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Reminder: New Laws & Regulations Effective Jan. 1

Jan 3, 2020
New laws & regulations effective Jan. 1: B&O tax increase, minimum wage increase & start of PFML program employee benefit utilization.

B&O Tax Increase 

During the 2019 legislative session, the Legislature approved a B&O tax increase on certain professional services. As of Jan. 1, 2020, there are now four B&O rates for services: 1.5, 1.8, 2.0, and 2.5 percent. Of the four rates, dentists are subject to a B&O tax rate of 1.8 percent. 

Minimum Wage Increase

As of Jan. 1, 2020, the statewide minimum wage increased from $12 to $13.50 per hour. The minimum wage increase is a result of Initiative 1433, passed in 2016, which instituted a multi-year minimum wage increase across the state.

Paid Family and Medical Leave

As of Jan. 1, 2020, employers must offer paid family and medical leave through either the state plan or a voluntary plan. Employees may utilize benefits as of Jan. 1. Employers have already started to remit employee premiums. 

For more information on these regulations and how to comply, visit wsda.org/regulations.