New Minimum Wage Requirements for 2026

A new year brings updated minimum wage requirements for employers. While the federal minimum wage has remained unchanged for more than a decade, states and local jurisdictions continue to implement their own increases, often with significant variation by location.

Below are the known minimum wage changes effective January 1, 2026, including exempt salary threshold updates where applicable.

January 1, 2026 Minimum Wage Changes by State

  • Arizona: $15.15
  • California: $16.90
    Exempt salary threshold increases to $1,352 per week
  • Colorado: $15.16
    Exempt salary threshold increases to $1,111.23 per week
  • Connecticut: $16.94
  • Hawaii: $16.00
  • Maine: $15.10
    Exempt salary threshold increases to $871.16 per week
  • Michigan: $13.73
  • Minnesota: $11.41
  • Missouri: $15.00
  • Montana: $10.85
  • Nebraska: $15.00
  • New Jersey:
    • $15.92 (employers with six or more employees)
    • $15.23 (seasonal employees and employers with fewer than six employees)
  • New York: $16.00
    Exempt salary threshold increases to $1,199.10 per week
    • New York City, Long Island, and Westchester County: $17.00
      Exempt salary threshold increases to $1,275 per week
  • Ohio: $11.00
  • Rhode Island: $16.00
  • South Dakota: $11.85
  • Vermont: $14.42
  • Virginia: $12.77
  • Washington: $17.13
    Exempt salary threshold increases to $1,541.70 per week

What Employers Should Do Now

Employers should review pay rates, confirm exempt classifications, and ensure payroll systems reflect these changes. Keeping up with state and local wage laws is essential to avoiding penalties and maintaining compliance.

Want Loyal Customers? Keep Employees Happy

Why Investing in Employee Experience Pays Off

Strong customer service often starts from within. And that means creating a positive experience for your employees. Happy employees don’t just stick around longer, they create better experiences for your customers, too. In fact, 90% of employees surveyed by our technology partner, isolved, said that their workplace experience directly impacts the service they provide.

This connection between employee experience and customer experience isn’t just a feel-good idea, it’s a measurable business strategy. Companies that prioritize their people often see increased productivity, better retention, and stronger customer loyalty. So, what can employers do to improve the employee experience?

What Employees Really Want

isolved’s survey of more than 1,100 employees revealed some clear expectations. Here’s what they say makes a difference:

1. Better Compensation and Benefits

Competitive pay and solid benefits are essential, not just to attract talent, but to show employees they’re valued. When people feel recognized and fairly compensated, they’re more likely to be engaged, productive, and committed to delivering great service.

2. Flexible Work Options

Whether it’s remote work, hybrid schedules, or flexible hours, offering more autonomy helps employees better manage work and life. Flexibility shows trust, and trusted employees often return the favor with loyalty and focus.

3. Stronger Internal Communication

Clear, transparent communication builds trust across your organization. Employees want to feel heard and informed. That means creating space for two-way feedback, offering regular updates, and making it easy to share ideas.

4. Recognition That Matters

People want to know their work has meaning. Recognizing employee contributions—and linking them directly to company goals—can go a long way in building morale and purpose.


The Bottom Line

If you want customers to feel supported, it starts with supporting your team. By focusing on employee satisfaction and well-being, businesses can create a ripple effect that reaches all the way to the customer.

Not sure where to begin? Start by asking employees what matters most to them—and be ready to act on what you hear. Because when employees feel seen, heard, and appreciated, they bring their best selves to work, and your customers will notice.

Key Employer Takeaways from the One Big Beautiful Bill

Updated August 17, 2025

President Trump signed the “One Big Beautiful Bill” into law, which will soon have a significant impact on both employers and employees. Enacted on July 4, 2025, the Act introduces major changes across a broad range of compliance areas, including paid family leave and new individual income tax deductions for tips and overtime.

Paid Family and Medical Leave

The Bill makes the paid leave tax credit permanent, allowing employers to claim credits for wages or insurance premiums paid for family leave, starting in 2026, as long as they have a written leave policy (with some exceptions).

“No Tax on Tips”

Effective for 2025 through 2028, employees who customarily and regularly receive tips may deduct up to $25,000 in qualified tips from their income subject to federal income tax. Qualified tips include voluntary cash or charged tips received directly from customers or distributed through tip pooling or sharing arrangements.

Employers must continue reporting tips on Form W-2 for employees and Form 1099 for non-employees. The annual deduction is capped at $25,000 and begins to phase out when an individual’s modified adjusted gross income (MAGI) exceeds $150,000 ($300,000 for joint filers).

“No Tax on Overtime”

The Act also allows workers to deduct up to $12,500 in qualified overtime pay ($25,000 for joint filers) from their income, subject to federal tax.

Qualified overtime compensation must be reported by employers on Form W-2 for employees and Form 1099 for non-employees. As with the tip deduction, the overtime deduction phases out when MAGI exceeds $150,000 ($300,000 for joint returns).

What Employers Should Do

Employers should review payroll systems to ensure overtime premiums and tip income are tracked separately, as these amounts may need to be reported differently on W-2s and 1099s under the new law.

Now is the time to coordinate with payroll providers and tax advisors to prepare for these changes, including any system updates or reporting adjustments. Training staff on proper classification will also help ensure compliance.

These deductions are temporary and are set to expire on December 31, 2028, unless extended by future legislation.

Schedule a call with us to explore how we can help support your compliance.

Upcoming Compliance Deadlines and HR Law Changes: Summer–Fall 2025

To help your business stay compliant and informed, we’ve outlined critical upcoming deadlines and employment law changes at both the federal and state levels. From EEO-1 reporting revisions to new pay transparency laws across several states, here’s what to know for the months ahead.

Federal Updates

EEO-1 Reporting Changes

The Equal Employment Opportunity Commission (EEOC) has released updates to its 2024 EEO-1 instruction booklet. The filing window runs from May 20, 2025, to June 24, 2025. Two key changes impact this reporting cycle:

  • Small Federal Contractors Exempt: Only employers with 100 or more employees must file EEO-1 Component 1 reports. Federal contractors with 50–99 employees are no longer required to file unless they meet the 100-employee threshold. 
  • No Reporting Option for Non-Binary Genders: The revised instructions clarify that the EEO-1 Component 1 process does not support non-binary gender reporting for 2024.

2026 HSA, HDHP, and ACA Adjustments

The IRS has announced inflation-adjusted amounts for health savings accounts (HSAs), high-deductible health plans (HDHPs), and ACA out-of-pocket maximums, effective for calendar year 2026:

Annual HSA Contribution Limits

  • Self-only coverage: $4,400 (increase of $100 from 2025)
  • Family coverage: $8,750 (increase of $200 from 2025)
  • Catch-up contributions (age 55+): $1,000 (unchanged)

Minimum Annual HDHP Deductibles

  • Self-only coverage: $1,700 (increase of $50 from 2025)
  • Family coverage: $3,400 (increase of $100 from 2025)

Maximum Annual HDHP Out-of-Pocket Expenses

  • Self-only coverage: $8,500 (increase of $200 from 2025)
  • Family coverage: $17,000 (increase of $400 from 2025)

These limits apply to all HDHPs, regardless of whether they cover essential health benefits (EHBs) or not.

State Updates

New Jersey

Pay Transparency LawEffective June 1, 2025
Employers with 10 or more employees must:

  • Include pay ranges and a general description of benefits in job postings.
  • Make reasonable efforts to notify current employees of open positions.

New York

Jury Duty Pay LawEffective June 8, 2025
Employers with 25+ employees must provide:

  • Compensation disclosure in job postings.
  • Pay transparency during internal job changes (promotions, transfers).
  • Wage data reporting for employers with 100+ employees.

Retail Worker Safety ActEffective June 2, 2025
Employers with 10+ retail employees must implement:

  • Workplace safety measures
  • Training programs
  • Policy documentation and employee notices

Illinois

One Day Rest in Seven Act (SB3180) – Effective Immediately
Employers are prohibited from retaliating against employees who assert their rights under this law, including filing complaints with their employer or the state.

Vermont

Pay Transparency LawEffective July 2025
Employers with 5 or more employees must disclose pay ranges in job postings, including if compensation is commission-based.

Massachusetts

Pay Transparency Law Effective October 29, 2025
Requirements include:

  • Employers with 25+ employees must disclose pay ranges in job postings and internal promotion opportunities.
  • Employers with 100+ employees must submit wage data reports to the state.

With a mix of federal and state-level changes rolling out over the next several months, employers should review their current HR practices, job posting templates, and compliance policies. Staying informed and ahead helps minimize risk and builds trust with your workforce.

Need help navigating these updates? Counter Point is here to support your compliance strategy.

Understanding Leave Policies: Key Considerations for Employers

As federal leave laws, like the Family and Medical Leave Act (FMLA), provide a framework for employee leave, many states are going further by enacting laws that expand these rights. These state-level initiatives address a variety of situations, offering employees more opportunities to take time off. Businesses should review these seven key considerations to comply with these legal requirements and thoughtfully manage voluntary leave options:

1. Mandatory vs. Voluntary Leave

Certain leaves of absence are required by law based on company size, and employers are generally obligated to approve these requests if the employee is eligible. In contrast, voluntary leave, such as an extended vacation or personal time, is not legally mandated. Employers can decide whether to grant such requests, guided by their internal policies.

2. Paid vs. Unpaid Leave

Leaves of absence can be classified as either paid or unpaid, depending on the circumstances and company policies:

  • Paid leave allows employees to maintain their full or partial salary while away from work.
  • Unpaid leave provides employees the ability to take time off without receiving compensation, which is common with voluntary absences.

3. Duration of Leave

The duration of leave varies based on its type:

  • Mandatory leave: Governed by specific laws, such as FMLA’s 12-week provision.
  • Voluntary leave: The duration is determined at the employer’s discretion and should align with company policy.

4. Job Protection

Mandatory leaves, like those under FMLA, require that employees return to their same or an equivalent position after their leave. Voluntary leave, however, does not come with a guarantee of job protection unless explicitly stated in company policies.

5. Benefits During Leave

Employee benefits, such as health insurance, may or may not continue during a leave of absence:

  • Mandatory leave: For instance, under FMLA, employees can retain health benefits for up to 12 weeks, provided they continue paying their share of the premium.
  • Voluntary leave: Employers have discretion over whether benefits continue during voluntary leave and should outline these terms in their policies.

6. Governing Laws

Federal laws regulating leaves include:

  • The FMLA for family and medical leave.
  • The Americans with Disabilities Act (ADA) for reasonable accommodations.
  • The Uniformed Services Employment and Reemployment Rights Act (USERRA) for military leave.

State laws often provide additional protections, such as extended family, medical, or military-related leave. Employers must stay informed about state-specific requirements to ensure compliance.

7. Policy Provisions

To maintain transparency and compliance, employers should develop detailed leave policies and include them in employee handbooks. These policies should specify:

  • Types of leave available
  • Eligibility requirements
  • Employee rights and responsibilities
  • Pay and benefit implications
  • Procedures for requesting leave

By addressing these considerations, organizations can create comprehensive leave policies that balance compliance with employee needs and operational requirements.


To learn more about how Counter Point can help support your compliance needs, request a call today!

Key State and Federal Compliance Deadlines for Employers

The start of 2025 has introduced numerous compliance changes and updates at both the federal and state levels. To help employers stay prepared, here are key employment law deadlines taking effect in March, along with important regulations to watch through July.

Upcoming Federal Requirements

OSHA Form 300A Electronic Submission Due by March 2

  • Covered establishments with 250 or more employees in the 2024 calendar year—or those with 20 to 249 employees in certain high-risk industries—must electronically submit their 2024 OSHA Form 300A data using OSHA’s online Injury Tracking Application (ITA). The submission deadline is March 2, 2025.
  • Employers that meet any of the following criteria do not have to send Form 300A information to OSHA:
    • They are partially exempt from OSHA’s routine recordkeeping requirements, as mentioned above.
    • They never had 20 or more employees during the previous calendar year, regardless of industry. 
    • They had between 20 and 249 employees at some point during the previous calendar year but are not considered high-risk industries

Executive Orders and Their Impact on Private Employers

  • The recent Executive Orders do not apply to private employers unless they are federal contractors or receive federal funding. Due to their limited scope, private employers are not required to discontinue diversity, equity, and inclusion (DEI) training or initiatives.

Upcoming State Requirements

These upcoming law changes could significantly impact employers, affecting workplace policies, and compliance obligations.

New Jersey: Effective June 1, the New Jersey Pay Transparency law will take effect. Employers with 10 or more employees must include the hourly wage or pay range, along with a general description of benefits and other compensation programs available to the position, in all job postings. Additionally, employers must make reasonable efforts to notify current employees of open positions. 

Missouri: In May, a new Paid Sick Leave law will take effect. Under this law, employees must accrue one hour of sick leave for every 30 hours worked or receive a frontloaded amount based on employer size. Employers with 0–14 employees may limit annual usage to 40 hours, while employers with 15 or more employees may limit usage to 56 hours annually. Employers must allow employees to use sick leave in the smallest time increment that the payroll system can track. Carryover may be capped at 80 hours, and a doctor’s note can only be required after three consecutive absences. This new law requires employers to update their policies and distribute a Notice of Rights by April 15.

Alaska: Effective in July, Alaska will enact a Sick Leave law. Employees must accrue one hour of sick leave for every 30 hours worked, or employers can frontload sick leave based on employee size. Employers with 0–14 employees may limit annual usage to 40 hours, while employers with 15 or more employees may limit usage to 56 hours per year. Employers must allow employees to use sick leave in the smallest time increment that the payroll system can track, and carryover can be capped at 80 hours. A doctor’s note can only be required after three consecutive absences. This new law requires employers to update their policies and distribute a Notice of Rights by July 31.

Vermont: Vermont Pay Transparency law will go into effect in July. Employers with 5 or more employees must include the rate or pay range information in job postings, including details about whether the pay is commission-based.

To learn more about how Counter Point can help support your compliance needs, request a call today!

Smart Open Enrollment Tips for Your Small Business

Now is the right time to build an open enrollment strategy that boosts employee satisfaction, while reducing the administrative workload for your small business.

As retaining top talent becomes increasingly important, every touchpoint—including benefits enrollment—matters. A frustrating enrollment experience can leave employees feeling dissatisfied and even prompt them to seek other opportunities. By streamlining the benefits enrollment process, you can retain your workforce and save time to focus on bigger strategic goals. Whether you have a team of 5 or 500, a streamlined benefits enrollment process is critical to creating meaningful experiences for your employees.

Here are 4 tips to streamline open enrollment for your small business:

1. Review Benefit Offerings

The right benefits are important to employees, and many will shop around for an employer that can offer what they want. Employee’s needs are constantly evolving. To find out what they want, go to the source. Pulse surveys are a great way to find out what your employees value most. Questions can include:

  • Are you happy with your current benefits?
  • Do you feel satisfied with the selection of benefit options?
  • What additional benefits would best support your needs?

2. Create a Communication Strategy

One common challenge with benefits enrollment is insufficient communication. To address this, take a proactive approach by keeping employees informed year-round, not just during the open enrollment period. Regularly update them on key dates and provide clear details about their benefits to ensure a positive overall experience.

Provide employees with easy access to the information they need to make their selections. This might include health plan brochures, benefits guides from your broker, or an online cost comparison tool. Employees will have questions; provide them with a detailed FAQ that provides clear answers, as well as a point of contact who can help with more complex questions.

3. Enhance the Open Enrollment Experience

When employees lack a clear understanding of their benefits, they often pay premiums for services they rarely use—or worse, miss out on enrolling in essential benefits. This can lead to reduced benefits engagement, lower utilization, unexpected financial burdens, and wasted resources. To prevent this, provide your employees with key questions to consider before open enrollment begins. This helps ensure they make informed decisions that align with their needs and lifestyle. Questions can include:

  • Who in my family needs coverage?
  • What coverage options are available?
  • Which option best fits my needs and lifestyle?
  • What will it cost each paycheck?

4. Consider Technology for Open Enrollment

The right software can automate workflows and enhance the experience for everyone across the organization. Human capital management (HCM) technology simplifies routine HR tasks, giving employees a single system to handle essential functions like onboarding, requesting time off, accessing paystubs, and enrolling in benefits. When benefits administration is integrated into the same platform, it further streamlines the process, making it easier for both employees and employers.


Counter Point has solutions and resources that can help streamline benefits enrollment for your business. Request a call today to learn more!

6 Steps to Leverage E-Verify

As a business owner, safeguarding your company’s integrity and promoting a lawful and trustworthy workforce is essential. When hiring new employees, you’ll need to verify their identity and employment eligibility through Form I-9. Along with physically reviewing their documents, E-Verify streamlines the process by allowing you to confirm employment eligibility electronically, making it faster and more convenient.

Follow these six steps to use E-Verify for your business: 

1: Enroll in E-Verify

You’ll need several pieces of information about your company for this task and sign a memorandum of understanding. If you have more than one location where you’ll be hiring, you can either choose to designate one site to create E-Verify cases for new employees for the whole company or enroll each site that will perform its own employment verifications.

2: Complete E-Verify Training

All employers who enroll and any users who will create cases must complete an E-Verify tutorial.

3: Create an E-Verify Case

Within 3 business days after a new hire’s first day, create an E-Verify case. To do this, you’ll input the information from sections 1 and 2 of the Form I-9.

4: Examine Documents

The employee must first transmit copies of the documents they plan to present. Then, during a live video call, complete the remote I-9 verification process by examining the documents to confirm they appear genuine.

5: Note the Use of E-Verify

Indicate you used the alternative procedure on Form I-9. This requires simply checking a box.

6: Keep Copies of All Documents

Make and retain clear and legible copies or electronic images of the documentation presented by employees for review in case of an audit.


Engaging in unlawful hiring practices can result in significant penalties, including fines of up to $3,000 per employee and possible imprisonment. While compliance with employment laws is essential for every employer, keeping up with the regulations can be both difficult and time-consuming.

Schedule a call to find out how Counter Point can protect your business and simplify your compliance processes.

Interview Strategies: Questions to Ask to Identify the Right Talent

Recruiting is an important, but time-consuming process that requires careful planning and the ability to identify and attract the right candidates. According to a recent survey of HR leaders conducted by our technology partner, isolved, it’s what keeps them up at night–65% expect recruiting to be just as difficult or even more challenging than last year. 

One of the most significant challenges in talent acquisition today is the shortage of qualified candidates. While the primary goal is to fill a role, it is equally crucial to ensure the candidate is the right fit for the organization. To help narrow down the list of applicants and make the best hiring decisions, it is beneficial to incorporate various types of interview questions into your hiring process.

Behavioral Questions

Behavioral interview questions are designed to assess how candidates have handled situations in the past, providing valuable insight into their future behavior and how they might perform under pressure. These questions typically begin with phrases like “Tell me about a time when…” or “Give me an example of…” By focusing on past experiences, employers can gauge a candidate’s problem-solving skills, adaptability, and ability to cope with stress.

For example, a common behavioral question might be: “Tell me about a time when you had to meet a tight deadline. How did you manage it?” This question helps to understand how the candidate prioritizes tasks, manages time, and handles the pressure of a looming deadline. The candidate’s response can reveal their organizational skills and ability to maintain productivity in stressful situations.

Situational Questions

Situational questions present hypothetical scenarios to candidates to understand how they would handle potential challenges. This type of question is particularly useful for assessing a candidate’s adaptability and problem-solving skills.

An example of a situational question is: “What would you do if you were assigned a project with unclear instructions and a short deadline?” This question assesses the candidate’s ability to seek clarity, prioritize tasks, and deliver results. Their response will reveal their proactive approach and how they handle uncertainty and tight deadlines.

Problem-Solving Questions

Problem-solving questions are crafted to test a candidate’s analytical skills and their approach to resolving issues. These questions often present a specific problem scenario and ask the candidate to come up with a solution. This allows the interviewer to evaluate the candidate’s critical thinking, creativity, and ability to work through complex situations.

For example, a typical problem-solving question might be: “How would you approach resolving a conflict between two team members?” The response to this question can indicate the candidate’s conflict resolution skills, their ability to foster a collaborative working environment, and their capacity to maintain team harmony.


These types of interview questions can significantly improve the quality of hires by ensuring that candidates are not only qualified but also a good fit for the culture and work environment. By thoughtfully crafting and using these questions, employers can make smarter hiring choices, leading to a more cohesive team. Incorporating behavioral, situational, and problem-solving questions into your interviews is key to finding the right talent and ensuring your organization’s long-term success.

Is your organization hiring? Reach out to us to learn how we can help streamline the process.

Best Practices for Effective Job Postings

In today’s competitive hiring environment, crafting an effective job posting is crucial. Considering that 75% of resumes are rejected before they reach the hiring manager, the key challenge is to write a description that attracts top talent while minimizing the number of unqualified applicants. 

Below are some best practices for writing your job posts, along with examples of effective and ineffective job postings. Creating a compelling job post involves several key elements. Here are some tips to help you make a strong first impression:

Make it Stand Out

Your job title should be more than just the position name. Add a hook or a few enticing details to make it stand out. For example, instead of simply posting “Call Center Representative,” enhance it with phrases like “Flexible Work with Growth Opportunities.” This can capture the interest of potential candidates who are looking for more than just a job title.

Highlight Your Culture

Give candidates a glimpse into what it’s like to work at your company. Include information about your culture, values, and team environment. Highlighting what makes your company unique can help prospective employees connect with your mission and envision themselves as part of your team.

Feature Key Benefits

Make your job posting stand out by listing the top perks your company offers. Be aware of current trends in employee benefits and ensure you highlight points that will resonate with job seekers. This could include health benefits, retirement plans, professional development opportunities, and more.

Share Key Aspects of the Job

Provide an overview of the most exciting and important aspects of the role. While you should avoid getting bogged down in excessive details, including key features of the job can help generate enthusiasm among prospective employees. This might include significant responsibilities, potential projects, or unique challenges associated with the role.

Focus on Flexibility

In today’s job market, flexibility is a highly valued perk. If the position is remote or offers the option to work from home part of the time, be sure to mention it. Additionally, provide details about the job’s location and whether you offer relocation assistance. Flexibility can be a significant draw for many candidates, so highlighting this aspect can give you a competitive edge.

For Example…

To illustrate these points, consider the following:

Good Job Post

Title: “Customer Service Representative – Flexible Work with Growth Opportunities”

Description: “Join our dynamic team and help us deliver outstanding customer service. At [Company Name], we value innovation, teamwork, and growth. Our employees enjoy a collaborative work environment, comprehensive health benefits, and ongoing professional development. This role offers the flexibility to work from home several days a week. If you’re passionate about helping others and eager to advance your career, we’d love to hear from you.”

Poor Job Post

Title: “Customer Service Representative”

Description: “Looking for a customer service representative. Must have good communication skills and be able to handle complaints.”


By following these tips and examples, you can create job postings that effectively attract top talent and make a positive first impression. If you need help perfecting your recruiting efforts, request a call with us today.

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