Congratulations on your decision to become a Tennessee new employer! You will need a few things in place before you run your first payroll. For Tennessee employer registration help, check out our partner, CorpNet.
Federal and State Tax Accounts
Federal Tax Accounts:
Apply for an EIN View Details
Apply for an EIN (Employer Identification Number) with the IRS online.
The IRS will assign you a unique nine-digit number to identify your business.
To read more about applying for an EIN, read our help article, “Your Step-by-step Guide on How to Apply for EIN”
Enroll in EFTPS View Details
Although it is not required, we recommend you enroll in the Electronic Federal Tax Payment System (EFTPS). You can register online for the EFTPS.
You will be able to pay taxes and view payments made on your behalf with the Electronic Filing Tax Payment System (EFTPS).
To find out more about the EFTPS, please read our article, “What is EFTPS?”
State of Tennessee Tax Accounts:
Register With the TN Department of Revenue View Details
New employers in Tennessee can register their business for a state unemployment insurance account (SUI) by creating an account online.
The completed application can be emailed to [email protected]. You can also mail or fax the form to the Employer Services Unit.
Have questions? Call the TN Dept. of Labor and Workforce toll-free at 844-224-5818.
You will be assigned an 8-digit employer account number (i.e., 0000-000 0). For more information please visit the DLWD.
Get Your SUTA Rate View Details
The Tennessee new employer SUTA rate is 2.7% for the first 3 years of the account. For more information, please visit the DLWD.
Employers in Tennessee will receive a new State Unemployment Tax Assessment (SUTA) rate after establishing 36 months of premiums.
To learn more about SUTA, please read our article, “What is SUTA Tax?”
State-mandated Insurance:
Sign up for Workers’ Comp Insurance View Details
You must have workers’ comp insurance if you have at least 5 employees in Tennessee. You can sign up for workers’ comp insurance through a private provider or state-operated fund. Learn more about workers’ comp requirements in Tennessee 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 View Details
Have your employees fill out the required Form I-9 for work verification in the USA.
This is a two-part form. The first section is to be completed by the employee and the second half is to be completed by the employer. For more information, please read, “Form I-9 In a Nutshell”
You must retain each employee’s completed Form I-9 as long as the individual works for you. For more information, please read “What Should Be in an Employee File?”
Have Employee Fill Out Federal Form W-4 View Details
Employees need to fill out the Federal Form W-4 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?”
Report New Hire View Details
Employers in Tennesse need to report new hires online within 20 days of hire or rehire with the Tennessee New Hire Reporting Program.
For more information please read our article, “What is New Hire Reporting?”
Meet Minimum Wage Requirements View Details
Tennessee follows the Federal minimum wage of $7.25 an hour.
You need to post the minimum wage poster for your employees, as required by law.
Obtain Labor Law Posters View Details
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.
You will want to keep all payroll records for at least three years. For more information please 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!
This is not an all-inclusive list for new employers. Please check with your state and federal government for full compliance.
