Blog posts about
Payroll

When a week of snow plows across the United States, it leaves a few important questions. Is travel to the workplace safe? Who absolutely needs to be there? And which employees will get paid? How do I prepare for inclement weather days? Having an inclement-weather policy answers all the questions above in advance for you […]

As we kick off 2026, we’d like to give you a heads-up regarding changes to Federal Unemployment taxes (FUTA) for employees in California, the Virgin Islands, and New York. Some states are subject to a “Credit Reduction,” which essentially means employers in those states pay a higher federal unemployment tax rate to cover outstanding federal […]

The One Big Beautiful Bill Act (OBBBA) introduced a number of changes for employers. Luckily, Nextep is here to help! As our clients’ PEO and Employer of Record, Nextep automates much of the compliance, tax reporting, and administrative burden created by the OBBBA. While the laws change, our partnership ensures your business stays compliant. Here […]

On July 4, 2025, the U.S. President signed the One Big Beautiful Bill Act (Public Law 119-21) into law. Since then, we at Nextep have been watching for the fine print from Washington. Here is a rundown of what is currently active law, what is retroactive, what is coming in 2026, and, importantly, what these […]

What counts as “qualified” tips and overtime pay when you’re looking at tax exemptions? We’re here to break it down for you. One of the changes included in the One Big Beautiful Bill Act (OBBBA), passed in July 2025, introduced a federal tax exemption on “qualified” tips and overtime wages. This exemption only applies to […]

Federal and state laws govern pay and overtime exemptions. The federal Fair Labor Standards Act (FLSA) requires overtime pay for non-exempt employees who work more than 40 hours per week. Some states, however, have added their own rules. Employees must meet specific salary and duties tests to qualify for overtime exemption at both the federal […]

State Minimum Wage Increases Several states and local jurisdictions will increase their minimum wage rates on January 1, 2026. Below is a summary of these changes and guidelines to help you comply with your minimum wage requirements. Some states adjust wages annually for inflation, while others make mid-year changes. Be sure to verify pay rates […]

EITC State Requirements Quick links: Employers in a number of states and at least one city must notify employees about the federal and/or state Earned Income Tax Credit (EITC) and other applicable tax credits. The EITC is a refundable tax credit for low- to moderate-income workers. These notices are typically required annually and are based […]

2026 SUTA  Wage Base Amounts We’ve put together a comprehensive list of 2026 SUTA (State Unemployment Tax Act) wage bases for each state, making it easier for you to stay compliant and manage your payroll taxes. Simply find your state in the table below and discover the applicable wage base for the upcoming year. Not […]

Plan your company’s financial strategy for 2026! To help you with your company’s budget, here’s an overview of some notable upcoming financial changes. Download your cheat sheet here: Download: 2026 Tax, FSA, and Retirement Updates   2026 Tax, FSA, and Retirement Updates 2026 2025 Taxes Social Security Wage Base $184,500 $176,100 FICA – Social Security […]

Several states and local jurisdictions will increase their minimum wage rates on July 1, 2025. Below is a summary of these changes and guidelines to help you comply with the requirements in your area.  As a reminder, when federal and state or local payroll laws differ, the employer must adhere to the law that benefits […]

All good things must come to an end, and sometimes, that old adage unfortunately applies to employment. When an employee separates from your company, the way you handle their final paycheck will vary based on the state they work in. We’re here to break it down for you, state by state.  In the absence of […]