Taxes

Avoid this illegal question during interviews; FAQ estimated taxes; should startups offer 401K plans?

  • 3 min Read
  • November 30, 2017

Author

Escalon

Table of Contents

Companies can no longer ask candidates about their current or past salary in New York & California





New York and California recently passed laws that prohibit employers from asking candidates what they are currently making or what they earned in the past. The law, already in effect in Massachusetts, Oregon, and Delaware, is intended to address the issue of gender-based pay inequalities.

Research has shown that people who start their careers with lower salaries tend to remain locked into the lower end of salary ranges for future jobs.

For companies, the consequences of gender discrimination in pay can range from low employee morale and negative media coverage to lawsuits. To protect your company, research what other companies pay for similar positions and ensure that the offered salary will be competitive.

Employers must now tread carefully when it comes to the topic of salary.

For assistance

Contact your Escalon HR Representative




FAQ estimated taxes. What corporations need to know.




When are estimated tax payments due?


There are four quarterly installments. Each is due by the 15th day of the 4th, 6th, 9th, and 12th months of the tax year. If an installment due date falls on a Saturday, Sunday, or legal holiday, the installment is due on the next regular business day.

What if I carry forward losses?


Carried- forward losses can be used to set off current year income.

What if I failed to pay the third installment?


A missed payment for the 3rd Installment can be submitted while making a payment for the 4th Installment. You may still be subject to interest and/or penalties for not making the 3rd installment payment by the due date.

There can be substantial penalties if you don’t withhold enough estimated taxes.

For assistance

Contact your Escalon tax expert




401k

Should startups offer 401k plans?




According to the US Census research, only 14% of all employers offer a defined retirement contribution plan to employees. Since typical 401k providers can charge over $6,000 for a plan and take 1.25% for the investment cost, many startups tend to believe it’s too expensive or labor-intensive to offer retirement savings plans.

But, the options for 401k plans have improved. Today, companies can access plans that offer:

Fiduciary Compliance


Companies can get into trouble if they don’t oversee whether employee investments are performing well. Look for a company that limits your liability by also offering fiduciary compliance.

Partnership


Look for a provider that charges a flat yearly rate and handles all the administrative responsibilities, from annual compliance testing, making payroll contributions on time, and ensuring employees have all the proper information.

Fast Onboarding


Expect to onboard within 24-48 hours, not the traditional 4-6 weeks. A next generation partner can integrate directly into your existing HR and Payroll systems to provide seamless onboarding.

Offering employees a 401k plan signals long term stability and prevents talent poaching. Escalon works with 401k retirement plan providers who can bring these type of Fortune 500 pricing and benefits to small businesses.

For assistance

Contact your Escalon HR Representative

Talk to our team today to learn how Escalon can help take your company to the next level.

  • Expertise you can trust

    Our team is made up of seasoned professionals who bring years of industry experience to the table. You gain a trusted advisor who understands your business inside out.

  • Quality and consistency

    Say goodbye to the hassles of hiring, training and managing in-house finance teams. You will never have to worry about unexpected leave of absence or retraining new employees.

  • Scalability and Flexibility

    Whether you’re a small business or a global powerhouse, our solutions scale with your needs. We eliminate inefficiencies, reduce costs and help you focus on growing your business.

Contact Us Today!

Tap into the latest insights from experts in your industry

People Management & HR

Streamlining HR Processes, Best Practices for Small Business Owners 

Human Resources (HR) might feel like an afterthought for many small business owners juggling day-to-day demands, yet it has a...

Read More
People Management & HR

Leveraging AI for Efficient People Operations

Artificial intelligence (AI) isn’t just for tech giants anymore—it’s increasingly accessible to small and mid-sized businesses seeking a competitive edge...

Read More
Accounting & Finance

How to Set Up Payroll, A Guide for Small Business Owners 

Setting up a payroll system is an essential step that helps small business owners pay their employees accurately and on...

Read More
Accounting & Finance

Financial Planning for the Future, Setting Long-Term Business Goals

While small businesses must handle day-to-day tasks—like managing payroll or closing monthly books—long-term planning is the compass that keeps them...

Read More
People Management & HR

Benefits Administration, What Small Business Need to Know

Benefits administration can be a game-changer for small businesses aiming to attract and retain top talent. While salaries remain an...

Read More
Accounting & Finance

AAP vs. Cash Accounting: Which Method Is Best for Your Growing Business? 

Choosing the right accounting method can significantly impact how you track financial performance, manage taxes, and plan growth. Two common...

Read More
Accounting & Finance

Beyond Bootstrapping: Advanced Cash Flow Management for Scaling Companies 

Bootstrapping—financing growth through internal cash flow—is a hallmark of many successful startups. But as businesses mature past their initial stage,...

Read More
Technology & Security

Building a Scalable Tech Stack: How to Choose the Right Tools for Growth 

In today’s business landscape, technology is more than a convenience—it’s a strategic asset that can supercharge growth. But as you...

Read More
Accounting & Finance

How to Reduce Month-End Close Time Without Sacrificing Accuracy 

The month-end close can feel like a perpetual scramble—collecting invoices, reconciling accounts, fixing last-minute errors. A drawn-out close not only...

Read More