Congratulations on your decision to become an Indiana new employer! You will need a few things in place before you run your first payroll. For Indiana employer registration help, check out our partner, CorpNet.
Federal and Indiana State Tax Accounts
Federal Tax Accounts
Apply for an EIN
Your business will need to have an Employer Identification Number (also known as an EIN or FEIN), if you do not already have one.
The simplest way is to apply for an EIN with the IRS online. There is no cost to apply for an EIN.
To read more about applying for EINs, read our help article, “Your Step-by-step Guide on How to Apply for EIN”.
Enroll in EFTPS
Although it is not required, we recommend you enroll in the Electronic Federal Tax Payment System (EFTPS). You can register online for the EFTPS.
To find out more about EFTPS, read our article, “What Is EFTPS?”
Indiana State Tax Accounts
Register With Indiana Department of Revenue
Indiana new employers can register online for a state income tax (SIT) withholding account, as well as other tax accounts. You must first create an account on the Access Indiana website to access the registration for a withholding account.
A checklist of the needed information to complete the registration is available here.
Indiana counties have local income taxes that are collected by the state.
Register With Indiana Department of Workforce Development
You can apply online for a state unemployment insurance (SUI) account using the Employer Self-Service tool, Uplink. For more information about the Uplink Employer Self-Service tool, visit the Department of Workforce Development.
Get Your SUTA Rate
The Indiana new employer SUTA rate for 2026 is 2.5%.
Every year, your business will be assigned a new SUTA rate based on your business type and history with unemployment (merit rating). For more information, visit the Indiana Department of Workforce Development.
For more information, read, “What Is SUTA Tax?”
State-mandated Insurance
Sign up for Workers’ Comp Insurance
You must have workers’ comp insurance if you have at least 1 employee in Indiana. You can sign up for workers’ comp insurance through a private provider or state-operated fund. Learn more about workers’ comp requirements in Indiana here.
Patriot’s online payroll offers free pay as you go (PAYG) workers’ comp integration with our partner, ERGO NEXT Insurance. You can get a free quote with ERGO NEXT here.
Setting Up Your New Employee
Fill Out Form I-9
Have your employees fill out the top portion of Form I-9. Employers fill out the second half of the Form I-9. To learn more, read, “Form I-9 In a Nutshell”.
You must keep each employee’s completed Form I-9 as long as the individual works for you. For more information, read “What Should Be in an Employee File?”
Have Employee Fill Out Federal Form W-4
Have your new employee fill out Form W-4, Employee’s Withholding Certificate for federal income taxes (FIT).
For more information, read our help article, “What Is a W-4 Form, and What Is it Used for?”
Have Employee Fill Out State Form WH-4
Have employees fill out Form WH-4 Indiana Employee Withholding Exemption and County Status Certificate.
Please note, your employee’s taxes will be determined by where they lived January 1st of the tax filing year. We recommend verifying employees January 1st residence every year.
Report New Hires
Indiana employers are required to report all new hires within 20 days from the date of hire or rehire. You can report your new employees online with the Indiana New Hire Reporting Center.
For more information, read, “What Is New Hire Reporting?”
Meet Minimum Wage Requirements
Indiana employers must follow the federal minimum wage rate of $7.25 per hour.
You need to display federal the minimum wage poster where your employees can read it.
Obtain Labor Law Posters
Get annual posters and all federal, state, county, and city labor law updates with Patriot’s labor law poster store, powered by PosterElite!
Once you have all the necessary information, you will be able to set up your payroll for your business. For more details, read, “What Information Is Needed to Set Up Payroll?”
Keep employee payroll records for at least three years. For more information, read our help article, “What Employers Should Know About Employee Payroll Records.”
Let us know if you have any questions. We are here to help!
Disclaimer: This is not an all-inclusive list for new employers. Check with the state and federal government for more information.
