Tips For Hiring Your First Employee

By Carleigh Lowe Tuesday, September 21, 2010

Watching your business grow can be both exciting and scary. Transitioning from a one-man or -woman who to hiring employees requires a huge leap of faith. Business News Daily's article, "Hiring Your First Employee" is filled with smart, helpful tips. Below is an excerpt.

Hiring your first employee can sometimes seem daunting. And if it doesn’t, you aren’t doing it right.

One of the biggest mistakes entrepreneurs make is thinking that they can simply go to someone they know, such as a friend or a family member, pay them something, and that would be it. But while we may have fond memories of family-owned local shops, most businesses can’t work that way.

Here are some things you must know before you hire your first employee:

Legal requirements

Besides filing the relevant forms with the Internal Revenue Service, there’s making sure that someone is legally able to work in the U.S. It starts with the I-9 form. Once that is filled out you keep it – it’s for USCIS (U.S. Citizenship and Immigration Services) officials to look at if they need to, and you have to keep it for at least four years. (It must be on file for three years after hiring someone and at least year after they leave, whichever is later).

There are a number of verification services – in fact, if your business is a government contractor you’re required to use them. The USCIS has a program called E-Verify, which makes the whole process easier.

Fines can be heavy – knowingly hiring someone not authorized to work can cost you up to $3,200 for a first offense. Giving that summer job to the nice exchange student from Finland probably isn’t worth it.


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There is 1 comment left for Tips For Hiring Your First Employee

Amaresh said: Tuesday, January 17, 2017

Thank you for this information. I wanted to hire an employee and don't know what to do before hiring. Thanks for this information!

HBS Staff replied: Wednesday, January 18, 2017

Glad you found our blog helpful!

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