What You’ll Learn in This Post
- Why quarterly tax and wage reports are required for Washington State employers.
- The difference between “zero payroll” and “zero hours” — and why it matters for compliance.
- Key information you’ll need to include in your filings to avoid errors.
- How and when to amend a report if mistakes happen.
- Important due dates every Tacoma, Pierce County, and South Sound business owner should mark on their calendar.
- Why working with a trusted local bookkeeping advisor helps small businesses stay compliant and avoid costly penalties.
Quarterly Reporting in Washington:
What Small Business Owners Need to Know
Running a small business in Washington State comes with a long list of responsibilities. One of the most confusing—and often stressful—tasks for business owners is staying on top of quarterly tax and wage reports. If you’ve ever stared at a state form wondering what exactly you’re supposed to file, you’re not alone. Business owners across Tacoma, Pierce County, and the South Sound regularly run into the same challenge: keeping up with Washington’s Employment Security Department (ESD) requirements.
Two Reports, Every Quarter
If you employ workers in Washington, you’re required to submit two reports every quarter:
- An unemployment insurance tax and wage report.
- A combined tax and wage report covering Paid Family & Medical Leave and WA Cares.
Even if you don’t have payroll for a given quarter, you still need to file. Skipping reports—or filing late—can quickly result in penalties that eat into your cash flow. For example, fines start at $1,000 per quarter or twice the unpaid taxes, whichever is greater.
Zero Payroll vs. Zero Hours
One of the most common mistakes Washington business owners make is assuming that if they have no payroll in a given quarter, they don’t need to file. Unfortunately, the state still requires a quarterly report—even if no one got paid. That’s considered “no payroll.”
“Zero hours,” on the other hand, is different. This comes into play if you issued certain types of payments (like bonuses, severance, or back pay) but your employee didn’t actually work during the quarter. In that case, you report the wages but mark the hours as zero. Mixing these two up can trigger penalties or incomplete filings, so it’s important to understand the difference.
What Goes Into the Report
Each filing requires details about every employee: name, Social Security number, gross wages, hours worked, and occupational classification. That’s a lot of data to keep clean and accurate, especially if you have seasonal workers, salaried staff, or unique situations like corporate officers, domestic employees, or commissioned salespeople. Washington has specific rules for each type of worker, which makes reporting even more complicated.
How to File
The state strongly encourages filing online through its Employer Account Management Services (EAMS) system. This helps reduce errors and makes it easier to amend reports if something changes later. Paper filing is still an option, but you must request the official forms—sending in anything else risks having your report rejected.
Deadlines You Can’t Miss
Reports are due at the end of the month following each quarter:
- Q1: April 30
- Q2: July 31
- Q3: October 31
- Q4: January 31
Miss a deadline, and penalties accumulate quickly. That’s why many business owners mark these dates in red on their calendars—or better yet, hand the responsibility off to a bookkeeping professional who tracks it for them.
Amending Reports When Mistakes Happen
Even the most detail-oriented business owners make errors when filing reports—especially when tracking hours, job classifications, or wages for different types of employees. Washington allows you to amend a report online through EAMS or by submitting a paper amendment. The key is to act quickly. The longer errors go uncorrected, the greater the risk of penalties or mismatched records that could complicate future filings. Having a bookkeeping system in place (or someone who manages it for you) ensures that mistakes are caught and corrected before they become bigger problems.
Penalties for Late or Missing Reports
Washington takes quarterly reporting seriously, and the penalties can add up fast. Missing a filing, submitting incomplete information, or paying late can result in fines starting at $1,000 per quarter—or double the unpaid taxes, whichever is higher.
These penalties aren’t just financial; they also create unnecessary administrative headaches that can pull your attention away from running your business. Staying ahead of deadlines and submitting accurate reports is the best way to avoid costly surprises.
Why Support Matters
For small business owners, the biggest challenge isn’t just knowing these rules—it’s applying them accurately while juggling the day-to-day demands of running a company.
A missed filing, an error in reporting hours, or overlooking a new requirement can all result in costly fines and unnecessary stress.
Most small businesses without dedicated bookkeeping and payroll support find it challenging to stay compliant. That’s where having a trusted, local expert makes all the difference. At J. Ott Business Solutions, we help Tacoma and South Sound business owners navigate Washington’s reporting requirements, file accurately, and keep their focus where it belongs: on growing their business.
We are here to help local business owners stay compliant and stress-free—connect with us anytime for support.
For full details straight from the state, visit the Washington Employment Security Department’s guide on how to file your quarterly tax and wage reports.