New-Hire Reporting

A New-Hire report is a document that contains information about a newly recruited or rehired employee in a certain state in the United States. This report will be delivered to the officials in charge of the state.

The employee could be wholly new to you, or he or she could have previously worked for you but had not worked for you for at least 60 days.

The individual’s basic information is contained in this report. It must be sent within 20 days of the employee’s first day of paid work. This report must be sent within 20 days of the employee’s start date.

Do I have to Report New Hires?

Yes. It is required under the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA). Each state will fine the employers who do not file new hire reports.

A simple failure to report can result in a fine of up to $25, while a conspiracy with an employee can result in a fine of up to $500.States are also permitted to use non-monetary sanctions.

The data aids in the prevention or reversal of workers’ compensation and unemployment fraud, as well as the reduction of public support going to the incorrect people. Data from new hire reports are frequently used by child support agencies to secure child support payments from certain parents.

Different ways to file a New Hire Report with the state:

There are numerous options for submitting a new hire report to the State Director of New Hires (SDNH) in the state where your new employee is employed. You can report using electronic means, magnetic tape, or first-class mail, according to PRWORA.

However….

Other ways of submission are available from individual states, including an electronic form on their website, a phone call, an email, or a fax. More information can be obtained through a contact person at your SDNH.

New Hire Reporting Form

Depending on your preference, you can submit each new hire report on a W-4, your custom form, or an alternate form provided by your state. At the end include these details:

  • Employee’s name, address, and social security number
  • The date on which the employee paid for the very first time.
  •  Basic information includes the name of your business, address, and FEIN (Federal Employer Identification Number) (FEIN).

If an Employee is Relocated, Do we need to File a New Hire Report?

Each new hire report’s information is transferred to the National Directory of New Hires(NDNH) from your state. So, there is no need to file a new report on an employee who moves to a different area inside your organization.

Because you’re a multistate business, you have two options for reporting new hires:

  1. Report to the state where he or she works.
  2. All new workers should be reported to a single state where you do business.

If you pick the second option, you must tell the US Department of Health and Human Services secretary that you will only file in one state.

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