How do I hire my first employee from Florida?

Hiring your first employee in the United States is an exciting time for your business, however it can also be daunting in a new market. Before you do hire, there are few employment laws in Miami that are important to understand, and also federal laws that determine how people are handled at work. For the latest information go to the Florida Department of Economic Opportunity. ‍

Important: The below should be considered as generic guidelines, please get in touch with our Open Shop experts at hello@base.miami to discuss your individual requirements so we can ensure you meet all the legal requirements of employment in both federal and Florida state law as well as help you set up an attorney-drafted Employment Agreement. ‍

Obtaining an Employment Identification Number

Employers in Florida must register as a business before they can hire any employees. To do so, obtain an Employer Identification Number (EIN) from the Internal Revenue Service, and register your business with the Florida Department of Revenue. If you have not already done this, please get in touch with our Open Shop experts to help you set up your business in the United States.

Check Minimum Wage & Wage Expectations 

Florida's state minimum wage rate is $10.00 per hour. This is greater than the Federal Minimum Wage of $7.25.  When posting your job, it is also important to consider the average salary or wage and the cost of living. According to PayScale, the average salary in Florida is $69,000. 

‍Federal Employee Withholding Tax & Eligibility Verification

W-4: The Internal Revenue Service (IRS) requires every employee to complete Form W-4, Employee’s Withholding Certificate, the amount of withholdings the employer needs to apply to the employee’s earnings. 

‍I-9: Under the Immigration and Reform Control Act, all employers must use Form I-9, Employment Eligibility Verification, to confirm an employee’s eligibility to work in the United States. 

New hire reporting in Florida

The Florida Department of Revenue requires employers to report all new hires within 20 days, including rehired employees that have not worked for 60 consecutive days. 

‍Register & Pay for Florida Unemployment 

Florida employers pay for reemployment assistance, a tax that funds unemployment assistance for Florida residents. The money goes into a fun available to those who are unemployed and eligible, ensuring them some financial relief during these difficult times in their lives. Check the guidelines on what you need to pay at Florida Department of Economic Opportunity. 

‍Wage and Tax Statement

The W-2 form is used to report employee wages and taxes. Employers don't need file a Florida state with the IRS because we collect no income tax, but it still requires them for each worker who received pay or had their salary taken out in advances like social security contributions/subscriptions (FICA).

‍Posting signs in Florida

Employers in Florida must display federal and state employment law posters to inform employees of their rights and responsibilities.

• Florida Minimum Wage Poster
• Employee Polygraph Protection Act
• Federal Minimum Wage Poster
• Occupational Safety and Health Act
• Uniformed Service Employment and Reemployment Rights Act

Is there anything else to consider when hiring remote workers?

Employment law regarding remote work is complex. Very few employers actually understand how different aspects of employment law extend to their remote workers. Different laws would apply pending on their status of employment (independent contractor, freelancer, or consultant, part-time, full-time employee) as well as location in the world. 

There are also some new emerging startups like Athyna, Ontop or Deel who are able to help streamline your global hiring, compliance, and payroll processes. 

If you would like more detailed advice on this, we recommend to schedule a time to talk to us and we help you identify the best ways your business can prevent risks.