Hiring your first employee is a big step. Doing it right from the start avoids penalties later. This is the checklist we use with our clients in Nevada.
Before the first day
- EIN: you need one to run payroll, even as a single-member LLC.
- Nevada unemployment insurance: register with the Nevada Department of Employment, Training and Rehabilitation (DETR).
- Workers' compensation insurance: Nevada requires it for employers with employees.
- Payroll system: choose how you will pay, calculate and file payroll taxes.
On the first day
- Form I-9: verify the employee's identity and authorization to work in the U.S. within the required time and keep it on file.
- Form W-4: the employee tells you how much federal tax to withhold. Nevada has no state income tax withholding.
- New hire reporting: report the new employee to the state within 20 days.
Every pay period
- Withhold federal income tax, Social Security and Medicare from the paycheck
- Pay the employer share of Social Security and Medicare
- Deposit payroll taxes with the IRS on time
Every quarter
- File Form 941 with the IRS
- File Nevada unemployment insurance reports with DETR
- File the Nevada Modified Business Tax return if it applies
Every year
- Give W-2s to employees and file them with the Social Security Administration by January 31 (or the next business day)
- File Form 940 for federal unemployment tax
Employee or contractor?
Before you start, make sure the person really is an employee and not an independent contractor. Read our guide on 1099 vs. W-2.
We set up and run payroll with direct deposit and handle the filings, so you can focus on your team.
This article is general information, not individual tax or legal advice. Rules and fees change; confirm current requirements with the official source or contact us about your situation.