Employer Of Record Services USA
If you want to streamline your business expansion in the USA, considering Infotree Global Solutions Employer of Record services will be a wise choice. While establishing your business in a new country, it is important to be compliant with country laws. Our EOR services help you have your employees on board while saving your time in establishing a new setup.
With our Global Employer of Record services, we help you kick start your business operations in USA without delay. By becoming your Employer of Record, we assist you to take advantage of our global network of offices and resources to compliantly hire and manage international workers. Leave the worries behind associated with payroll, legal compliance, risk, cost, and time and enjoy global expansion without hassles.
Setting up a business or employment in the US – All that you need to know
Hiring in USA
Employment laws in USA can vary from state, federal, and local sources making it difficult to figure out the suitable ones for employers looking for expansion. For example, federal law recommends a higher minimum wage rate as compared with the state law. On the contrary, state law may ask the employer to maintain a record for a longer time period, unlike federal law. Due to varying standards of liabilities on the employers, it is recommended to consider the assistance of a trusted US Employer of Record.
Key Areas to Consider
There are few key areas to be aware of the USA’s employment regulations, especially for organizations that plan to start a local office and human resources wing. These issues can be addressed by using a US employer of record services that take care of all the legal complexities.
Table of Contents
• Immigration and Work Permits in USA
• Have your Own Company
• Setting up Payroll in USA
• Payroll and Tax in USA
• Work Permits
• Employee Entitlements
• Setting up a Company in USA
• USA Employment Compliance
• How to Onboard Employees
• Benefits of USA Hiring Outsourcing
• Why Infotree Global Solutions?
Immigration and Work Permits in USA
As per USA immigration law, international employees are allowed to work after fulfilling visas and work permit requirements. These work permits must be protected for employees and sponsored by an established entity. It can be an issue for organizations just taking their first step to the US market. If you need to complete the incorporation process, it is better to take the help of an outsourced management company like USA Employer of Record to sponsor the workers for all the essential permits.
Have your Own Company
As per U.S. Immigration service, employers must ensure that their future employees have the acceptance of the employment offer. There are two types of US visa permits including non-immigrant and immigrant Visa. The first one is obtained by those people planning to work temporarily. H1B Work Visa, E-1, E-3, and L1-B visa fall in this category. Another one is for those planning to migrate and settle their permanently. This includes Green Card – Lawful Permanent Residents, typically EB-3 or EB-2 visa. Getting temporary class visas is quick whereas it takes time to get immigrant visas. However, there are few formalities that need to be fulfilled.
The EOR Company should file a petition on your behalf addressing the specific details, duties, and dates of employment. It should determine the higher wages to the employees. The next step is to file a Labor Certification Application (LCA) specifying the benefits of employee and after its approval, the company will get a certified copy from the Department of Labor. H1B petition should be filed with proper USCIS Service office and after processing, the company should get a receipt by the same office. Thus, it involves a crucial and tedious process for which you need to consider taking US Employer of Record services.
Setting up Payroll in USA
First, the company looking for expansion should determine the state it wants to conduct business operations in the USA. Since the rules vary between different states, it is good to learn the employment and payroll concerns else you may find yourself trapped in non-compliance penalties. Accordingly, you should register your business online by yourself or by an Employer of Record USA which is helpful in streamlining the process. The Fair Labor Standards Act or FLSA enforces employers to follow the guidelines while setting up the payroll. There are many states which choose to establish more robust laws for their own benefits and employers must follow them. The FLSA also demands employers to have the information related to their staff working hours and compensation on record which may be asked for later.
Payroll and Tax in United States
Depending on business operations, there are specific rules for payroll and taxation in the USA. The federal and state payroll tax includes Medicare costs, social security, sales tax, and corporate tax. For many companies using an Employer of Record USA, it is easy to remain compliant with local laws. As a US company, it is vital to register for the payroll tax and acquire an Employer Identification Number (EIN) to adhere to the federal tax rules. Payroll tax is a state-based tax which is crucial. With a local payroll provider or an Employer of Record, you can simplify the process and ensure compliance with local laws.
All U.S. taxpayers are permitted to have health insurance or pay a penalty. As a part of US custom, the employer should provide varied medical insurance plans to cover a part of the cost. The employee’s sharer of the premiums is included in payroll deductions. No other insurance is recommended by law but companies can offer short-term and long term disability insurance and life insurance.
You need to have a number of documents to obtain a work permit in the USA. These include Form I-129 Nonimmigrant Arrival-Departure Record, copy of electronic Form I-94, and passport and travel document. Besides, you need passport size photos, Form G-28, a Copy of last EAD, and a Copy of government-issued identity proof. With the help of Employer of Record US, you can apply for a suitable visa for you. H1B is the most commonly used one. The L1 visa is applicable for management experts which can be processed in a month. The J1 visa is for trainee exchange programs for nationals that can stay for 18 months.
There are a number of aspects that need to be familiarized with to adhere to the employment laws in the USA. It is vital for organizations planning to start an office and HR department. In general, contracts are not required for employment. However, these can be given to senior-level employees or experts stating their compensation. Legal working hours in the USA are 40 hours with a minimum of 8 hours per day.
There are specific rules on overtime for employees. Any hours crossing 8 hours are considered as overtime. Then employers must pay for overtime which is generally 1.5 times the normal pay rate. For most companies, paid public holidays are only decided as per the company policy. According to the Fair Labor Standards Act (FLSA), employers are not forced to pay workers for the time they have not actively worked in the office. However, as per company policy, holiday pay can be allowed.
Setting up a Company in USA
While setting up a company in the United States, you need to consider a few aspects. These include business type, products, industry, nature of business, nationality, license, and trade agreements. You must ensure your products are lawfully imported into the US market. Plus, it should meet the legal needs of US customs like license, permits, and export and import documentation. Failure to follow may lead to fines and penalties. You must own business names, brands, and trademarks. In a few countries, copyright protection is automatic while others need a registration. You should be fully aware of the state rules and must register with it. If it is more than one, a multi-state registration is required. While registering in multiple states, many companies have to deal with the difficulties of the applicable taxes. An Employer of Record USA can help you deal with the proper tax, legal, and business hardships easily.
US Employment Compliance
There are a few areas that are not specifically highlighted in either state or federal law. In such a scenario, the terms will depend upon the employment contract. An Employer of Record USA helps to set out the terms clearly to avoid implied agreements. For example, a probation period may be considered as an implied agreement. It specifies that there will be increased job security once the probation period ends. EOR services help you to deal with the law applicable by considering factors like office location, number of employees, annual revenue, thus saving you from legal troubles. While negotiating terms of the employment contract, your USA Employer of Record considers various standard benefits as recommended by the employment laws of USA.
How to Onboard Employees?
Developing a strong employee-employer relation is necessary for new international staff to be productive. It is important to consider the structured onboarding program that brings clarity to the work culture and job expectations. By using an EOR, it is easy to ensure mutually agreed hiring modules. Using USA Employer of Record helps you get the comprehensive services that enable you to utilize staff quickly. The company contracts directly with EOR to recruit and payroll its staff in the USA with specific costs and timeframes. The Employer of Record Company is legally responsible for your in-country employees, recruits them on work permits, and manages their monthly payroll.
Benefits of USA Hiring Outsourcing
Choosing an employer of record services in USA is the most informed decision one can make. It assists you to hire anywhere in the world with efficiency without setting up an actual office. For a company looking for expansion, it is really challenging to find the best individuals and retain them. By hiring outsourcing services, your EOR steps in to find the eligible in-country workers. Clients can outsource their employee’s payroll, HR, compliance, and in-country outgoing support. It enables you to have control over the responsibilities in the chosen country and saves time too. With US Employer of record services, you can expect your staff arriving in the chosen country smoothly and ready to start their job quickly. Outsourcing can relieve you from the issues associated with in-country liabilities and local laws.
Why Infotree Global Solutions?
Ensuring total compliance with employment laws comes as a major concern for many companies. The complications of laws make it vital to use US Employer of Record services by Infotree Global Solutions. Right from the drafting of local contracts for workers, we take care of the onboarding and fulfill all the legal formalities for the new country.
Our core objective is to ensure that you can make the most of mobility without a legal entity. Focusing on employee satisfaction, we promise to deliver increased productivity, high efficiency, and revenue. Our EOR model is designed in a way that provides you everything you need at every step of your global expansion journey.
Candidates are mobilized in-country quickly, saving you time, energy, and resources. Our dedicated personal support ensures a stress-free transition of employees around the world. Besides, you will also retain complete control over your employees and their day-to-day tasks. That too, without engaging yourself in the administrative hassles because we overcome them for you.
Using Infotree Global Solutions is the fastest way to deploy local and foreign employees in the USA. Know more about outsourced employment through Infotree Global Solutions.