This article covers the steps Washington new employers need to complete before running their first payroll — including federal and state tax account registration, state-mandated requirements, and new employee setup.
For Washington employer registration help, check out our partner, CorpNet.
Federal Tax Accounts
Apply for an EIN
Apply for an Employer Identification Number (EIN, also called an FEIN) with the IRS online. The IRS will assign your business a unique nine-digit number used to identify your business for federal taxes.
For more details on the application process, read our help article, "Your Step-by-step Guide on How to Apply for EIN."
Enroll in EFTPS
Although not required, we recommend registering for the Electronic Federal Tax Payment System (EFTPS). EFTPS is an online portal where you can pay your federal taxes and view any tax filings Patriot Software has made on your behalf.
For more information, read our article, "What Is EFTPS?"
State of Washington Tax Accounts
Register with the State of Washington
As a Washington new employer, file a Business License Application online with the Department of Revenue. After you register, you will receive information packets from one or more state agencies.
For additional guidance, visit the Washington Business Licensing Service. You can contact the Department of Revenue by phone at (360) 705-6741.
You also need to sign up with SecureAccess Washington (SAW) for the state's Paid Family and Medical Leave (PFML) program. Learn more about employer responsibilities on the Washington PFML employer page.
Get Your SUTA Rate
Washington new employers are assigned a State Unemployment Tax Act (SUTA) rate based on their industry by the Washington Employment Security Department.
Washington also requires employers to report each employee's Standard Occupational Code (SOC) on their quarterly SUTA reports. Patriot Software includes an SOC lookup tool in the software for each employee.
To learn more about SUTA, read our article, "What Is SUTA Tax?"
Get Your Workers' Compensation Rate
Washington new employers receive their Workers' Compensation rate from the Department of Labor and Industries (DLI) by mail, typically within two weeks of filing. The rate is based on the risk classification assigned to your business.
For more information, visit the WA DLI website.
State-Mandated Requirements
Sign Up for Workers' Compensation Insurance
Washington employers with at least one employee are required to carry workers' compensation insurance. Washington is a monopolistic state, which means workers' comp coverage must be purchased through the state-operated fund — private workers' comp insurance is not available for Washington employers.
Learn more about Washington's workers' comp requirements at lni.wa.gov.
Prepare for the Washington Saves Retirement Program
The Washington Saves Retirement Program is a state-mandated retirement savings program launching July 1, 2027.
Washington Saves is required for covered employers — those that have operated in Washington for at least two years, do not already offer a qualifying retirement plan (such as a 401(k)), and had employees who collectively worked at least 10,400 hours in the prior year (roughly five full-time employees).
Under the program, covered employers must automatically enroll eligible employees in a Washington Saves Individual Retirement Account (IRA) funded through automatic payroll deductions, or offer a qualifying alternative plan. Employees can opt out.
Patriot has partnered with Vestwell to offer affordable retirement plans for small businesses that integrate with Patriot's payroll software. Learn more here.
Setting Up Your New Employees
Fill Out Form I-9
Complete Form I-9 for each new hire to verify authorization to work in the United States. Form I-9 has two parts: the employee completes the first section, and the employer completes the second section.
Retain each employee's completed Form I-9 for as long as the employee works for you. For more information, read "What Should Be in an Employee File?"
Have Employees Fill Out Federal Form W-4
Each new employee must complete Form W-4, Employee's Withholding Certificate, so you can withhold the correct amount of federal income tax (FIT) from their pay.
For more information, read our help article, "What Is a W-4 Form, and What Is it Used for?"
Report New Hires
Washington employers must report all new hires and rehires online within 20 days of the hire date. New hire reports are submitted through the MY Secure DSHS portal via the Washington State Department of Social Services.
To learn more, read, "What is New Hire Reporting?"
Meet Minimum Wage Requirements
Washington's minimum wage is $17.13 per hour for 2026.
Everett: For employers with 15–499 employees or annual revenue of over $2M, the minimum hourly wage will increase to $19.77. Rates remain unchanged for employers of other sizes.
Renton: For employers with 15–500 employees or $2M+ annual revenue within Renton, the minimum hourly wage will increase to $21.57. Rates remain unchanged for employers of other sizes."
Federal law requires employers to post the federal minimum wage poster, but Washington employers must pay the higher Washington state minimum wage.
Obtain Labor Law Posters
Get annual posters and all federal, state, county, and city labor law updates through Patriot's labor law poster store, powered by PosterElite.
Once you have all the necessary information, you can set up payroll for your business. Keep all payroll records for at least three years. For more information, read our help article, "What Employers Should Know About Employee Payroll Records."
This is not an all-inclusive list for new employers. Visit the federal and state government websites for a complete list of new employer requirements.