What is a quarter in business and payroll?

A business quarter is a three-month period used for financial reporting, payroll tax filings, and performance tracking. The fiscal year is divided into four quarters, each spanning three consecutive months.

For businesses using Homebase payroll, understanding quarters is essential for timely payroll tax filings, accurate financial planning, and IRS compliance.

The four fiscal quarters explained

Standard business quarters follow this structure:

Q1: January 1 – March 31
Q2: April 1 – June 30
Q3: July 1 – September 30
Q4: October 1 – December 31

Why businesses track quarterly financials

Businesses rely on quarterly tracking to:

File payroll taxes on time – Employers must submit Form 941 (quarterly payroll tax return) to the IRS.
Analyze business performance – Helps track revenue, expenses, and profit trends.
Plan for tax season – Quarterly reports simplify year-end tax preparation.
Manage employee benefits and bonuses – Many companies offer quarterly incentives based on performance.

How quarters impact payroll taxes

Employers are required to file payroll tax reports with the IRS and state agencies each quarter, including:

Form 941 – Federal payroll tax return, due at the end of each quarter.
State unemployment insurance (SUI) reports – Many states require quarterly SUI tax filings.
Estimated tax payments – Businesses making estimated tax payments must submit them quarterly.

With Homebase payroll, businesses can track tax deadlines automatically and file payroll taxes on time—without the stress.

Stay ahead of tax deadlines with Homebase payroll—get started today!

Quarterly tax filing deadlines to know

The IRS and most state agencies require quarterly tax filings by these due dates:

Q1 deadline: April 30
Q2 deadline: July 31
Q3 deadline: October 31
Q4 deadline: January 31 (of the following year)

Missing these deadlines can lead to late filing penalties, so staying on track is crucial.

How Homebase simplifies quarterly payroll tasks

Manually tracking quarterly payroll taxes can be overwhelming, but Homebase payroll makes it simple by: