Hiring Employees
Finding Employees
Once your business gests started and you need to hire employees, you’ll find some excellent Missouri citizens at jobs.mo.gov.
Hiring Employees
You may need a Federal Employer Identification Number (EIN). Most businesses do, but you can find out for sure at the Internal Revenue Service EIN page. When you are ready to apply for the EIN, you can do it online with the IRS EIN form. If you do not acquire an EIN, then your Social Security Number (SSN) is used instead.
Obtain a Missouri Withholding Number and an Unemployment Tax number. Complete the application for these numbers online or file form 2643 with the Department of Revenue and form 2699 with the Department of Labor and Industrial Relations.
If you already have a Missouri Tax Identification (ID) Number, you can add withholding tax to your existing number by e-mailing the Department of Revenue at: businesstaxregister@dor.mo.gov or by calling (573) 751-5860.
Workers Compensation Insurance
When you hire employees, you’ll want to make appropriate arrangements for Workers’ Compensation Insurance. For more information contact the Missouri Division of Workers’ Compensation or the Department of Insurance, Financial Institutions and professional Registration.
Report Hires
All employers in Missouri must report each newly hired employee to the Department of Revenue within 20 calendar days of hire. “Date of hire” is defined as the date the employee reports to work or the date the employee signs the federal W-4 form, whichever is earlier.
Employee Forms
Each employee must complete the following forms and copies of these forms must be maintained on file:
Withholdings
Beginning with your first payroll, you must:
Withhold state income tax and federal income tax at a percentage determined by salary and exemption information stated on the form W-4. See the Missouri Department of Revenue Missouri Employer Withholding site for questions about Missouri withholding. You can also link to the Internal Revenue Circular E, Employer’s Tax Guide for information on federal withholding.
Withhold 4.2% of the employee’s salary for Social Security taxes.
Withhold 1.45% of the employee’s salary for Medicare taxes.
Pay the Social Security and Medicare taxes to an approved banking institution on the 15th of the month.
File required payroll reports with the Department of Revenue and the Department of Labor and Industrial Relations on a quarterly and annual basis; and issue W-2 reports to employees at the end of the year.
For more information about payroll issues, visit the IRS website. A good resource is IRS Publication #15.
Workplace Posters
You are required to display appropriate work posters informing employees of their rights regarding discrimination, unemployment benefits, worker compensation, Equal Employment, Federal Minimum Wage, Family Medical Leave Act (FMLA), Occupational Safety and Health Administration (OSHA), and Polygraph Protection Act. These posters can be downloaded from Required Posters.
Review OSHA guidelines and check workplace safety procedures with all employees.
Other Information
Background Checks
If you are in an industry that requires background checks of employees, or if you have another valid reason to request background checks, you will need to submit your requests to the Missouri State Highway Patrol Criminal Record Checks. The request form is SHP-158K.
Economic Development
The Department of Economic Development is Missouri’s lead agency for economic, community, workforce and tourism development. The Department’s Home Page has a directory of links to each of those agencies.
Labor and Workplace Issues
If you have questions related to unemployment insurance, workers compensation, workplace laws and safety, or discrimination, you’ll want to visit the Department of Labor and Industrial Relations’ Employers page. This site includes links to free Required Posters and frequently asked questions.
Specialized Training
The Department of Elementary and Secondary Education can help you with a variety of programs designed to provide Career Education for your employees. Customized Training may be of particular interest.
Insurance Industry
The Department of Insurance, Financial Institutions and Professional Registration provides Industry Services for forms and filings and a page for information on Workers Compensation Insurance.
Additional resources related to hiring employees include: