Permalinks and .htaccess File Problem

I really hope someone can help me solve this. I am about to lose my mind over it. I am trying to change the permalink structure from /%postname%/ to /%year%/%postname%/. I am clearly not doing something right since every time I make the change in the WP admin settings area it adds the 2014 in as it should but when I click on the blog post link it only returns me to the main blog page and NOT the actual blog post.

It doesnt matter what post I click on, the link will always show to be correct but it will only return me to the blog main page and never the post. Below are links to show examples of whats wrong, I use short links so when people google our site these posts dont show up as they have before.

Blog Main Page:

goo.gl/BmmQPT

With permalink change:

goo.gl/Dd3M3y

And lastly, a copy of the current .htaccess file:

# BEGIN WordPress
<IfModule mod_rewrite.c>
RewriteEngine On
RewriteBase /
RewriteRule ^index\.php$ - [L]
RewriteCond %{REQUEST_FILENAME} !-f
RewriteCond %{REQUEST_FILENAME} !-d
RewriteRule . /index.php [L]
</IfModule>

# END WordPress