# Payroll and tax dates in the forecast

> The IRS's monthly deposit schedule and the next-business-day rule, placed in Northwind's 13 weeks.

Source: https://lopifi.com/learn/13-week-cash-flow-forecast/payroll-and-tax-dates-in-the-forecast
Part of: Lopifi — US GAAP books on autopilot, checked by a CPA (https://lopifi.com)

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**When are payroll tax deposits due, and how do they go in a cash forecast?** The IRS's monthly deposit schedule and the next-business-day rule, placed in Northwind's 13 weeks.

Payroll taxes go on the IRS's calendar, not Northwind's. Withheld tax and the employer's share, $2,335.20 for September, sit in [payroll liabilities](https://lopifi.com/md/glossary/payroll-liabilities) until deposited. A new employer deposits monthly in its first calendar year, by the 15th of the following month. A 15th that falls on a weekend or a DC legal holiday moves to the next business day, which is why the November deposit is dated Nov 16.

*[Figure: payroll withholding]*

Illustrative: what a payroll withholds, and what the employer adds on top, both held until the deposit date.

> “Under the monthly deposit schedule, deposit employment taxes on payments made during a month by the 15th day of the following month.”

— [IRS Publication 15 (2026), Circular E, section 11 — Monthly Deposit Schedule](https://www.irs.gov/publications/p15), Payroll taxes leave the bank on the IRS's calendar, not the company's

> “Therefore, you’re a monthly schedule depositor for the first calendar year of your business.”

— [IRS Publication 15 (2026), Circular E, section 11 — New employers](https://www.irs.gov/publications/p15), A new employer deposits monthly in its first calendar year

- **Oct 3** — Supplier: the rest of September's stock (JE-4): (6,000)
- **Oct 8** — Walk-in sales, with sales tax: 10,260
- **Oct 15** — Trade customer: the rest of September's invoice (JE-7): 8,000
- **Oct 15** — Dividend declared September 30 (JE-14): (500)
- **Oct 15** — Payroll tax deposit, last month's payroll: (2,335.20)
- **Oct 20** — Last month's power bill: (450)
- **Oct 20** — Sales tax return, last month (due date assumed; states set their own): (760)
- **Oct 23** — Net pay: (6,707.40)
- **Oct 28** — Rent: (2,000)

October's dated items, in order.

> **Sales tax.** Northwind's sales tax return is dated the 20th of the following month in this forecast. That date is an assumption: each state sets its own filing frequency and due date, so put your state's dates in, not ours.

## Where this page's rules come from

- [IRS Publication 15 (2026), Circular E, section 11 — Monthly Deposit Schedule](https://www.irs.gov/publications/p15) — Payroll taxes leave the bank on the IRS's calendar, not the company's (irs)
- [IRS Publication 15 (2026), Circular E, section 11 — New employers](https://www.irs.gov/publications/p15) — A new employer deposits monthly in its first calendar year (irs)

## Read further

- https://lopifi.com/md/journal-entries/payroll
- https://lopifi.com/md/journal-entries/sales-tax-collected
- https://lopifi.com/md/startups/form-941-and-payroll-tax-deposits

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