Employment Law Guidance - When You Hire an Employee for the First Time - Overview

Sep 16, 2026

Employment Law Guidance explains the key legal obligations for New Hampshire employers when hiring their first employee, covering required new-hire tax and reporting steps (EIN, W-4, W-2) and federal employment eligibility verification (Form I-9). It also outlines wage and hour requirements, notice of pay and payment timing, overtime and recordkeeping for non-exempt employees, and rules for payroll deductions, meal breaks, and benefit communication. The guidance further addresses new-hire reporting to the state, workers’ compensation insurance, unemployment tax responsibilities, and required workplace postings.

LanguageEnglish

CategoryLetters

FormatPDF

Pages2

Reading Time1 min

AccessFree to download

New Hire Forms

Tax and IRS reporting

Employment eligibility verification (Form I-9)

New hire reporting to the state

Wage and Hour Laws

Minimum wage and overtime

Pay-rate and payment notice

Payroll deductions and meal breaks

Insurance and Required Postings

Employment Law Guidance: When You Hire an Employee for the First Time-Wednesda... Page 1 of 2 About ABI | Benefits | Apply | Events | News | Resources Employment Law Guidance: When You Hire an Employee for the First Time By PEG O'BRIEN Partner, Devine, Millimet & Branch Share on Facebook 10 hours, 44 minutes ago ShareThis As the state's unemployment rate drops, there is some optimism that the local economy is rebounding. The New Hampshire Economic and Labor Market Information Bureau recently announced that the seasonally adjusted unemployment rate for September 2010 improved to 5.5 percent compared with 5.7 percent in August and 5.8 percent in July. That is substantially better than the August 2009 rate of 6 .7 percent and the current national rate of 9 .6 percent and Massachusetts rate of 8 .4 percent. With the steady downward trend and reports of increased consumer spending in the state, a small-business owner may be considering the next step in growing the company-hiring the first employee. This is always an exciting time for a business-the leap from "entrepreneur" to "boss." To help guide this process, below is an overview of the employment related laws which will immediately come O'BRIEN into play upon hiring the company's first employee. New Hire Forms: All employers should obtain an employer identification number (EIN) . The EINs are employer tax IDsand are necessary in order to report taxes and other information to the IRS, as well as to file information about employees to state agencies. The IRS also requires employers to keep records of employment taxes. This information is submitted to the IRS by way of a W-4 form (filled out by employees) . W-4 forms state how much will be withheld from each employee paycheck. Each year, employers must report how much they have paid in wages and withheld in taxes by filing a form W-2 with the IRS. These forms, along with an online application for an EIN, are readily available on the IRS website. In addition to the W-4 form, new employees must also complete an Employment Eligibility Verification Form (Form I-9) within three days of starting work. The I-9 does not need to be submitted to the federal or state government, but the employer must keep it on file for three years after the date of hire or one year after employment is terminated, whichever is later. The Form I-9 is available from the US Custom and Immigration Services (USCIS) website. Finally, state law requires employers to notify the New Hampshire Department of Employment Security about every new hire and rehire (and contractors over $2,500) within 30 days of hire. The form is available on the New Hampshire Employment Security website ([www.nh.gov/nhes/employer/documents/newhirefi](www.nh.gov/nhes/employer/documents/newhirefi)llable.pdf-click for link). Wage and Hour Laws: Federal and state law establish minimum wage and overtime wage requirements. In New Hampshire, the current minimum wage for non-exempt employees is $7 .25 per hour. Overtime is generally owed nonexempt employees for any hours worked in excess of 40 hours in a 7 day time period at a rate of 1 ½ times their regular rate. Employers are also required to keep written records of the hours worked and amounts paid to non-exempt employees. State law requires employers to notify employees in writing at the time of hiring of their rate of pay and the day and place of payment. The employee must acknowledge receipt of the notice by signing and returning it, and this form should be maintained in a personnel file. This notice is often best-communicated in a formal offer letter. A law often overlooked by employers is the requirement that employees be given the option of being paid via a live paycheck. While employers can offer direct deposit, it cannot be mandated and must be consented to in writing by the employee. If an employer plans to pay employees less frequently than every other week, then the employer must obtain special permi

FAQs

What forms must a New Hampshire employer complete when hiring a first employee?

Employers should obtain an EIN and handle IRS reporting through W-4 and W-2 processes. New employees must complete Form I-9 within three days, and employers must retain it for the required recordkeeping period.

What wage and overtime rules apply to non-exempt employees in New Hampshire?

Non-exempt employees must receive at least the state minimum wage of $7.25 per hour. Overtime is generally owed for hours worked over 40 in a seven-day period at 1.5 times the regular rate, with written time and pay records required.

What additional obligations apply beyond forms, such as insurance and workplace postings?

Employers must provide workers’ compensation insurance for employees and may have unemployment tax obligations. Employers are also required to post workplace notices under certain state and federal employment laws.

Sep 16, 2026

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