Employers regardless of their size or industry are all required to provide new employees (part-time, full-time, seasonal or otherwise) with New Hire Paperwork that complies with state and federal laws. Aside from the typical tax forms prepared to bring a new employee on board, employers are required to keep themselves educated in new filing requirements, updated forms, and deadlines in completing and submitting New Hire Paperwork. Below is a list of some of the important documents that all employers are required to complete during that New Hire process:
1. Form I-9: Form I-9 or the Employment Eligibility Verification form is one of the most important documents that must be completed for all new hire employees. This document, as required by the Department of Homeland Security, must be completed to confirm that your employee is authorized to work in the United States. It is also a strict requirement that the prospective employee provide his/her prospective employer with acceptable forms of identification which demonstrate their eligibility to work in the U.S. It is critical to note, that employers must be aware that although infrequent, there are modifications made to this document and employers are responsible for filling out and submitting updated forms during the time-period which the employee was hired. More importantly, there are specific deadlines as to when you must complete certain sections of the I-9 form. For example, Section 1 of the form must be completed no later than then the end of the employee's first day of work while Section 2 of the form must be completed within three (3) business days. The Department of Homeland Security also requires that I-9 forms be kept on file for at least three (3) years or for one (1) year following the employee's separation from employment at whichever dates comes later.
2. Completed Form W-4: All new hire employees are also required to complete a Form W-4 indicating how much federal income taxes should be withheld from their paycheck. Although this form can be completed prior to the new employee's start date, it is mandatory that the form be completed no later than the employee's first day of work. Form W-4's should also be kept on file for a period of four (4) years. An employer's failure to withhold the appropriate employment taxes from an employee's wages can result in stiff penalties, including but not limited to, criminal and civil sanctions.
3. Florida New Hire Reporting Form: Furthermore, employers are also required by law to complete a New Hire Reporting Form for any new hire and must submit the completed form no later than twenty (20) days from the start date of the new hire. In addition to newly hired employees, the form must also be completed for any recalled employees regardless of the fact if the employer has previously completed one for the recalled employee in the past. Failure to comply with new hire reporting requirements can lead to civil monetary penalties for each infraction.
4. Notice of Coverage Options: As of October 1, 2013 and as part of the recently implemented Affordable Care Act, employers are required to provide their newly hired employees with a Notice of Coverage Options. Under the Affordable Care Act, the notice provides employees with information as to the Health Insurance Marketplace and allows them the opportunity to make informed decisions about their healthcare coverage options and their eligibility to qualify for a reduced premium if they meet certain income requirements.
In order to remain in full compliance with state and federal requirements on new hire reporting, employers must make a conscious effort to periodically review new hire documentation and reporting practices. The Department of Labor and the Department of Homeland Security are a few great resources for employers to utilize. Employers should also maintain a system for appropriate and consistent record keeping. If your company has any questions about new hire practices, forms, or state and federal reporting requirements, please contact our firm at (954) 530-9245. At Danz & Kronengold, P.L. , we can assist in ensuring compliance with federal and state laws and provide HR consulting directly to business owners and executive level management or work one-on-one with your Human Resources personnel.