North Carolina Employer Checklist
We’ve got you covered on the payroll end. Please read carefully the following resources and information to help keep you in compliance with other NC laws.
This is protection for you from liability if your employee gets injured or sick on the job.
You are not required to have workers’ compensation insurance, but you want to make sure you’ll be covered in case there’s a workplace accident. The first place to start is to call the insurance company that you have your homeowner’s or renter’s policy with. You might already be covered, or you may need to add a rider to your coverage.
Federal law requires that all employers request this form to be completed by the prospective employee. Don’t submit it to anyone, just keep it with your employer records in case of an audit.
I-9 form: https://www.uscis.gov/i-9
W-4 form: https://www.irs.gov/pub/irs-pdf/fw4.pdf
To be sure your employee doesn’t get an unexpected tax bill, or have too much withheld, have them complete a W-4 form when they are hired, or anytime they experience a change in their withholding requirements (marriage, birth of child, additional income, etc.). You can update your employee’s profile in the Nest Payroll app at anytime during the year.
North Carolina requires the following poster to be given to your employee:
Certificate of Coverage and Notice to Workers
See here for other applicable notices for your employee: Posters for North Carolina Employers
In NC, once a promise is made by an employer, then the employer must pay all promised wages, including wage benefits, accruing to its employees based on any policy, agreement or practice that the employer has established. Having an agreement takes care of this requirement, and reduces awkwardness and misunderstandings, especially as things come up you just didn’t anticipate. If you don’t have an agreement with your employee, you can download this one and modify for your situation. This one is for a nanny, but you can easily change out the role of the employee, such as for a housekeeper or caregiver, making it work for you.
Additionally, Hand In Hand, a non-profit we love that supports domestic employers + employees, is a great resource for tackling all sorts of challenges that come with household employment, creating a more dignified and respectful workplace for all. Take advantage of their excellent and free sample contracts and guide books.
PAID SICK TIME: NOT REQUIRED
Sick leave isn’t required, but if you’d like to offer it, a typical amount is three days or 24 hours per year. You can set this up in your employee’s profile, and the hours will be prorated based on the time of the year. When your employee has taken sick time, simply enter these hours in the Nest Payroll app when creating a paycheck for that week.
VACATION TIME or PAID TIME OFF: NOT REQUIRED
Paid vacation time is not required, but it could be an important benefit to offer. You can enter “paid time off/vacation” hours you have agreed upon into your employee’s profile. Nest Payroll will prorate those hours based on the time of the year. When taken, vacation/PTO hours can be entered in the Nest Payroll app when creating a paycheck for that week.
MINIMUM WAGE: REQUIRED BY LAW
All household employees are classified as hourly (non-exempt) and are subject to minimum wage protections. To check if your city has a higher minimum wage requirement than the state, click on the following:
The Economic Policy Institute - Minimum Wage Tracker
NC Dept. of Labor- Wage Laws in NC
OVERTIME: REQUIRED BY LAW
Overtime of 1.5x the hourly rate for any hours worked over 40 in a week. Overtime is not required for live-in employees.
Details: NC Overtime
The information provided on this page is general in nature. This is not to be taken as tax, legal, benefits, financial, or HR advice. Since rules and regulations change over time and can vary by location, consult an attorney or financial advisor for your specific situation.