The Payroll & HR Compliance Checklist for Q4

The Payroll & HR Compliance Checklist for Q4

As Q4 begins, it’s time for small and mid-sized businesses to prepare for year-end compliance tasks, before deadlines and penalties hit. From payroll tax filings to employee handbook updates and workers’ comp audits, there’s a lot to review. With no major IRS form changes yet under the OBBBA, you still need to meet stricter filing and documentation standards. True PEO helps businesses across the U.S. complete these tasks correctly and on time. Our services support payroll accuracy, HR compliance, workers’ compensation, and risk management. Don’t wait until the last minute, contact True PEO today to simplify your Q4 compliance checklist and start the new year with confidence. 

Why Q4 Compliance Is More Than Just a Year-End Task

For businesses with 30–300 employees, Q4 is crunch time. The final quarter brings a flood of year-end responsibilities, many of them compliance related. Between closing out payroll, finalizing benefits reports, reviewing risk protocols, and updating HR documents, the margin for error is thin. 

Missing one deadline can mean fines, lost deductions, or legal issues that follow you into 2026. And with enhanced scrutiny from the IRS and Department of Labor under the OBBBA, even minor paperwork issues can raise red flags. 

That’s why we created this checklist. It’s not just about getting through the quarter—it’s about starting next year strong. Every item ties directly to one of True PEO’s core services: payroll, HR, risk management, and workers’ comp. And we’re ready to help you cross each one off the list. 

1. Payroll Filings: Review, Reconcile, and Report 

Before the year ends, ensure that: 

  • All employee wages and hours are accurately recorded. 
  • Tip and overtime data are properly documented to qualify for 2025 OBBBA deductions. 
  • Year-end bonus payments and adjustments are included in tax filings. 
  • W-2 and 1099 preparation is on track for January deadlines. 

Even though the IRS has confirmed no form changes for 2025, businesses still need accurate and complete reporting to avoid penalties. True PEO’s payroll services keep your filings clean, compliant, and optimized for available tax savings. 

2. HR Policy Review and Employee Handbook Updates 

New labor laws, including those introduced by the OBBBA, may affect policies on wages, time off, or classification. Ensure your: 

  • Employee handbook reflects federal and state regulation updates. 
  • Onboarding and offboarding procedures are consistent and documented. 
  • Employee classification and I-9 records are accurate and up to date. 

True PEO’s HR services help businesses audit their documents and implement updates with confidence, so you don’t start the new year exposed to liability. 

3. Workers’ Compensation: Prepare for Annual Reporting 

As you finalize payroll, this is the time to: 

  • Reconcile any outstanding workers’ comp claims
  • Submit year-end wage reports tied to your insurance calculations. 
  • Document any workplace incidents or safety updates from Q4. 

True PEO supports workers’ compensation management by handling reporting requirements and helping you navigate claims to reduce disruption and future risk. 

4. Risk Management: Proactive Planning for 2026 

Q4 isn’t just about looking back—it’s about preparing for what’s next. Now’s the time to: 

  • Conduct an end-of-year compliance audit. 
  • Review your risk exposure related to employment law, tax changes, or insurance. 
  • Plan ahead for upcoming regulatory changes expected in 2026. 

With True PEO’s risk and compliance services, you’ll have a clearer picture of what’s changing—and how to get ahead of it. 

Stay Ahead of Deadlines with True PEO

Year-end compliance isn’t optional—and it’s not something to leave until the last week of December. Whether you need help processing payroll reports, updating policies, or managing comp claims, True PEO is your compliance partner every step of the way. 

Contact us today and make sure your Q4 checklist is complete—so you can step into the new year focused, compliant, and ready to grow. 

Frequently Asked Questions

W-2s, 1099s, and Form 941 are standard. With True PEO, you’ll meet all deadlines and requirements on time. 

There are no new forms for 2025, but stricter documentation is required for tips and overtime deductions. True PEO keeps you compliant; contact us today to ensure your records are accurate and your filings are audit ready. 

Labour laws shift frequently. An outdated handbook can expose you to audits or lawsuits. We ensure your policies stay current.