Hiring Employees in New York – Surviving the Paperwork

There is a reason many startups and small businesses try getting away with using independent contractors as long as they can.  Hiring employees means a lot of paperwork and added responsibilities, potential liabilities, extra financial burdens and on and on…

When you  hire a new employee in New York, this is some of the paperwork that awaits you:

1. New Hire Reporting

In order to get hold of child support debtors, every new employee needs to be reported as a "new hire."  This so called new hire reporting can be done online.

2. Unemployment, Wage Reporting, Tax Withholding Registration

You need to fill out NYS-100 and file it with New York State’s Department of Labor in order to register as an employer and for purposes of wage reporting and tax withholding. Unemployment Insurance gets paid together with your quarterly tax payments to New York State, i.e. the state and city taxes you withhold from your employee’s paycheck.

3. Workers Compensation and Disability Insurance

You must arrange (and pay) for workers compensation and disability insurance for your employees.  You can do so through a private insurance carrier, or choose to go with New York’s semi-governmental Insurance Fund.

4. Knowing your obligations as an Employer

For more of your obligations as a New York employer, read this helpful guide by New York’s Attorney General.  As you will see in the guide, some of the obligations are no laughing matter, since there may be criminal penalties for non compliance.

For more federal reporting obligations, check out this IRS’ guide.

5. Decking the Halls with Posters

Finally, be prepared to decorate your business with all kinds of posters required by federal and state law.  To find the required federal posters, consult this E-laws -Poster Advisor.  For New York posters, see here.

**This post is for informational purposes only and does not constitute legal advice**

About Imke Ratschko


Imke Ratschko is a New York Attorney helping small businesses, business owners and entrepreneurs with all things "Small Business Law," such as litigation, contracts, business owner disputes, shareholder and operating agreements, sale or purchase of a business, investors, and starting a business. You can reach her at 212.253.1027.

19 comments

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  6. WHEN A TECHNOLOGY IS INTRODUCED, OFTEN THE WORK CULTURE PLAYS THE KEY ROLE.TAKE FOR EXAMPLE THE “SOS” SYSTEM, AN INTRANET PROGRAM WRITTEN BY TWO ENTERPRISING YOUNG TECHNICAL SUPPORTERS AT CNN.FACING THE CHALLENGE OF MAINTAINING 200 WORKSTATIONS ON DIFFERENT FLOORS,THEY DESIGNED A SYSTEM TO PRIORITIZE REQUESTS.THE RESULT: WHEN A COMPUTER OPERATOR HAS A PROBLEM, HE NOTIFIES THE SUPPORT TEAM WITH A FEW KEY STROKES,THE “S-O-S” TRAVELING THROUGH A MODEM TO THE TEAMS’ TEXT PAGERS.IF IT’S A NEWSROOM WORKSTATION, RED ALERT.IF IT’S THE ARMY GUY AGAIN, WELL,THAT’S A LOWER PRIORITY.BUT THE POINT IS THAT THE INNOVATION WOULD NOT HAVE OCCURRED WERE THE CLIMATE NOT CONDUCIVE TO THE INVENTIVE PROCESS.
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    Great site. Many thanks.
    Link to NYS Attorney General Guide to Employers is broken. I think correct link is now http://www.oag.state.ny.us/bureaus/labor/employer.html

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