What are the legal requirements for hiring employees for your LLC?
Hiring employees for a Limited Liability Company (LLC) in the United States requires adherence to state and federal labor laws. All employers must obtain an Employer Identification Number (EIN) from the Internal Revenue Service, as well as file all applicable tax documents.
Employers must also ensure that they comply with the Fair Labor Standards Act (FLSA). This includes providing minimum wage, overtime pay, recordkeeping, and other standards set by law. Employers should familiarize themselves with applicable state labor laws which may have stricter requirements than those mandated by FLSA.
Employers are required to provide certain benefits to their employees such as workers’ compensation insurance and unemployment insurance coverage. Depending on the size of the business and number of employees, additional benefits such as health insurance or retirement plans may be offered at the discretion of the employer. Employers should create employee handbooks outlining policies related to attendance and leave time among other topics before hiring any new employees.