Remote’s guide to employing in the United States.
United States Dollar
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We own our own entity in the countries where we operate to shield your company from risk and provide you and your employees with the signature Remote experience.
The United States of America needs little introduction. The nation’s economy is bolstered by world-leading exports and innovation in technology, sports, arts, culture, media, and music.
Home to Hollywood, Silicon Valley, and iconic brands like Apple, Google, Ford, Nike, and Adidas, the United States present’s one of the world’s most attractive recruitment pipelines. The country’s population is highly educated, driven to succeed, and open to remote work.
The trend toward flexible, hybrid, and remote work continues in the US, with The Great Resignation taking hold. Smart employers on the lookout for experienced international talent should be considering taking advantage of this labor movement. For employers outside the US, offering a competitive benefits package can give you a genuine edge over local competitors.
Statutory provisions for annual leave, sick leave,social security, and healthcare are comparatively low in the US. That means employers who can provide these benefits as part of an employee-focused total rewards program will find great success when attracting and retaining top quality US candidates.
United States Dollar
328,239,523 (est. 2019)
Ease of doing business
Cost of living index
$$$$ (28 of 139 nations)
Biweekly or Monthly
VAT - standard rate
Different for every state
GDP - real growth rate
To employ in the United States, companies must own a local legal entity in the country or work with a global employment solution. Managing payroll, benefits, taxes, and compliance in the United States can get complicated, especially without established local relationships.
Remote’s global employment solution makes it easy for your company to employ workers in the United States quickly, efficiently, and in full compliance with all applicable labor laws. We take on the responsibility and legal risks of international employment so you can focus on hiring great talent and growing your business.
American labor regulations are spelled out across several federal and state statutes, designed to safeguard workers’ rights and stave off unfair employment practices.
To a great degree, American employees enjoy protection from discrimination based on age, religion, sexual orientation, gender expression, and race.
Common questions that could come up during the hiring process include the minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your American employees.
|Saturday, January 1, 2022||New Year’s Day|
|Monday, January 17, 2022||Martin Luther King Jr. Day||3rd Monday in January|
|Monday, February 21, 2022||President's Day||3rd Monday in February Also known as “Washington's Birthday”|
|Monday, May 30, 2022||Memorial Day||Last Monday in May|
|Monday, June 20, 2022||Juneteenth National Independence Day||Also know as “Emancipation Day”|
|Monday, July 4, 2022||Independence Day|
|Monday, September 5, 2022||Labor Day||1st Monday in September|
|Monday, October 10, 2022||Columbus Day||2nd Monday in October|
|Friday, November 11, 2022||Veteran's Day|
|Thursday, November 24, 2022||Thanksgiving||4th Thursday in November|
|Monday, December 26, 2022||Christmas day|
Minimum wage rates in the United States are set by U.S labor law and a number of states and local laws. The federal minimum wage is fixed at $7.25 per hour, while state and local rates vary, with employees in SeaTac, Washington earning as high as $17.53 per hour.
There’s no mandatory payroll cycle in the United States, although private employers usually pay salaries twice a month. For customers of Remote, all employee payments will be made in equal bi-monthly installments, payable in arrears.
Remote supports our clients by offering competitive benefits packages that will help you attract and retain the best talent across the globe! Our benefits specialists have done the research on norms and requirements in each local market and have crafted packages that will allow your employees to thrive, no matter what country they live in.
Our benefits packages in the US are tailored to fulfil the local needs of your employees. Typically, our packages contain some or all of the following benefits:
Our core benefits (which often include things like healthcare) are required in most countries where we hire. Because Remote is the employer of record, it’s important for us to offer the same core benefits to all employees in a country to ensure fair equity and non-discriminatory hiring practices, which protects your business and ours. Note that we do not add a markup on any benefits premiums or administration costs.
If you'd like specific information about our benefits packages in the US, start onboarding your first employee with Remote today.
For more insight into fair equity and benefits best practices, download our Global Benefits Guide and share with the rest of your hiring team.
Learn how employment taxes affect your payroll and your employees’ paychecks in the United States.
6.2%: Social security
6.2%: Social security
6%: Unemployment tax (charged on the first $7,000 an employee earns per year)
American employees generally earn at least 10 days of paid leave for every 12 months of employment.
The United States celebrates eleven public holidays that employees can take as paid days off work.
The 1993 Family and Medical Leave Act (FMLA) provides 12 weeks of unpaid leave for legal parents upon the birth or adoption of a child.
Fathers are not entitled to paid leave under the Family and Medical Leave Act and only eight states — California, New Jersey, Rhode Island, New York, Washington, Massachusetts, Connecticut, Oregon, and the District of Columbia have any paid leave policies.
Military Leave: Eligible employees can take up to 26 workweeks of unpaid, job-protected leave to care for an injured veteran relative, over the course of a year.
Donor Leave: Eligible employees can also request 12 weeks of unpaid, job-protected leave for exigencies related to a relative’s deployment.
All states (except Montana) fall under "employment at-will" which means employees or employers can terminate their relationship at any time.
Employers can generally fire employees without any reason, explanation, or warning. Several states recognize exceptions to the at-will employment doctrine in cases such as:
Remote’s legal experts can help you navigate terminations to ensure employees are only let go fairly without leading to legal complications
Notice periods can be included in the employment contract with agreement between both parties.
Employers typically provide at least two weeks advance notice although it’s not generally not required if employees are hired on an at-will basis.
Severance pay in the United States is generally one or two month’s pay for every year worked, although there’s no requirement for it under the Fair Labor Standards Act.
Probation periods in the United States usually last 60 - 90 days although employers can fix probation periods at their discretion.