There is nothing worse than realizing your money, money, money, is missing. How can that be? Well, some small businesses might get to the end of the first quarter and be asking themselves that exact question. There are changes in Ohio that will hit first quarter and affect cash flow. Ohio’s hourly minimum wage has increased from 2017 at $8.15 to 2018 at $8.30. Payroll should be run staring on January 1, 2018 at the new rate. Also, Ohio employers will be paying more unemployment taxes in 2018 because the Ohio Department of Job and Family Services has raised the taxable wage base from $9,000 per employee to $9,500 per employee. Another change will be for companies that pay employees mileage, needing to acknowledge the increase from 53.5 cents to 54.5 cents. Changes did not only occur at the state level but we have one on the federal level, as well. The maximum amount of wages in 2018 subject to the 6.2% Social Security tax will rise from $127,200 to $128,400, an increase of a little more than 1%. As long as you know why your money, money, money has decreased and plan for things accordingly, you will be ready for it and have a plan to make plenty more this year.
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