Finalizing the new hire process involves a series of forms that establish the legal groundwork for employment. Completing this paperwork correctly ensures compliance with federal and state laws, protects the organization from penalties, and guarantees employees are paid accurately. This process sets a professional tone for the employment relationship.
Mandatory Federal Hiring Forms
At the federal level, every employer in the United States must complete and retain two specific forms for each new hire. The first is Form I-9, Employment Eligibility Verification, used to confirm an individual’s identity and legal authorization to work in the U.S. The employee must complete Section 1 of the form on or before their first day of employment.
The employer then has a three-day window from the start date to complete Section 2. For this section, the employer must physically examine original documents presented by the employee that establish both identity and employment eligibility. Employees can present one document from List A (like a U.S. Passport), or a combination of one document from List B for identity and one from List C for employment authorization. Employers cannot specify which documents an employee must provide.
The second mandatory federal document is Form W-4, Employee’s Withholding Certificate. This form determines the correct amount of federal income tax to withhold from an employee’s wages based on their filing status, dependents, and other adjustments. The information provided directly impacts their take-home pay and potential tax liability or refund.
Employees must complete Step 1 (personal information and filing status) and Step 5 (signature). The intermediate steps are optional but help tailor withholding to an employee’s specific financial situation. Step 2 addresses households with multiple jobs, Step 3 is for claiming dependents, and Step 4 allows for other adjustments.
Required State and Local Tax Forms
Beyond the federal W-4, many states and some localities impose their own income taxes, requiring additional paperwork. Most states with an income tax have their own withholding certificate tailored to state-specific tax laws. For example, California uses Form DE 4, while New York uses Form IT-2104.
Since there is no universal state form, employers must identify and provide the correct documents based on where the employee works. Failing to do so can lead to incorrect tax withholding. The most reliable method for ensuring compliance is to consult the relevant state agency’s website for the latest versions of all required tax documents.
Essential Company-Specific Documents
Separate from government-mandated forms, businesses require new hires to complete several internal documents. These forms streamline operations, communicate company policies, and are standard practice for establishing an efficient employment relationship.
Employee Handbook Acknowledgment
Employee handbooks detail company policies, procedures, and culture. An acknowledgment form, signed by the new hire, serves as proof that the employee has received a copy of the handbook. This confirms the employee has been made aware of expectations regarding conduct, safety protocols, and other workplace rules.
Direct Deposit Authorization Form
This form collects an employee’s banking information, including the bank’s routing number and their personal account number. Direct deposit is the standard method for paying employees, and this form ensures payroll is processed smoothly and on time.
Emergency Contact Information Form
This form asks the employee to provide the names and phone numbers of individuals to be contacted in a medical emergency. Keeping this information on file allows the employer to act quickly if an employee becomes ill or injured on the job.
Benefits Enrollment Paperwork
If a company offers employee benefits, a separate set of enrollment forms will be part of the onboarding process. This paperwork is for selecting and enrolling in programs like health insurance and retirement savings plans such as a 401(k). These documents are time-sensitive, as there is a limited window for new hires to enroll.
The forms are provided by the third-party administrators or insurance carriers that manage the benefits plans. To complete them, an employee provides personal information for themselves and any dependents they wish to cover. For health insurance, they will choose a plan level, and for retirement plans, they will designate a contribution percentage and select investments.
Employers should provide clear materials explaining the different options, including summary plan descriptions and contact information for the benefits administrator. The completed paperwork is then submitted by the employer to the respective providers to activate the employee’s coverage.
Role-Specific Agreements and Notices
Depending on the job and industry, some employees may be asked to sign additional legal documents. These agreements are not universal and are used to protect the company’s interests in situations involving sensitive information or competitive markets.
A common example is a Non-Disclosure Agreement (NDA), or confidentiality agreement. An employee signs an NDA if their role provides access to trade secrets, client lists, or other confidential business information. The agreement legally binds the employee not to share this information with outside parties.
A Non-Compete Agreement might also be used, though its enforceability varies by state. This contract restricts an employee from working for a competitor for a specified period after leaving the company. Additionally, some states require specific notices, such as those detailing an employee’s pay rate and payday, to be provided at the time of hire.