000 for joint filers. Qualified overtime is defined under the Fair Labor Standards Act (FLSA). These deductions phase out for employees earning over $150,000 (single) or $300,000 (joint). Our understanding is that employers will need to track qualified overtime separately and report it on W-2s, although tax withholding procedures remain unchanged.

    • Tipped Wages:
      Employees can deduct up to $25,000 in “qualified tips” received in jobs that customarily receive tips prior to December 31, 2024. This deduction also phases out based on gross income. It appears that employers must continue reporting tips separately on W-2s, consistent with current requirements.

    • 1099 Contractors:
      The reporting threshold for payments to independent contractors increases from $600 to $2,000. (Are your 1099 employees misclassified? We talk about that here.)

    Changes to Benefits Programs

    • Dependent Care FSAs:
      Maximum contributions increase from $2,500 to $3,750 for single filers and $5,000 to $7,500 for joint filers. Employers are not required to adopt the new maximum, but doing so may enhance employee benefits. From our perspective, if employers choose to increase limits, plan documents should be updated with the plan administrator.

    • Paid Family and Medical Leave (PFML):
      Tax credits for PFML are now permanent. The employment period for eligibility is reduced from 12 months to 6 months, with a minimum of 20 hours/week worked. Employers required to provide leave under state/local laws can still claim credits for leave provided beyond those requirements. In our reading, the bill offers two calculation methods for the credit:

      1. As a percentage of wages paid to qualified employees during leave.

      2. As a percentage of total premiums paid or incurred for insurance covering PFML, regardless of whether leave was used.

    • Telehealth Services:
      Employers can continue to offer telehealth under HDHPs without imposing a deductible for employees or eligible dependents.

    • Employer Student Loan Payments:
      The tax exclusion for employer contributions toward student loans up to $5,250/year is now permanent. Inflation adjustments begin after the 2026 tax year. Employers should update payroll and accounting systems accordingly.

    • Relocation Expenses:
      The temporary elimination of moving expense deductions and tax-free employer reimbursements (from the 2017 Tax Cuts and Jobs Act) is now permanent.

    Immigration Compliance

    The BBB provides significant funding for ICE, which likely means:

    • More frequent and rigorous I-9 audits.

    • Increased scrutiny of hiring and retention practices for foreign workers.

    Our recommendation, based on this understanding, is that employers should conduct thorough I-9 audits, ensure all staff completing I-9 forms are trained, and consider using the Federal E-Verify system if not already doing so.

    Final Thoughts

    The Big Beautiful Bill introduces substantial changes that directly impact employers, from tax deductions and benefits program enhancements to stricter immigration compliance requirements. From our perspective, employers who proactively update policies, train staff, and adjust payroll systems will be better positioned to leverage the benefits while maintaining compliance.

    This is a complex, evolving area. Our intent here is to share our understanding and interpretation, not legal or tax advice. We encourage employers to consult directly with legal, tax, or benefits professionals to determine how these provisions apply to their specific situation.

  • Immigration and the Workforce: What History Tells Us and Why It Matters Now

    Immigration and the Workforce: What History Tells Us and Why It Matters Now

    The debate over immigration is far from new. While its political profile has intensified in recent years, immigration policy has shaped the American workforce since the country’s founding. For businesses today, whether in manufacturing, healthcare, technology, or the service sector, understanding this history isn’t just interesting context. It’s key to making sense of labor market dynamics, talent access, and long-term operational resilience.

    A Brief History of U.S. Immigration Policy

    Naturalization Act of 1790
    This first federal law to define citizenship limited it to “free white persons” of good moral character who had been in the country for at least two years and pledged allegiance to the U.S. Children under 21 gained citizenship through their parents.

    1800s: Expansion, Exclusion, and Labor Demand
    As the U.S. expanded westward and industrialized, demand for labor grew. Immigration policy reflected this, welcoming those deemed “morally fit” and economically useful. At the same time, exclusionary laws were enacted, particularly targeting Chinese immigrants, reflecting both racial prejudice and economic anxiety.

    Early 1900s: Quotas and Cultural Clashes
    Immigration began to shift from Northern and Western Europe to regions like Southern and Eastern Europe, prompting cultural tension. The Great Depression further fueled anti-immigrant sentiment, and the U.S. moved toward a quota-based system, limiting both the number and origin of immigrants.

    Post-War Adjustments and the 1965 Immigration and Nationality Act
    Mid-century reforms allowed for exceptions like war brides, refugees, and family reunification. The 1965 Act marked a major shift, prioritizing family-based and employment-based immigration, and officially ending race-based quotas.

    Modern Era: Enforcement and Employer Accountability
    Since 1965, immigration policy has focused on regulating entry through family ties and job sponsorship, while increasingly emphasizing border control and employer accountability through programs like E-Verify, H-1B caps, and DACA.

    The Workforce Today: How Immigration Policy Shapes Business Reality

    Fast-forward to the present, and immigration continues to play a pivotal role in workforce strategy. But today’s policies present significant challenges across industries and regions.

    Labor Shortages: A Structural Workforce Problem

    Today’s labor shortages aren’t a short-term post-pandemic hiccup. They reflect deep, long-term trends. Businesses across the economy are contending with:

    1. An Aging Population and Declining Birth Rates

    Over 10,000 baby boomers reach retirement age daily, but the next generation of workers isn’t large enough to replace them. Decades of declining birth rates have compounded the issue, shrinking the overall working-age population. This imbalance is especially painful in sectors that rely on experience and tenure, such as healthcare, education, and the skilled trades.

    1. Low Labor Force Participation

    Even with job openings at record highs, many prime-age adults (25–54) have exited the workforce due to caregiving responsibilities, health issues, or lack of training. As of mid-2025, labor force participation still trails pre-2008 levels, an economic signal that the problem is structural, rooted in long-term demographic and economic shifts, not cyclical fluctuations tied to short-term economic ups and downs.

    1. A Shortage of Specialized Skills

    The U.S. education and training pipeline is failing to keep pace with demand in tech and automation, emerging sectors like AI, cybersecurity, and clean energy, and trades and vocational fields (electricians, machinists, nurses). Immigration used to serve as a release valve, allowing companies to source specialized talent globally. But now, employers face caps, processing backlogs, and legal uncertainty, often losing talent mid-process.

    Policy Uncertainty and Compliance Pressures

    Immigration policy in the U.S. is often reactive and politically charged. Frequent shifts—executive orders, court rulings, and congressional stalemates—make it difficult for businesses to plan ahead or invest confidently in global talent strategies.

    Even companies that don’t sponsor visas are affected by I-9 audits, E-Verify mandates, and enforcement crackdowns. These increase compliance costs and risks, especially for small and mid-sized businesses, diverting attention from growth and innovation.

    Why This Matters Now: Economic Growth at Stake

    The U.S. has always relied on immigrants to build, grow, and adapt its economy. Immigrants are not only vital contributors to the workforce, they are entrepreneurs, innovators, and consumers. Restrictive and outdated immigration policies don’t just block workers, they block progress.

    Without strategic reform, industries will continue to struggle with talent shortages, wage inflation, and stalled innovation. Immigration policy must align with workforce realities, not hinder them.

    It’s critical that we reframe immigration not as a political flashpoint, but as a business and economic necessity. Employers, industry leaders, and policymakers must recognize that global talent is not a threat—it’s a competitive advantage. Immigration policy must reflect the real needs of the modern workforce.

    How are today’s immigration policies limiting your organization’s ability to grow, compete, and innovate?

  • What the Dentist’s Chair Can Teach Us About Leadership

    What the Dentist’s Chair Can Teach Us About Leadership

    When have you seen psychological safety in action? A few weeks ago, my youngest son, who is fifteen, had a dentist appointment. Unlike me, my kids have always enjoyed going to the dentist—or at least not dreaded it. I was always thankful, especially when they were little, that trips to the dentist didn’t end in a meltdown. And I give a lot of credit to the pediatric dentist and her staff for that.

    They had a way of making kids feel completely at ease. What helped my son feel comfortable—even in a situation where many kids (and adults!) feel anxious—was something we talk about often in leadership: psychological safety.

    The dental team welcomed questions. They showed the kids the tools, explained what they were going to do, and used language they could understand. The unknown wasn’t scary—because it wasn’t unknown anymore. Step by step, they built trust by creating an environment where curiosity was encouraged and no question was too small.

    That approach didn’t just reduce fear—it actually made him want to be there. Psychological safety in action.

    What ‘Psychological Safety in Action’ Means for Leaders

    The same principles apply at work. If we want people to show up fully, stay engaged, and take ownership, we have to create spaces where they feel safe to ask questions, express concerns, and understand the “why” behind what we’re doing.

    Motivation isn’t about pizza parties or quick perks. It’s about creating a culture where people feel energized, committed, and able to perform at their best—a culture grounded in trust and growth.

    Why Psychological Safety Matters

    At Horizon Point, we talk a lot about psychological safety—the belief that it’s okay to speak up, ask questions, and offer ideas without fear of negative repercussions. In fact, Google’s Project Aristotle found that psychological safety is the most important factor in high-performing teams. When it’s present, employees are more likely to contribute, take initiative, and stay engaged.

    Safety Isn’t Soft—It’s Strong

    But psychological safety alone isn’t enough. Part of a psychologically safe environment is the ability to manage conflict successfully. Too often, leaders avoid conflict to “keep the peace.” But as Amy Edmondson—one of the top authorities on psychological safety—says:

    “Psychological safety is not about being nice. It’s about giving candid feedback, openly admitting mistakes, and learning from each other.”

    Kim Scott, in her book Radical Candor, builds on this idea: leaders must care personally and challenge directly. Avoiding conflict isn’t protecting your team—it’s often self-serving. It creates distrust, fuels passive-aggression and resentment, and slows innovation.

    You need both – safety and conflict management skills. A team with psychological safety but no conflict skills becomes stagnant. A team with conflict skills but no psychological safety stays silent out of fear. Psychological safety in action is the foundation; healthy conflict is the catalyst for growth.

    Lead with Vulnerability and Structure

    As leaders, we set the tone by modeling vulnerability. That means admitting mistakes, inviting feedback, and showing up even when we’re unsure. As Brené Brown says in Dare to Lead:

    “Vulnerability is not winning or losing; it’s having the courage to show up and be seen when we have no control over the outcome.”

    By showing vulnerability as a leader, you give your team permission to do the same. Of course, this comes with guardrails:

    • Structure how concerns are raised.
    • Ensure communication is professional and constructive.
    • Recognize and reward honest feedback and collaboration—not just results.

    Motivated Teams Are Aligned, Not Always in Agreement

    Having a psychologically safe team that manages conflict well doesn’t mean everyone agrees all the time. It means team members respect each other’s different views and work through them constructively. Motivated teams aren’t always in agreement – they’re in alignment. That’s psychological safety in action.

    Books, books, books!

    Want to know more about the books Lorrie mentioned this week? Check them out on our Bookshop.org featured list:

  • What’s Ethical Isn’t Always What’s Easy

    What’s Ethical Isn’t Always What’s Easy

    Years ago I worked for a small company that was in financial trouble. The CEO asked me to alter payroll records because the company couldn’t afford to pay employees, employer taxes, or 401k contributions. I knew the request wasn’t just unethical—it was illegal. I also knew that refusing could cost me my job–-and it did. Situations like this—where personal and professional consequences collide—are the kind of ethical gray zones HR professionals face every day.

    Ten years ago, ethics in the workplace often meant compliance training and checking boxes. Today, it’s about how values show up in hiring decisions, leadership behavior, and even how we exit employees.

    That’s why I’m excited to be leading a session this week at the Alabama SHRM Conference, diving deep into Ethics in HR. We’ll explore core ethical principles, the most common challenges HR professionals face, and how to build a practical framework for navigating tough decisions—even in complex, uncomfortable situations where there may be no clear right answer. (We’re also launching a brand new eCourse all about Ethics in HR!)

    At the same time, with increasing attention on workplace transparency, DEI, and employee well-being, HR leaders are under more pressure than ever to make ethical decisions that align with both legal standards and evolving cultural expectations.

    Have you ever been asked to bend the rules “just this once”? What did you do? Ethics in the workplace isn’t always about obvious misconduct—it’s often about subtle pressures and competing interests.

    Ethics isn’t just a one-time conversation—it’s a critical skill set that needs to be practiced, refined, and supported by policy and culture. Whether you’re new to HR or a seasoned leader, revisiting these principles can sharpen your judgment and strengthen your voice in moments that matter. Ethical leadership starts with asking the hard questions and being willing to speak up, even when it’s uncomfortable. As HR professionals, we have the opportunity—and responsibility—to model what integrity looks like in action.

    Think about a time when you were faced with an ethical dilemma or an unclear ethics in the workplace situation. What did you do? Looking back, is there anything you would have done differently? Ethical decisions in HR rarely come with applause—but it’s essential to building organizations people can trust.

    NEW! Ethics in HR eCourse