January is the start of a new quarter, a new year, and a new chance to bring your business visions to life. Whether you’re recovering from the hectic holiday season or already moving full-steam ahead with Q1 plans, it’s crucial to meet your compliance deadlines.
Here are the key HR, benefits, payroll, and tax dates this month.
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Federal holidays
January 1, 2025
New Year’s Day
Enjoy the holiday if your business is closed on New Year’s Day!
January 20, 2025
Martin Luther King Jr. Day
Most businesses and schools are closed in honor of Martin Luther King Jr. and his contributions to the Civil Rights Movement, so make sure your operation is prepared.
Tax and payroll compliance deadlines
Payroll tax deposits (for semi-weekly depositors)
The Internal Revenue Service (IRS) requires employers who file Forms 940 and 941 to deposit payroll taxes at different frequencies throughout the year.
If you report more than $50,000 in payroll taxes during the lookback period of July 1, 2023, to June 30, 2024, you’re considered a semi-weekly depositor and must follow the schedule below:
| If payday for your employees is on… | Deposit employment taxes by… |
| Wednesday | The following Wednesday |
| Thursday | The following Wednesday |
| Friday | The following Wednesday |
| Saturday | The following Friday |
| Sunday | The following Friday |
| Monday | The following Friday |
| Tuesday | The following Friday |
However, if you accumulate $100,000 or more of tax liability in a single day, the IRS says you must deposit the amount by the following business day, regardless of whether you normally deposit on a semi-weekly or monthly basis (more on monthly deposits below).
To learn more about federal payroll tax deposits, read Publication 15.
Keep in mind that some state and local governments that collect payroll taxes will also expect their own deposits and those deadlines may be different from the federal ones. For more information, contact your state and local tax agencies directly.
Quarterly state and local taxes
If you live in a state or local area that collects income tax, your fourth quarter taxes for the 2024 tax year are due this month. This deadline may be different from the federal due date, so check with your state and local government tax agencies for further details.
January 1, 2025
Start of Q1
Today is the first day of Q1 for businesses that run on a calendar year.
January 10, 2025
Employee tip reporting deadline for December 2024
Employees who earned tips of $20 or more during December need to report them to you by January 10. You can learn more about tip withholding and reporting requirements here.
January 15, 2025
Payroll tax deposits for monthly depositors
If your company follows the monthly payroll tax deposit schedule (meaning that you reported less than $50,000 in payroll taxes during the lookback period), then your tax deposit for December 2024 payrolls is due on January 15.
Federal estimated tax payments
If you make quarterly estimated tax payments, your fourth payment of the year is due January 15. You will likely make quarterly estimated tax payments if you fall into one of the following categories:
- C corporation
- S corporation shareholder
- Partnership
- Sole proprietor
- Independent contractor
- Freelancer
- Farmers and fishermen
You can pay online, over the phone, or via mail using Form 1040-ES. For more information on estimated taxes, review Publication 505.
January 31, 2025
Form 1040 is due for individuals who didn’t make their fourth estimated tax payment
If you didn’t pay your last installment of estimated tax by January 15, you can file your income tax return (Form 1040 or Form 1040-SR) for 2024 early by January 31. If you file your return and pay all taxes due by this date (instead of April 15), you won’t get penalized for missing your last estimated tax payment.
Form 940 due
You have to report your annual Federal Unemployment Tax Act (FUTA) tax from the previous tax year using Form 940. If your FUTA tax liability for the fourth quarter of 2024 is $500 or less, you can also pay the tax when you file the form on this day. If it is more than $500, you must deposit it.
Read the section on Federal Unemployment (FUTA) Tax in Publication 15 to learn more.
Form 941 due
Employers file Form 941 with the IRS every quarter to report how much federal income, Social Security, and Medicare taxes they withheld from employees’ paychecks during that time period. The deadline for fourth-quarter payments for the 2024 tax year is January 31.
If your tax liability is less than $2,500, you can pay it in full with a timely filed return. If you deposited the tax for the quarter timely, correctly, and in full, you can wait until February 10 to file if you like.
Form 943 due
If you employ farm workers, you’ll need to file Form 943 with the IRS by the end of January if their wages are subject to employment taxes. Note that agricultural employee wages are only reported using this form and that they aren’t reported on Forms 941 or 944.
Form 944 due
Smaller employers with an annual tax liability of less than $1,000 for Medicare, Social Security, or withheld federal income taxes must file Form 944 by January 31. This replaces the quarterly Form 941 filing requirements that larger businesses have.
If your tax liability is $2,500 or more for 2024 but less than $2,500 for the fourth quarter, deposit any undeposited tax or pay it in full with a timely filed return. If you deposited the tax for the year timely, properly, and in full, you have until February 10 to file the return.
Form 945 due
File Form 945 with the IRS by January 31 to report any income tax withheld from non-payroll payments, like 401(k) distributions or annuity payments. If your tax liability is less than $2,500, you can pay it in full with a timely filed return.
If you deposited the tax for the year timely and in full, you have an extra 10 days—until February 10—to file the return.
Form W-2 due
If you had employees in 2024, you need to furnish Form W-2 to them and file with the Social Security Administration (SSA) as well as with your state and local governments by January 31.
Per the IRS’ updated regulations, you’re required to submit these forms electronically if you have 10 or more forms to submit. If your employee agrees to receive Form W-2 electronically, make sure you post it securely on a website and notify the employee of the posting.
File Form W-3, Transmittal of Wage and Tax Statements, along with Copy A of all the W-2 forms you issued for 2024.
Form 1099-NEC due
Form 1099-NEC, the form for nonemployee compensation, is due to the IRS (and your state and local governments, if they require it) by January 31. You also have to distribute a copy of this form to every independent contractor to whom you paid $600 or more in nonemployee compensation during the 2024 tax year.
If you have any employees who received employer-sponsored plan distributions last year, they get a copy of Form 1099-R by this date as well. For more information on 1099 reporting forms, review the general instructions provided by the IRS.
FUTA quarterly tax payment is due
The Federal Unemployment Tax Act (FUTA) says that you’re subject to FUTA tax on the wages you paid employees who aren’t household or agricultural employees if:
- You paid wages of $1,500 or more to employees in any calendar quarter during 2023 or 2024, or
- You had one or more employees for at least some part of a day in any 20 or more different weeks in 2023 or 20 or more different weeks in 2024. Count all full-time, part-time, and temporary employees.
If the above applies to you, you have to file Form 940 by January 31. However, you also have to deposit your FUTA tax before you file your return. If your FUTA tax liability is more than $500 for the calendar year, you must deposit at least one quarterly payment. If your FUTA tax liability is $500 or less in a quarter, you can carry it forward to the next quarter.
That means if your FUTA tax liability through December 2024 was more than $500, you need to make your fourth quarterly payment by January 31.
If you owe $500 or more, you must make electronic fund transfers using the Electronic Federal Tax Payment System (EFTPS). Refer to Publication 966 for electronic federal tax payment system information, and Publication 15 for more information on deposit rules.
Form 720 filing deadline
If your business manufactures or sells certain goods and services, you must report and pay excise taxes to the IRS on a quarterly basis using Form 720. You can see the full list of the goods and services that incur excise taxes on the document itself.
If your business deals with any of them, the fourth payment for the 2024 tax year is due January 31.
If you want to e-file, you can pay your excise taxes through the EFTPS. If you want to mail the tax form to the IRS, send the form, along with your check or money order payment and the Form 720-V payment voucher (found on the last page of Form 720), to the following address:
Department of the Treasury
Internal Revenue Service
Ogden, UT 84201-0009
Form 730 filing deadline for wagers in December 2024
You have to file Form 730, the monthly tax return for wagers, if you meet the following criteria and accepted wagers during December 2024:
- are in the business of accepting wagers
- conduct a wagering pool or lottery
- are required to be registered and received wagers for or on behalf of another person but did not report that person’s name and address
Learn more about Form 730 here.
Form 2290 filing deadline for vehicles first used in December 2024
If you’ve registered a heavy highway motor vehicle (with a taxable gross weight of 55,000 pounds or more) that was first used in December 2024, you have to file Form 2290 by January 31.
To learn more about Form 2290, review the IRS’ instructions and information.
HR compliance deadlines
January 2, 2025
Review employee handbooks and distribute the 2025 calendar
At the start of the new year, take some time to comb through your employee handbook and make any necessary changes. You may want to address:
- Guidelines for remote working
- Privacy policies
- Compensation and benefits
- Performance reviews
- Time and attendance policies
- Procedures for termination and discipline
- Workplace safety and emergencies
Give every employee an updated copy of the handbook, along with a 2025 calendar listing important business dates and holidays. It’s helpful to give workers at least one pay period to review the handbook, sign an acknowledgment that they received it, and address any immediate questions.
Review state and local minimum wage changes
The beginning of January is when new laws—including those around minimum wage—go into effect. Take some time to review your city and state’s current minimum wage, pay equity, and pay transparency and reporting laws to make sure you’re aware of any recent changes.
If you need to make changes, carve out some time on the calendar to update your policies and keep employees in the loop.
Send health benefits notices
You need to distribute your Summary of Benefits and Coverage (SBC) to all qualifying employees at the start of every new plan year, plus additional notices if you offer health benefit plans that are part of the Children’s Health Insurance Program (CHIP), Qualified Small Employer Health Reimbursement Arrangement (QSEHRA), Consolidated Omnibus Budget Reconciliation Act (COBRA), Women’s Health and Cancer Rights Act (WHCRA), HIPAA special enrollment, or Newborns’ & Mothers’ Health Protection (NMHPA).
Update your labor law posters and signage
Confirm that your federal, state, and local labor law compliance posters are up to date and properly displayed in your workplace by the start of the year. You can order federal labor law posters from the Department of Labor.
ACA open enrollment end date
For states using the Affordable Care Act (ACA) marketplace, the federal open enrollment period for individual coverage in 2025 ends on January 15. Note that some states use their own marketplace; the open enrollment deadline in those states may differ from the federal one.
January 15, 2025
Deadline for final minimum funding quarterly payment for defined benefit plans
If your defined benefit plan is subject to the minimum funding requirements, you must make quarterly installment payments of the required contributions. You need to make your final minimum quarterly installment payment by January 15.
Learn more by reading IRS Publication 560.
January 30, 2025
Deadline to provide participants of a defined benefit plan with a notice of benefit restrictions
You need to provide participants and beneficiaries of a defined benefit plan with a notice of benefit restrictions if the plan is less than 60% funded. This notice is due January 30, or 30 days after the measurement date at which the plan has become subject to a benefit restriction.
January 31, 2025
Forms 1095-B and 1095-C due
You need to distribute Form 1095-B and Form 1095-C to your employees by January 31. Form 1095-B reports the type of minimum essential health insurance coverage your employees have and explains which dependents are covered under the policy.
You file and furnish Form 1095-C—which explains the type of insurance available and which employees are eligible for coverage—to employees if you’re an applicable large employer (ALE).
Form 1099-R due
You need to send Form 1099-R to any plan participants who received distributions from a qualified retirement plan during 2024.
Send participant data to your third-party administrator
If you collect participant data for your 401(k) plans, you may need to send this data to the third-party administrator who conducts your 401(k) nondiscrimination testing by January 31. This includes data for average deferral percentage/average contribution percentage, top-heavy, and 402(g) compliance testing.
