HR Year-End Checkup: 5 Things Every Small Business Should Do Before January

The year is flying by – I cannot believe Thanksgiving is just weeks away!  Though a busy time, a great time to do a little reset before the new year.  A quick year-end review helps you stay organized, and ready to hit the ground running in 2025.

Here are five things every small business should check off before January:

1. Review Your Employee Files

Make sure all personnel files for any new (and current) hires are complete and up to date, including job applications, I-9s, signed handbooks, and any performance documentation. If you’ve had terminations this year, confirm that separation paperwork and final pay details are properly stored and confidential.  Managing employee files can be a hassel (I get it), but keeping up with them is a lot easier than scrambling if something comes up.

2. Update (or Create) Your Handbook

If it’s been more than a year since your handbook was updated, it’s time for a refresh. Laws and policies change, and your workplace most often evolves as well. Use this time to review policies for clarity and compliance.  Have their been any gaps in your handbook that have come up throughout the year?  New policies, or changes?  Keeping track of these throughout the year can make it easier than waiting.  I love rolling out a fresh update in January of each year, even if the updates are minimal.  Make sure your team signs off on the changes, and point out what the changes were.

3. Double-Check Paid Time Off Balances

Now’s the time to confirm accrued, used, and carryover balances are accurate, especially if your state requires carryover (Maine Earned Paid Leave for example!) Communicate clearly with employees about deadlines for using time and what will roll into the new year.  If you are thinking about making changes to your policy, now is a great time to start building that.  Do you want to move from frontloaded to accruals?  Do you want to add in an additional holiday?  Planning and communicating now will make the start of the year easier, vs a panic.

4. Evaluate Your Team Structure and Pay

Think about where your business is headed next year. Do you need to adjust roles, add positions, or revisit pay rates to stay competitive? A quick review now can help you budget and recruit strategically. Also a great time to ensure your org chart is updated (or created).

5. Set Your 2025 HR Priorities

Don’t wait until January to think about goals for your team – you want to be ready to go come January!  When it comes to improving your people operations, identify a few focus areas like improving onboarding, training managers, or cleaning up communication channels. Small, consistent steps throughout the year make tackling these areas less overwhelming.

Need a Head Start?

Feeling overwhelmed?  Need some support?  Book a free call with TidalHR today!