As your business continues to grow, you need to stay on top of your hiring and reporting practices. Maintaining the proper records and filing the right forms helps protect you, your business and your employees.
Ensure that your business complies with federal and state employment laws in the following areas:
Employer Identification Number – You must secure an EIN for your business before hiring any employees. You can find more information about EINs at the IRS website.
Tax forms – Complete a federal W-4 form for each new employee and also file any applicable state and local tax forms. The W-4 form allows each employee to adjust his or her withholding tax allowances.
New hire reporting – You must report any newly hired employees to the state within 20 days of his or her hire date. This rule applies to any state in which you operate and employ workers.
Comply with wage theft prevention requirements – Many states have passed a Wage Theft Prevention Act that requires employers to provide employees with details about their rate of pay, pay dates, overtime pay and more. Colorado’s wage theft prevention law, for example, went into effect in January 2015 and provides employees with a process for claiming unpaid wages.
New-hire checklist – The Colorado Department of Labor provides a helpful new-hire checklist to help educate businesses about the reporting and filing requirements specific to the state. In addition to the above items, you will need to secure workers’ compensation and unemployment insurance coverage.
To ensure that your Colorado business is in compliance with all applicable employment laws, consult with a skilled business attorney. Contact EmergeCounsel today to learn more.