Q4 is Here: The HR Priorities Small Businesses Can’t Afford to Overlook

Cynthia Jenkins
Oct 3
2 min read

We’ve officially entered the fourth quarter—the home stretch of the year. For many small businesses, Q4 is a whirlwind of holiday planning, wrapping up projects, and preparing for the new year. But amid the hustle, it’s also one of the most important times to tackle a few critical HR tasks that can set your business up for success in 2026.

Whether you have two employees or twenty, now is the time to pause, take stock, and make sure your people and policies are aligned with your business goals. Here are the top HR tasks every small business should be focusing on in Q4.

1. Review and Update Your Employee Handbook & Policies

Laws change, businesses evolve, and policies that worked a year ago may not fit today. Q4 is the perfect time to:

Review your handbook for compliance with state and federal laws.
Update policies to reflect changes in your operations (such as remote work, PTO, or new benefits).
Ensure your handbook is written clearly and reflects your current culture.

Having an updated handbook in place before January gives employees clarity—and protects your business.

2. Plan for Performance Reviews

Performance reviews aren’t just about checking a box—they’re about setting expectations, recognizing accomplishments, and preparing your team for growth. If you haven’t already:

Schedule year-end reviews for your employees.
Decide whether increases (if any) will be flat across the board or performance-based.
Prepare talking points for managers so conversations are consistent and productive.

This is also a good time to review bonus structures, incentives, and recognition programs to boost retention going into the new year.

3. Evaluate Recruiting Needs for 2026

Many industries see a hiring push in Q1, so now’s the time to prepare:

Review your staffing needs for next year.
Refresh job descriptions and ensure they accurately reflect roles.
Consider whether pay ranges remain competitive in today’s market.

Even if you’re not hiring immediately, having your recruiting strategy ready ensures you can move quickly when the need arises.

4. Audit Payroll, Benefits, and Compliance

Year-end payroll and compliance tasks can sneak up on small businesses. Before December hits:

Confirm tax accounts and registrations are up-to-date.
Review benefits enrollment deadlines and employee eligibility.
Double-check PTO balances, carryover policies, and payouts.

Cleaning up any issues now makes January smoother for both you and your team.

5. Set Goals and HR Strategy for 2026

Finally, Q4 is the right time to zoom out and look ahead:

What are your growth goals for 2026?
Do you have the right roles and team members in place to get there?
Are your HR processes supporting your business—or holding it back?

Answering these questions now helps you start the new year with clarity and momentum.

Final Thought

Q4 can feel overwhelming, but a little planning goes a long way. By prioritizing HR tasks like handbooks, performance reviews, recruiting, and compliance now, you’ll enter 2026 with less stress and more confidence.

If your small business could use a hand navigating these year-end tasks, Elevated HR Consulting is here to help. From audits to recruiting to compliance checkups, we partner with you to make HR simple—so you can focus on growing your business.